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Foreign Companies and Crime in Eastern Europe

NCJ Number
167266
Author(s)
K Aromaa; M Lehti
Date Published
1996
Length
85 pages
Annotation
This report presents the methodology and findings of a Finnish study that surveyed the security risks experienced by Finnish companies that have begun to operate in the St. Petersburg region and in Estonia.
Abstract
The study's aim was to provide an up-to-date overview of the central crime-related problems of the companies and to develop techniques for surveys of corporate victimization in the region. The study was conducted in St. Petersburg in the winter of 1994- 95 and in Estonia in the spring of 1995. Information was collected primarily on criminal victimization experienced in the preceding year. In addition, the companies were asked to provide data on problems connected with client relationships, authorities, and staff, as well as on solutions developed in coping with and preventing such problems. The regions of Estonia and St. Petersburg were a good case for a comparison, because in the beginning of the 1990's they had similar crime situations. Also, in both regions the reforms of recent years have been more substantial and fundamental than in many other areas. Overall, the foreign companies currently operating in St. Petersburg must face problems generally typical for operations in unstable societies. The problems include corrupt public officials, unreliable local law enforcement, and extortion. Given the unreliability of local law enforcement, companies must rely on their own security. This places unusually high requirements on systems for retrieving information and on knowledge of local circumstances. If company security is well-planned, security problems can be controlled and at a tolerable cost. The second part of the report provides a general description of recent crime trends in the two regions and in a number of other Eastern European countries. 77 references and appended terms of the security/protection contracts in St. Petersburg and Estonia