TI BiH requests a public debate on the draft Law on Conflict of Interest of RS

TI BiH considers this draft Law to be an improvement over the current legal solution, in terms of several key aspects, such as:

• Expanding the circle of persons to whom the Law applies
• Tightening sanctions by increasing fines,
• Increasing the duration of the ban on performing incompatible functions after the termination of the previous function from three to six months,
• Reduction of the limit for the amounts by which associations and foundations are financed from the budget, in which elected officials, holders of executive functions and advisors cannot perform the president, director, authorized person or member, etc.

However, some provisions in the Draft are not sufficiently defined and there are inconsistencies between different provisions (eg prescribing the obligation to report all gifts and return them to the competent authorities, while the Commission is left to decide whether to order the return of gifts or benefits).

TI BiH considers it unacceptable that the actions of the Commission for Determining Conflicts of Interest in most provisions related to sanctions are left to the discretion of the Commission, given that the wording according to which the Commission “can” impose certain sanctions is used, which is not binding. In practice, this will lead to the possibility of putting pressure on the Commission, problems in its decision-making and will not allow the creation of a uniform practice. The law must explicitly prescribe the manner of action of both the Commission for Determining Conflicts of Interest and persons found to have violated the law, depending on the gravity of the violation. In addition, the draft Law still does not include some of the key international standards related to conflicts of interest, such as the annulment of legal transactions as a result of conflicts of interest.

Also, according to the provisions related to prohibited activities, the unacceptable influence of an official is limited only to the body in which he performs his duties, which is insufficient, having in mind the possibility of his influence on other public bodies as well.

Supporting the initiative to improve the Law on Prevention of Conflicts of Interest in RS Authorities and the above provisions of the Draft, which certainly represent an improvement over the existing Law, which TI BiH hopes will be adopted, TI BiH hopes that the new Law will be adopted as soon as possible.

TI BiH also warns that in adopting such an important anti-corruption regulation, it is crucial to organize a public debate, with the participation of civil society, in order to use the opportunity to adopt the best possible solution.

Comments on the draft RS Law on Conflict of Interest