Addis Ababa, January 9, 2025 (FMC) — The House of People’s Representatives has approved asset recovery bill, a legal framework that prevents and suppresses the detrimental effects of economic crimes in the country.
The asset recovery bill is aimed at establishing a rule-based economic system as the existing legal frameworks lack the power of preventing and suppressing unexplained wealth.
In its 14th regular session today, the House has approved asset recovery bill with a majority vote based on the report of the Legal and Justice Affairs Standing Committee.
The bill incorporates legal provisions that enable the recovery of illegally seized assets along with legal accountability.
Presenting the draft proclamation for approval, Legal and Justice Affairs Standing Committee Chairperson Etsegenet Mengistu said the Asset Recovery Proclamation fills the legal gap to recover government and public assets.
During the deliberation, members of the HPR affirmed that the bill encourages citizens to earn wealth through hard work as it makes those who earn wealth through crime accountable.
According to the proclamation, no one shall obtain any kind of benefit from an illegal act and it becomes necessary to establish a legal framework that prevents and suppresses the detrimental effect of economic crimes on the country.
The existing laws outlined in different proclamations lack sufficient provisions to adequately address the fundamental legal and practical issues, the bill stated.
The proclamation becomes necessary to issue the law as unexplained asset has a negative impact on the country’s tax system, foreign currency, financial flow, and foreign direct investment.