ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT ANTI-CORRUPTION NETWORK FOR EASTERN EUROPE AND CENTRAL ASIA Anti-Corruption Reforms in MONGOLIA Joint First and Second Rounds of Monitoring of the Istanbul Anti-Corruption Action Plan The report was adopted at the ACN meeting on 9 October 2015 at the OECD in Paris. About the OECD The OECD is a forum in which governments compare and exchange policy experiences, identify good practices in light of emerging challenges, and promote decisions and recommendations to produce better policies for better lives. The OECD’s mission is to promote policies that improve economic and social well-being of people around the world. Find out more at www.oecd.org. About the Anti-Corruption Network for Eastern Europe and Central Asia Established in 1998, the main objective of the Anti-Corruption Network for Eastern Europe and Central Asia (ACN) is to support its member countries in their efforts to prevent and fight corruption. It provides a regional forum for the promotion of anti-corruption activities, the exchange of information, elaboration of best practices and donor coordination via regional meetings and seminars, peer-learning programmes, and thematic projects. ACN also serves as the home for the Istanbul Anti-Corruption Action Plan. Find out more at www.oecd.org/corruption/acn/. About the Istanbul Anti-Corruption Action Plan The Istanbul Anti-Corruption Action Plan is a sub-regional peer-review programme launched in 2003 in the framework of the ACN. It supports anti-corruption reforms in Armenia, Azerbaijan, Georgia, the Kyrgyz Republic, Kazakhstan, Mongolia, Tajikistan, Ukraine and Uzbekistan through country reviews and continuous monitoring of participating countries’ implementation of recommendations to assist in the implementation of the UN Convention against Corruption (UNCAC) and other international standards and best practice. Find out more at www.oecd.org/corruption/acn/istanbulactionplan/. This report is published on the responsibility of the Secretary-General of the OECD. The opinions expressed and arguments employed herein do not necessarily reflect the official views of OECD member countries. This document and any map included herein are without prejudice to the status of or sovereignty over any territory, to the delimitation of international frontiers and boundaries and to the name of any territory, city or area. © OECD 2015 2 Table of contents Executive Summary .................................................................................................................................. 5 Anti-corruption policy .................................................................................................................................... 5 Criminalisation of corruption ......................................................................................................................... 5 Prevention of corruption ................................................................................................................................. 6 Monitoring of Mongolia ........................................................................................................................... 9 Country background information ...................................................................................................... 11 Economic and social situation ...................................................................................................................... 11 Political system ............................................................................................................................................. 11 Trends in corruption ..................................................................................................................................... 12 Acronyms .................................................................................................................................................. 17 1. Anti-corruption policy ....................................................................................................................... 19 1.1.-1.2. Political will to fight corruption, anti-corruption policy documents .............................................. 19 1.3. Corruption surveys ................................................................................................................................ 23 1.4.-1.5. Public participation in anti-corruption policy work, raising awareness and public education ....... 24 1.6. Specialised anti-corruption policy and co-ordination institution ........................................................... 26 2. Criminalisation of corruption.......................................................................................................... 32 2.1-2.2 Offences and elements of offence .................................................................................................... 32 2.3. Definition of public officials ................................................................................................................. 42 2.4.-2.5. Sanctions and confiscation ............................................................................................................. 44 2.6. Immunities and statute of limitations .................................................................................................... 48 2.7. International co-operation and mutual legal assistance ......................................................................... 52 2.8. Application, interpretation and procedure ............................................................................................. 56 2.9. Specialised anti-corruption law-enforcement bodies............................................................................. 58 3. Prevention of corruption .................................................................................................................. 60 3.2. Integrity of civil service ......................................................................................................................... 60 3.3. Promoting transparency and reducing discretion in public administration ........................................... 70 3.4. Public financial control and audit .......................................................................................................... 72 3.5. Public procurement ................................................................................................................................ 76 3.6. Access to information ............................................................................................................................ 84 3.7. Political corruption ................................................................................................................................ 90 3.8. Integrity in the judiciary ........................................................................................................................ 96 3.9. Private sector ....................................................................................................................................... 100 Summary table ..................................................................................................................................... 103 Annexes ................................................................................................................................................... 104 Criminal Code provisions ........................................................................................................................... 104 Law on Anti-Corruption of Mongolia ........................................................................................................ 110 Law of Mongolia on Regulation of Public and Private Interests and Prevention of Conflict of Interest in Public Service ............................................................................................................................................. 127 Criminal statistics ....................................................................................................................................... 140 Organizational structure of the Independent Authority Against Corruption .............................................. 141 3 Tables Table 1. Mongolia in Transparency International’s 2013 Global Corruption Barometer ............................ 12 Table 2. Perception of the change in the level of corruption in Mongolia in the past three years ............... 12 Table 3. Perception of expected changes in the level of corruption in the next three years ......................... 13 Table 4. Corruption perceptions in Mongolia by institution, 2013 Global Corruption Barometer .............. 13 Table 5. Top five corrupt institutions in Mongolia ...................................................................................... 14 Table 6. Corruption experience by public sector, 2013 Global Corruption Barometer ................................ 14 Table 7. Reasons for corruption, 2013 Global Corruption Barometer ......................................................... 14 Table 8. Reasons for corruption, SPEAK, 2015 ........................................................................................... 15 Table 9. Civic activism in fighting corruption, 2013 Global Corruption Barometer ................................... 15 Table 10. Corruption experience, 2013 Global Corruption Barometer ........................................................ 15 Table 11. Corruption reporting,