Asset recovery and kleptocracy
| Published date | 20 July 2010 |
| Date | 20 July 2010 |
| DOI | https://doi.org/10.1108/13590791011056282 |
| Pages | 321-332 |
| Author | Jeffrey Simser |
| Subject Matter | Accounting & finance |
Asset recovery and kleptocracy
Jeffrey Simser
Civil Remedies for Illicit Activities Office, Ministry of the Attorney General,
Toronto, Canada
Abstract
Purpose – The purpose of this paper is to present a discussion of the corrosive effects of corruption
and techniques, both criminal and civil to recover the proceeds of corruption.
Design/methodology/approach – The paper examines the Canadian and international perspective
on the issue.
Findings – Civil asset recovery is a viable technique although there are a number of barriers that
need to be addressed.
Research limitations/implications – Further research on the effectiveness of recovery measures
needs to be conducted.
Practical implications – The paper examines the practical implications of the asset recovery
techniques to address corruption.
Originality/value – Perspectives on asset recovery are brought to bear from an anti-money
laundering and forfeiture practitioner.
Keywords Corruption, Criminalforfeiture, Civil law
Paper type Research paper
[...] kleptocracies are notoriously unstable (Glenny, 2008).
Dr Frederick Jacob Titus Chilubu (FJT) was the President of Zambia between 1991 and
2001. His successor, President Mwanawasa, elected in 2001 and re-elected in 2006,
made anti-corruption a centerpiece of his administration[1]. When he was President,
FJT liked, literally, to look good. He had stylish suits, custom-made shoes, and
thousands of monogrammed shirts. FJT’s fine sartorial taste was not commensurate
with his earnings; over ten years he officially earned $105,000. So, in the words of a
British Court, FJT “stole $1,200,000” to remunerate an exclusive tailor in Basile,
Switzerland. In fact FJT spent roughly $500,000 on clothes; the balance of the
$1.2 million is unaccounted for. The vast majority of Zambians struggle to survive on
less than $1 a day[2]. The Zambia case, discussed in detail below, is at once a victory
and a cautionary tale: recovering a kleptocrat’s money is very difficult. This paper
examines the challenge of kleptocracy or grand corruption, reviews some of the existing
mechanisms to address the problem, and makes recommendations on reforms.
Grand corruption
This paper focuses primarily on “grand corruption” or the “large-scale ransacking of
treasuries by heads of state and their associates” (Starr, 2007). While garden-variety
“tea money” corruption is a problem (Kumar, 2004)[3], the grander larceny of state
The current issue and full text archive of this journal is available at
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The views expressed in this paper are those of the author alone, and do not represent the views of
the Government of Ontario.
Asset recovery
and kleptocracy
321
Journal of Financial Crime
Vol. 17 No. 3, 2010
pp. 321-332
qEmerald Group Publishing Limited
1359-0790
DOI 10.1108/13590791011056282
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