White House Hosts Democracy Summit and Highlights Global Anti-Corruption Commitments

Treasury Releases Draft Rule Improving Transparency for "Anonymous" Shell Companies

More than 100 leaders showcase initiatives to counter dictatorships, fight corruption and promote human rights at a virtual summit the White House hosts December 9-10.

“The White House meetings are incredibly important as we must make sure that pandemic relief aid gets to the people who need it most around the world,” said Eric LeCompte, Executive Director of the religious development group Jubilee USA Network. “Democracy and civic participation are powerful forces that can prevent corruption and hold leaders accountable during a crisis."

In advance of the summit, the US released a strategy to counter corruption.

“A critical part of the US anti-corruption strategy is stopping tax evasion and avoidance at home and abroad,” added LeCompte.

The US strategy follows a National Security Study Memorandum that President Biden issued to lead efforts to strengthen transparency for the US and international financial system.

On Wednesday, Treasury released a draft rule to enforce higher transparency in shell companies. The rule comes after Jubilee USA Network worked for more than 10 years on legislation that requires companies to disclose their true owners. The Corporate Transparency Act passed in January and Treasury shared the draft enforcement rule ahead of the White House summit.

“Treasury’s transparency rule takes us closer to ending the use of anonymous shell companies to support corrupt regimes and criminal networks,” shared LeCompte.

Jubilee USA organized nearly 300 religious, human rights, labor and environmental organizations to advocate that the Administration uses its voice in the G20, G7, IMF and United Nations to promote transparency and accountability in COVID crisis relief measures.

“Corruption is always an enemy of poor and vulnerable people," stated LeCompte. "For more than 20 years, we've worked with Republican and Democratic Administrations to strengthen transparency and promote citizen empowerment in the debt relief and aid we've won for developing countries."

The Biden Administration announced a second summit in a year's time to evaluate the implementation of the summit commitments.