Azerbaijan presents a fairly clear example of a single dominant network,with some separation between the networks controlled by the families of President Ilham Aliyev and his wife, Mehriban Pashayeva Aliyeva.
Aliyev must manage and occasionally discipline competition, however, as in the October 2015 purge of the Ministry of State Security. This network is vertically integrated in a remarkable way: observers describe what they call a bribe-pooling system, whereby bribes and spurious fines extorted at street level are sent upward and pooled centrally, and then a portion is redistributed back down in the form of so-called envelope salaries.
The networks are also horizontally integrated, especially into massive holding companies that are composed of subsidiaries in a variety of lucrative economic sectors.
The elements of state function that are key to Aliyev/Pashayev network
operations include most of the main ministries, especially
The main private sector network elements include:
While no documentary evidence has been found proving links between
the Aliyev/Pashayev network and drug or human trafficking, interviews
with law enforcement personnel indicate collusion. The networks’ control
of other lucrative activities is suggestive.
Drugs? Human Traffickings?
Azerbaijan Active Facilitators
Law firms and business
Provided by specialized rms such as Malaysiabased Naziq & Partners, or Portcullis in
Singapore, or London-based Child & Child.
The key locations where corrupt Azerbaijani ofisials keep their money include Britain(London and the British Overseas Territories),
The Czech Republic, Dubai, Malta, Switzerland,Turkey, and the United States.
Shell company domiciling.
Some Aliyev-linked companies have beenreported to be domiciled in the British Virgin
Islands, Dubai, and Singapore.
Azerbaijan External Enablers
The main external enablers are:
AZERBAIJAN REVENUE STREAMS
Former Senior Fellow at the Democracy and Rule of Law Program at the Carnegie Endowment for International Peace