Kazakh Anti-Corruption Service Steps Up Global Asset Recovery Efforts
Kazakhstan Strengthens International Cooperation to Combat Financial Crimes and Recover Illegally Withdrawn Assets
Since the enactment of the law on returning illegally withdrawn assets to the state in 2023, Kazakhstan has been actively working to strengthen its international cooperation in order to enhance data exchange, track suspicious international financial transactions, and recover assets such as securities, real estate, jewelry, and ancient artworks. The recovered funds are then directed towards socio-economic projects aimed at benefiting the society.
According to chairman of the Anti-Corruption Service, Askhat Zhumagali, Kazakhstan has successfully returned approximately 195 billion tenge (US$410 million) and 1.07 trillion tenge (US$2.2 billion) of illegally withdrawn assets over the past 2.5 years, including assets from oligopolies. This initiative aims at compensating for the damage caused by corruption and returning illicitly obtained assets.
The Anti-Corruption Service collaborates with international law enforcement networks such as the UN’s GlobE, the Egmont Group, and CARIN and ARIN. The Asset Recovery Committee of the Prosecutor General’s Office has approved claims for the return of illegally obtained assets worth over 325 billion tenge (US$727 million), with 272 billion tenge (US$608 million) in funds allocated to social and economic projects.
One of the projects involves building educational and cultural centers for several billion tenge, which will serve the population’s interests and benefit society. Kazakhstan Vice Minister of Finance, Yerzhan Birzhanov, highlighted the discrepancies in customs declarations, amounting to nearly one billion tenge (US$2.11 million). He emphasized the importance of controlling financial activities to prevent fraud and capital withdrawal.
Birzhanov also mentioned Kazakhstan’s participation in the Strasbourg Convention, allowing the exchange of financial data with other countries. This exchange of information includes details on nearly 600 Kazakh citizens’ transactions and foreign account balances, reflecting a global trend towards transparency.
Furthermore, the documentary Subject to Refund featured the Prosecutor General’s Office requesting property confiscation from various countries, including the U.S.A., the U.K., Monaco, Spain, Italy, and the United Arab Emirates. This initiative has led to the confiscation of luxury real estate, expensive cars, hotels, jewelry, and branded items.
The Asset Recovery Committee has filed numerous lawsuits to recover assets of unexplained origin, with one court decision mandating the return of over $11 million and valuable items. Kazakhstan’s collaboration with Interpol’s Silver Bulletin initiative has resulted in the recovery of approximately $700 million in assets and funds from abroad.
Aibek Dadebai, the head of the Presidential Administration, emphasized that this unprecedented practice is supported by reputable international organizations and partner countries. The ongoing efforts to return illegal assets will continue, with a focus on improving mechanisms for recovering people’s capital.
