{"id":37134,"date":"2022-01-10T10:11:43","date_gmt":"2022-01-10T09:11:43","guid":{"rendered":"https:\/\/www.w-t-w.org\/en\/?p=37134"},"modified":"2022-01-10T10:12:15","modified_gmt":"2022-01-10T09:12:15","slug":"the-uks-kleptocracy-problem","status":"publish","type":"post","link":"https:\/\/www.w-t-w.org\/en\/the-uks-kleptocracy-problem\/","title":{"rendered":"The UK\u2019s Kleptocracy Problem"},"content":{"rendered":"<section class=\"c-reader-title section section--reader-content bg-grey section-padding\">\n<div class=\"section__inner\">\n<div class=\"container\">\n<div class=\"content-layout\">\n<div class=\"content-layout__main\">\n<h2 class=\"h2 c-reader-title__h2 section__title js-reader-chapter-title\">&nbsp;<\/h2>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/section>\n<section class=\"paragraph paragraph--type--reader-content paragraph--view-mode--full section section--reader-content bg-grey section-padding\">\n<div class=\"section__inner\">\n<div class=\"container\">\n<div class=\"content-layout content-layout--left in-box\">\n<div class=\"content-layout__main\">\n<div class=\"wysiwyg c-reader-wysiwyg\">\n<ul>\n<li class=\"summary_bullet\">The intertwining of financial globalization<br \/>\nand deregulation with the post-Soviet <img loading=\"lazy\" decoding=\"async\" class=\"detail__media__img-highres js-detail-img js-detail-img-high alignright\" src=\"https:\/\/external-content.duckduckgo.com\/iu\/?u=https%3A%2F%2Fmedia.newyorker.com%2Fphotos%2F5a57c83cc6c13013a54f4214%2Fmaster%2Fw_727%2Cc_limit%2FGessen-The-Media-Men-List-Chatham-House-Rule.jpg&amp;f=1&amp;nofb=1\" alt=\"The Media-Men List and the Chatham House Rule | The New Yorker\" width=\"203\" height=\"138\">transition has, since the 1990s, created a new international political and economic environment. In this context, the UK\u2019s relations with Russia and Eurasian states are characterized in part by features of transnational kleptocracy, where British professional service providers enable post-Soviet elites to launder their money a<span class=\"\u2022-No-break\">nd reputations.<\/span><\/li>\n<li class=\"summary_bullet\">The UK adopts a risk-based approach to anti-money laundering which relies on private sector professionals conducting appropriate checks. However, evidence indicates that the system is effectively risk-insensitive, with banks over-reporting suspicious activity, and thereby creating a deluge of reports for UK authorities to process. Other, non-financial service providers often under-report such activity and are inconsistent in whether they undertake effective<span class=\"\u2022-No-break\"> due diligence.<\/span><\/li>\n<li class=\"summary_bullet\">Failures of investigation and enforcement by the National Crime Agency and other UK state bodies have led to flawed judgments by UK courts, especially regarding post-Soviet elites. Capable and expensive lawyers (hired by members of transnational elites or their advisers) defeat or deter the regulators\u2019 often weak and under-resourced attempts to prosecute politically e<span class=\"\u2022-No-break\">xposed persons.<\/span><\/li>\n<li class=\"summary_bullet\">The provision of aggressive reputation management services by UK professionals includes libel actions, quasi-defamation cases, and the use of public relations agents against journalists and researchers. These services also transplant authoritarian agendas and rivalries to the UK, which has become a leading site&nbsp;of&nbsp;legal action and political conflict between post<span class=\"\u2022-No-break\">-Soviet elites.<\/span><\/li>\n<li class=\"summary_bullet\">Opportunities for reputation laundering are placing the integrity of a range of important domestic institutions at risk. Philanthropy to UK universities and charities is one method by which post-Soviet elites clean up their reputations \u2013 but these donations are processed in secret, and several cases suggest that their due diligence has been flawed. Westminster \u2013 and the Conservative parliamentary party in particular \u2013 may be open to influence from wealthy donors who originate from post-Soviet kleptocracies, and who may retain fealty to<span class=\"\u2022-No-break\"> these regimes.<\/span><\/li>\n<li class=\"summary_bullet\">This situation is materially and reputationally damaging for the UK\u2019s rule of law&nbsp;and to the UK\u2019s professed role as an opponent of international corruption. It demands a new approach by the UK government focused on creating a hostile environment for the world\u2019s kleptocrats. An effective anti-kleptocracy drive would close legal loopholes, demand transparency from public institutions, deploy anti-corruption sanctions against post-Soviet elites and prosecute British professionals who enable money laundering <span class=\"\u2022-No-break\">by kleptocrats.<\/span><\/li>\n<\/ul>\n<p><span class=\"\u2022-No-break\"><a href=\"https:\/\/www.w-t-w.org\/en\/wp-content\/uploads\/2022\/01\/2021-12-08-uk-kleptocracy-problem-heathershaw-mayne-et-al.pdf\" target=\"_blank\" rel=\"noopener\">UK Kleptocracy Problem<\/a><\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"img-responsive width-xl\" title=\"kleptocracy.jpg\" src=\"http:\/\/images.dailykos.com\/images\/232754\/story_image\/kleptocracy.jpg?1459606980\" alt=\"kleptocracy.jpg\" data-src=\"http:\/\/images.dailykos.com\/images\/232754\/story_image\/kleptocracy.jpg?1459606980\" width=\"400\" height=\"260\"><\/p>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/section>\n","protected":false},"excerpt":{"rendered":"<p>&nbsp; The intertwining of financial globalization and deregulation with the post-Soviet transition has, since the 1990s, created a new international political and economic environment. In this context, the UK\u2019s relations with Russia and Eurasian states are characterized in part by &hellip; <a href=\"https:\/\/www.w-t-w.org\/en\/the-uks-kleptocracy-problem\/\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"footnotes":""},"categories":[22,13],"tags":[],"class_list":["post-37134","post","type-post","status-publish","format-standard","hentry","category-corruption","category-finance"],"aioseo_notices":[],"aioseo_head":"\n\t\t<!-- All in One SEO 4.9.10 - aioseo.com -->\n\t<meta name=\"description\" content=\"The intertwining of financial globalization and deregulation with the post-Soviet transition has, since the 1990s, created a new international political and economic environment. 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