Abstract

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High-level corruption costs nations over $ 2 trillion yearly. Globally +$ 1.5 trillion is lost yearly to public procurement fraud, from which more than EUR 220 billion in the European Union, and another +$1 trillion is lost globally due to tax dodging schemes.

 

The first part of this Research and Evaluation focuses on identifying the Corruption Vulnerabilities and Systemic Corruption Factors (SCF)  maintained in legislation and public procurement evaluation and award criteria to be exploited by corrupt interest groups.

 

The second part proposes:

1. an innovative and comprehensive set of

• Strategic objectives and initiatives to address the yearly $1,5 trillion procurement fraud and actions to recover the assets obtained through corrupt acts.

• Anti-Corruption initiatives and actions to address the Systemic Corruption Risk Factors (SCF).

• Criteria for a rightful allocation of public capital so that the current injustices, inequalities, social unrest, and human suffering will be significantly minimized.

• New fair principles in the selection and hiring process in the gov-donor-public-funded opportunities. The principles highlight the need to allocate 10 points more (out of 100) to those professionals who haven't received their fair share from public funds and who obtained better results providing solutions to social and economic issues, without wasting public funds or donors' money, than those hired by agencies with the same mission.

2. Specifications for an integrity tech and integrated I.T. platform to address the yearly $1.5 trillion public procurement fraud and facilitate the recovery of the assets lost to corruption.

The report (e-book) also focuses on a specific regional systemic corruption case not discovered yet by law enforcement (because of underfunding or institutional capture?) and shows how the white-collar cartels captured regional authorities and nations. 

 

By examining the E.U.'s tender data/Contracts awarded by EU Institutions (available at: https://ted.europa.eu/TED/search/canReport.do), I discovered that the same cartel that extracts from economies $1 trillion through tax dodging schemes for their corporate clients and has 25% botched audits - is illegally privileged in tenders. 

 

The consulting cartel received $4 billion in the last three years to work with the data generated by the E.U. institutions.

 These institutions illegally transferred complete institutional control to them (investigations, audits, strategy development, impact assessments, hiring, tender evaluations). 

 

The result is an illegal outsourcing of the democratic process because the cartel represents the corporations' interests, not the interests of the 450 million E.U. citizens. 

 

In contrast to the $ 4billion granted to the Big Four cartel for data analysis, all E.U. law enforcement agencies received only *EUR 900 million in the last three years, and citizens received zero EUR to scrutinize the necessity of the contracts signed with the cartel and the quality of their deliverables, outputs, and outcomes. 

*2022 Budget:

E.U. Ombudsman - EUR 12 mil

European Court of Auditors - EUR 160 mil

OLAF - EUR 43,9 mil

EPPO – EUR 51 mil

Europol = EUR 193 mil

Interpol = EUR 157 mil

*The budget data is taken from the website of each institution.

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Only some NGOs and journalists received a share of the $ trillions extracted from nations, but many to become corrupt fact-checkers and manipulators, working hard to block the independent voices of high-integrity professionals and entrepreneurs.

 

An independent audit will prove that the cartel's work is worth only 20% of the amount paid by the captured E.U. institutions, and 80% is a misuse of public funds, enriching corrupt patrons that provide no value. Aside from the $ 4 billion misuse of public funds, the indirect cost of their monopoly on audit services is visible in the $billion bid tailoring fraud schemes practiced by corrupt E.U. nations with EU funds at a local level - all fraudulent schemes not documented in the audit reports of these firms.