Lithuania: International Conference on “The State and Business: Rivals or Partners?” on 4 December 2012 in Vilnius
The advantages of the liberal judicial officers system were emphasised at the international conference that took place in Lithuania
On 4 December, 2012, an international conference “The State and Business: Rivals or Partners?” took place in Lithuanian Parliament “Seimas” Palace. Among the most relevant conference topics, it included the discussion of advantages of a liberal judicial officers' system and risks of hasty reforms of the system.
The conference was arranged at the initiative of the Lithuanian Business Confederation and the National Chamber of the Judicial Officers of Lithuania. The latter one invited the First Vice-President of UIHJ Bernard Menut to attend the international conference.
Aleksandras Selezniovas, Chairman of the Presidium of the National Chamber of the Judicial Officers of Lithuania, presented to conference participants a current environment of enforcement proceeding system and the foreseen problems that could emerge upon implementation of the Government's plans to partially nationalize recovery of administrative penalties.
The current self-sufficient Lithuanian penal enforcement system refunds to creditors about 20-33 % of payable debts. Judicial officers' offices (97) and branches of judicial officers' offices (32) are established in all Lithuanian towns and district centres.
A. Selezniovas pointed out to the conference participants that the implementation of the proposals to delegate the recovery of administrative penalties to the public sector would result in an increase of annual budget costs by at least 21 mln. Litas (6.082 mln. Euros). Therefore, the Lithuanian Seimas and the Government are advised to refrain from hasty decision-making and, first and foremost, to conduct a comprehensive assessment of an actual possible cost of the new reform to the state budget, a possible change in the duration of recovery procedures, and final results.
Bernard Menut emphasized that a private judicial officers operating model, introduced in Lithuania, is mostly used in Europe. This model is applied in majority of member countries of the UIHJ. “Execution of court rulings is a key factor for ensuring the safety of business investments,” he declared. If countries seek for a more rapid post-crisis economic recovery, they definitely need a penal enforcement system that would be capable of a fast recovery of debts and that would not financially burden the state.
The 1st Vice-President of the UIHJ stated that debt recovery funds are as well considered an important economic enhancement reserve by the most influential international lending agencies - the European Central Bank, European Commission, and International Monetary Fund. “A policy of the three international lenders is obviously beneficial to private debt collection systems, as these systems are the most economically useful,” said Bernard Menut.
A package of proposals on creation of new jobs and on supplementing the state budget by reducing the state's competition with businesses was developed by the conference participants and delivered to the Chairman of the Seimas of the Republic of Lithuania, Vydas Gedvilas.
The Conference's highlights were widely reflected on national television and in the press. An Interview with conference guest Bernard Menut was published in the daily newspapers “Vilniaus diena” and “Kauno diena”.
