PF ENG.pdf

3. DonationsLegislative amendments adopted on December 28, 2011 have radically changed regulationsconcerning the receipt of donations 14 . The most significant of the entered amendments was the banimposed on legal entities to finance political unions.Legislative amendments entered on May 28, 2012have brought about changes to the transparencystandards as well. It is no longer mandatory to The fact, that indicating address in theindicate the registration office address in the data about donors is not obligatory anyindividual investors information. We believe that more, can be considered as hinderingthis change is an impediment to financial financial transparency and accountability.transparency and accountability, to ensurecomplete identification of political party investorsshould be made available, as there may exist a reasonable doubt in society on some of the donationsbeing fictitious. Similar facts have been confirmed several times in previous years. Interestingly, theinvestor’s ID number is still indicated in the declarations, allowing one to obtain certain information,including the address; it would, however, be preferable if financial statements had a direct referenceabout the address so that the interested parties would not have to resort to alternative mechanisms.As noted above, from December 28 2011 receiving donations from legal persons is prohibited. Sincethe 2012 declarations pertain to the period from November 1, 2011 to November 1, 2012, inclusive,they incorporate individual donations aswell 15 .As regards the tendency of receivingdonations from individuals, 2012 16 was aspecial year. Over the years 2007-2010,state funding remained to be the main,and often the sole, source of income forpolitical unions, while in 2012,Over the years 2007-2010, state funding remained tobe the main, and often the sole, source of income forpolitical unions, while in 2012, donations appeared tobe the main source. This was exactly how partiesreceived an average of 58% of their financing.14 For a detailed comparison, see Transparency International – Georgia Report on 2011 Party Financing:http://transparency.ge/en/post/report/finances-political-parties-year-201115 For detailed information, see Transparency International – Georgia Report on 2011 Party Financing:http://transparency.ge/en/post/report/finances-political-parties-year-201116Information concerning the donations received over the period from 2007 to 2011 as well as the number ofinvestors can be found in Figure 3 in the annex.8