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2008/SOM1/ACT/018

Agenda Item: 5

Malaysia’s Statement on Development on Implementing the United Nations Convention Against Corruption (UNCAC)

Purpose: Information

Submitted by: Malaysia

/ 6th Anti-Corruption and Transparency Task Force MeetingLima, Peru
28-29 February 2008

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Malaysia’s Statement on Development on Implementing the United Nations Convention against Corruption (UNCAC)

Efforts to eradicate corruption, malpractices and abuse of power in all the public and private sectors have always been central to the Malaysian Government national policy. The government is providing a very strong political will and supports in the development of sound strategies and cohesive measures so as to ensure the menace of corruption does not become an obstacle and impede the many developments planned for the benefit of the country.

It is the intention of the government that the building of nation’s competitiveness in today’s global market, embedded with a strong corporate governance and corporate social responsibility, would go hand-in-hand with the building of a Malaysian society having a very high moral values and ethical standards.

Towards these, Malaysia has always participated and supports all regional and international initiatives to fight corruption. Besides of being a member to the APEC Anti-Corruption Task Force (ACT), Malaysia through the Anti-Corruption Agency, is also a member of several regional and international grouping such as the Interpol Expert Group on Corruption (IGEC) since 1998; the Asia Pacific Group On Money Laundering (APG) since 31.5.2000; the Joint Working Group on Civil Service of India/Malaysia (JWGCS) since 14.5.2001; the ADB/OCD Anti-Corruption Initiative for Asia and the Pacific since 30.11.2001; the Anti-Corruption Agency (ACA) Forum since 15.11.2002 (founding members), comprise of Korea Independent Commission Against Corruption (KICAC), Singapore’s Corrupt Practices Investigation Bureau (CPIB), Hong Kong’s Independent Commission Against Corruption (ICAC), New South Wales, Australia’s Independent Commission Against Corruption (ICAC NSW), and Indonesia’s Corruption Eradication Commission (CEC); International Association of Anti-Corruption Authorities (IAACA) since 22.10.2006 (founding members) where the Director General of ACA Malaysia sits as an Executive Committee Member. Malaysia also participated in the Conference of the State Parties to the UNCAC.

To further enhance and solidify the cooperation between countries and agencies, Malaysia, through ACA Malaysia, has established several bilateral and multilateral agreements/arrangements with economies within and beyond APEC grouping. Malaysia had established a bilateral arrangement with Anti-Corruption Bureau of Brunei Darussalam (ACB) since 27.8.2001. In addition to this, Malaysia is also a founding members of the Memorandum Of Understanding (MoU) on Cooperation for Preventing and Combating Corruption with ACB Brunei Darussalam, CPIB Singapore, CEC Indonesia, Government Inspectorate of Viet Nam, Anti-Corruption Unit of the Office of the Council of Ministers of Cambodia (ACU), Office of the Ombudsman Philippines, and National Counter Corruption Commission (NCCC) Thailand. Recently, ACA Malaysia had signed a MoU on Cooperation with Administrative Control Authority (ACA) Egypt on 2.11.2007. Another two MoU will be signed with National Agency of the Kyrgyz Republic on Corruption Prevention (NACP) in April.2008 and the Commission on Human Rights and Administrative Justice (CHRAJ) Republic of Ghana on a date to be determined later.

To further develop and strengthen the capacity building on the effective implementation of the UNCAC, a total number of 78 courses had been conducted by the Malaysia Anti-Corruption Academy (MACA) which were attended by 1,377 ACA Malaysia’s officers (including attended more than one), 185 officers from other relevant agencies and 65 officers from foreign agencies. Following the direction of APEC ACT on public-private partnership on prevention of corruption, Malaysia had organized an international seminar on “Public-Private Partnership in Combating Corruption and Safeguarding Integrity” in Kuala Lumpur on 2-3 November 2007, attended by 150 participants including both the local public and private sector and foreign participants of anti-corruption authorities from Thailand, Vietnam, Indonesia, Singapore, Brunei, Cambodia, Philippines.

Currently, an international course on Accountability and Integrity in Public Sector Organization is being conducted by MACA from 25-29 February 2008 in Kuala Lumpur for ACA officers and also attended by 16 foreign participants from Bhutan, Thailand, Timor Leste, Papua New Guinea, Yemen, Nigeria and Kyrgyz Republic.

On the development of the United Nations Convention against Corruption (UNCAC), Malaysia is a signatory to the convention as of 9 December 2003. Although Malaysia has yet to ratify it, the current legal framework on corruption, the Anti-Corruption Act 1997 (Act no. 575) which is enforced by a dedicated body, the Anti-Corruption Agency, Malaysia, nevertheless, is very comprehensive and complies with almost all articles of UNCAC. The Act criminalizes corruption offences in both the public and private sectors, criminalizes corruption committed by citizens and permanent residents abroad and provides legal power for freeze, seizure and forfeitures, amongst others. Eight offences under the Act have been designated as predicate offences under the Anti-Money Laundering and Anti-Terrorist Financing Act 2001 (Act no. 613). In addition to this, any mutual legal assistance to foreign entities is provided through the Mutual Assistance in Criminal Matters Act 2002 (Act no. 621).

Malaysia views and shares with other economies the importance of ratifying the UNCAC. As such, a propose bill to include the implementation of Article 16 of the UNCAC for criminalization of bribery of foreign public officials and officials of international organizations in the existing Anti-Corruption Act 1997, has been prepared to be forwarded to the Cabinet for consideration, prior of tabling it to the Parliament. With this amendment, Malaysia would be able to initiate the process of ratifying the UNCAC in the near future.

Lima, Peru

28 February 2008

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