No. 5




The Problem of State Oversight and the Law on Procurements

14 June 2002


RiTo No. 5, 2002

One of the purposes of the project, Limiting Corruption in a Transitional Society, was to identify which stage of state procurement posed the biggest danger of corruption and how to discourage it with legal measures.

Many publicly disclosed crimes and infractions testify to the fact that Estonia lacks effective supervision over procurement contracts and their execution. This situation opens the door to potential collusion between the buyer and the successful bidder – to increase the cost of the goods or services being provided or to agree on deferring the date or lowering the quality of the procurement. This of course renders the whole, foregoing tender process – costly and time-consuming – of questionable value.

The lack of state supervision of the activity of the buyer after a procurement contract is concluded has subjected new procurement contracts and amendments to contracts to regulation that is unjustifiably strict.

Full article in Estonian