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orange blossom
Joined: 20 Mar 2007
Posts: 1162
Location: Australia
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 Posted: Sun Aug 17, 2008 2:06 am Post subject: Corruption - checking a universal problem |
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Corruption, according to Wikipedia, Corruption, when applied as a technical term, is a general concept describing any organized, interdependent system in which part of the system is either not performing duties it was originally intended to, or performing them in an improper way, to the detriment of the system's original purpose. Its original meaning has connotations of evil, malignance, sickness, and loss of innocence or purity.
http://www.icgg.org/
There are specific types of corruption include:
Political corruption such as bribery, extortion, cronyism, nepotism, patronage, graft, and embezzlement. This is a specific form of rent seeking, where access to politics is organized with limited transparency, limited competition and directed towards promoting narrow interests.
Others include :
| Quote: | Data corruption, or an unintended change to data in storage or in transit.
Linguistic corruption, or the change in meaning to a language or a text introduced by cumulative errors in transcription or changes in the language speakers' comprehension.
Putrefaction or decomposition of recently living matter. This physical process is the primary model of the metaphorical meaning of corruption, so advanced states of corruption in, e.g. a political structure are said to result in their putrefaction. |
Since historical times, no governments or culture has yet been able to prevent corruption from happening.
The malaise could only be effectively kept in check and gradually eradicated if potential whistle blowers know that the legal process will be followed through. Only under such conditions would they have the courage to expose irregularities, corruption, bribery that are against public interests, knowing they would be investigated and the culprits punished by the laws.
In recent weeks, the media attention focussed on the Olympics over the suicide of food inspection chief Wu Jianping for promoting chosen companies. Games organisers have stepped up vigilance against graft.
http://www.smh.com.au/news/world/many-want-a-cut-from-the-fat-on-bacon-but-not-the-diners/2008/08/15/1218307227998.html?page=fullpage#contentSwap1
From historical experience, we could safely say that corruption is indifferent to political systems and cultures.
China's democratic counterpart Taiwan has been the scene of some high profile corruption deals.
http://news.smh.com.au/world/taiwan-exleader-in-money-launder-probe-20080816-3wpq.html
A look at the western world closer home, corruption by public officials have sometimes impeded the efficiency of services of the Australian healthcare and transportation system. It is surprising that it took so long for the authorities to realise and start investigations of state rail employees' blatant corruption that has long compromised service standards.
http://www.smh.com.au/news/national/railcorps-gravy-train-reaches-the-end-of-the-line/2008/08/13/1218307006700.html?page=fullpage#contentSwap1
http://news.smh.com.au/national/icac-to-probe-sutherland-councillors-20080811-3tig.html
Russia
Though recognised as a democracy by most western governments, Russia has been plagued by corruption problems comparable or worse than Tsarist times.
http://www.zpu-journal.ru/en/articles/detail.php?ID=336
http://www.smh.com.au/news/world/public-service-snub-to-putin/2008/08/08
http://www.smh.com.au/news/world/putins-push-is-all-about-taking-it-personally/2008/08/12/1218306898462.html/1218139078124.html
http://www.jamestown.org/edm/article.php?article_id=2373272
To some in the developing world, corruption has been controversially euphemised as a necessary lubricant for the smooth running of the political and economic system rather than an evil to be eradicated!
Private sector
While there are many merits of a capitalist system, the freedom from regulation has also given rise to the proliferation of undertable deals and bypassing checks and balances and scrutiny until the problem grows out of proportion. There have been many examples of enterprises' executives putting self interests above consumer and public interest.
The recent spotlight on German engineering giant Siemens a slush fund scandal shows it ignored its own anti-corruption procedures.
http://news.smh.com.au/world/former-siemens-management-lax-on-anticorruption-report-20080817-3wtb.html
The revelation of Enron fraud is probably one of the worst cases of deceptionin the history of America.
http://www.quarterly-report.com/energy/enron.html
http://www.thelawjournal.co.uk/Enron%20WorldCom%20and%20the%20Corruption%20of%20Society.htm
| Quote: | Are these senior executives intelligent beings, or Pavlovian dogs responding to controlled stimuli?
These executives, senior or junior, need to realise that their actions will hurt them, since society will in the final analysis react against them. They need to realise that the famous phrase is not 'self-interest' -- it is enlightened self-interest. They need to realise that running a company is a public 'trust' (I use that term loosely, but in the context that society are the beneficiaries). A reasonable profit for the risk takers is acceptable. Unconscionable actions are not.
The bottom line is that the practices of the past cannot continue. The attitudes and ethics of Business, Government, and Society itself must change. |
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XP
Joined: 19 Mar 2007
Posts: 622
Location: Beautiful Island
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| Posted: Sun Aug 31, 2008 12:48 pm Post subject: Foreign ventures corruption vulnerabilities |
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http://news.bbc.co.uk/1/hi/world/middle_east/7444083.stm
A BBC investigation estimates that around $23bn (£11.75bn) may have been lost, stolen or just not properly accounted for in Iraq.
War profiteering
| Quote: | While Presdient George W Bush remains in the White House, it is unlikely the gagging orders will be lifted.
To date, no major US contractor faces trial for fraud or mismanagement in Iraq.
The president's Democratic opponents are keeping up the pressure over war profiteering in Iraq.
Henry Waxman, who chairs the House committee on oversight and government reform, said: "The money that's gone into waste, fraud and abuse under these contracts is just so outrageous, it's egregious.
"It may well turn out to be the largest war profiteering in history."
In the run-up to the invasion, one of the most senior officials in charge of procurement in the Pentagon objected to a contract potentially worth $7bn that was given to Halliburton, a Texan company which used to be run by Dick Cheney before he became vice-president.
Unusually only Halliburton got to bid - and won. |
Last edited by XP on Mon Sep 01, 2008 11:01 am; edited 1 time in total |
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XP
Joined: 19 Mar 2007
Posts: 622
Location: Beautiful Island
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| Posted: Sun Aug 31, 2008 1:06 pm Post subject: What is the difference between minor corruption and abuse? |
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We received some encouraging comments from forum participants who have expressed interest in examining this topic further.
One recent agency report on alleged corruption of China's expenditure on earthquake relief funds has caught my attention.
| Quote: | A total of $3.7 million in disaster relief funds were diverted to construct government buildings or spent on administration last year, the official Xinhua News Agency said.
China is trying to rebuild from a 7.9-magnitude quake that struck Sichuan province on May 12, killing nearly 70,000 people and leaving 5 million homeless.
Beijing has in recent years sought to tighten government budgets to rein in spending and eliminate waste while boosting assistance for victims of floods, earthquakes and other disasters. Such emergency funds are not always carefully accounted for, making them susceptible to misuse or embezzlement.
The corruption was relatively minor, however, given the total of 4.52 billion yuan ($660 million) in abused funds Xinhua said was cited in Auditor-General Liu Jiayi's annual report to the National People's Congress, China's rubber stamp parliament.
Liu said 117 cases of official embezzlement were uncovered in 2007, and 14 top officials detained. |
Firstly, the diversion of funds do not fit the definition of corruption. Spending that goes directly to victims or construction of buildings all come under earthquake relief. It is a matter of prioritising the spending and reducing wastage.
Secondly, there is no proof of pilfering that has benefitted officials personally. By self admission, the report said corruption was relatively minor in China. It then created confusion by pointing out that it wasn't corruption per se but an "abuse" of funds.
The fact that the auditors could uncover these minor cases show an efficient monitoring system of checking abuses depending on how one defines the term. China has an open feedback channel for citizens to file complaints against corrupt officials. In recent years, people are encouraged to expose abuse of power and position and those found guilty were severely punished.
In contrast it was a daunting task for whistleblowers of Enron that had the connivance of many politicians and businesses to bring it to justice after many long years of investigation. The rich and powerful could have their way as they are protected by the law and good defence lawyers.
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