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1 – 10 of 21Usama Alqalawi, Ahmad Alwaked and Anas Al Qudah
This paper aims to determine the tax potential of G20 countries and estimate the tax revenue they could generate. The study evaluates the effectiveness of tax revenue collection…
Abstract
Purpose
This paper aims to determine the tax potential of G20 countries and estimate the tax revenue they could generate. The study evaluates the effectiveness of tax revenue collection for G20 nations from 2008 to 2020 and investigates the relationship between tax collection efficiency and tax evasion. The study also examines the link between tax collection efficiency and a proxy for tax evasion through anti-corruption efforts.
Design/methodology/approach
The study assumes that tax collection is a function of gross domestic product (GDP), population, imports and price level. The study uses a stochastic frontier analysis to calculate the efficiency of tax collection. It estimates the loss in total tax collection due to inefficiency by comparing actual and best-practice tax collection.
Findings
The findings indicate that anti-corruption measures and technological advancements positively impact tax collection efficiency. Great Britain is identified as the most efficient country in tax collection, whereas Saudi Arabia is the least efficient. Germany has the highest losses in tax collection due to inefficiency, while Australia experiences the lowest losses in tax collection.
Originality/value
This study suggests several practical implications. For example, legislators and policymakers should pay more attention to anti-corruption policies. Also, tax agenesis should focus on better understanding variations in tax collection efficiency between countries and how they relate to tax evasion.
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Haitian Wei, Rasidah Mohd-Rashid and Chai-Aun Ooi
As a consequence of the proposal of the Carbon Neutral and Carbon Peak policy in 2020, the Chinese Government is paying more attention to developing sustainability performance…
Abstract
Purpose
As a consequence of the proposal of the Carbon Neutral and Carbon Peak policy in 2020, the Chinese Government is paying more attention to developing sustainability performance. This study aims to assess the direct influence of country-level and corporate anti-corruption measures on environmental, social and governance (ESG) and its three dimensions, besides ascertaining the moderating role of firm size.
Design/methodology/approach
This study used the system generalized method of moments on a sample of 820 Chinese listed firms from 2012 to 2021.
Findings
The findings show that country-level and corporate corruption negatively affect ESG performance. Corporate anti-corruption measures have a more pronounced positive influence on the sustainability performance of small firms than large firms due to the limited resources, lower political position and weaker refusal power of small firms.
Research limitations/implications
The study has great implications for governments, corporate boards and ESG rating agencies. Government and corporate boards should mitigate the risks of country-level and corporate corruption to attain sustainable development goals. Rating agencies should add country-level and corporate corruption into the ESG evaluation system.
Originality/value
Some empirical results have proven that anti-corruption measures help reduce the emission of carbon dioxide, but few evidence shows how country-level and corporate corruption affect ESG and its three dimensions.
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Musa Ghazwani, Ibrahim Alamir, Rami Ibrahim A. Salem and Nedal Sawan
This study aims to examine the impact of corporate governance (CG) on anti-corruption disclosure (A-CD), paying particular attention to the FTSE 100. Notably, it examines how…
Abstract
Purpose
This study aims to examine the impact of corporate governance (CG) on anti-corruption disclosure (A-CD), paying particular attention to the FTSE 100. Notably, it examines how board and audit committees’ characteristics affect the quantity and quality of anti-corruption disclosure.
Design/methodology/approach
Data from FTSE 100 firms, spanning the period from 2014 to 2020, were analysed using the regression of the Poisson fixed effect and GEE analyses.
Findings
The findings show that gender diversity, audit committee expertise and the independence of the audit committee are positively associated with both quantity and quality of anti-corruption disclosure. Notably, no statistically significant relationships were identified between anti-corruption disclosure and factors such as board size, role duality or board meetings.
Research limitations/implications
The findings provide valuable insights for decision-makers and regulatory bodies, shedding light on the elements that compel UK companies to enhance their anti-corruption disclosure and governance protocols to alleviate corruption and propel efforts towards ethical behaviour.
Originality/value
This study makes a notable contribution to the sparse body of evidence by examining the influence of board and audit committee attributes on anti-corruption disclosure subsequent to the implementation of the UK Bribery Act in 2010. Specifically, to the best of the authors’ knowledge, this study assesses for the first time the impact of board and audit committee mechanisms on both the quantity and quality of anti-corruption disclosure.
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Recent developments in the EU’s anti-corruption strategy have brought the EU closer to meeting the UNCAC’s objectives, i.e. the Proposal for a Directive on combating corruption…
Abstract
Purpose
Recent developments in the EU’s anti-corruption strategy have brought the EU closer to meeting the UNCAC’s objectives, i.e. the Proposal for a Directive on combating corruption (2023) and the Proposal for a Directive on Asset Recovery and Confiscation (2022). This paper aims to discuss these developments from the perspective of the UNCAC, to identify missing elements in the EU’s asset recovery mechanisms.
Design/methodology/approach
Critical approach towards EU anti-corruption policy (discussing the problems and solutions). Review of EU developments in asset recovery law.
Findings
There is a political will on the part of the EU to fight corruption through the rules enshrined in the UNCAC. However, improving EU law by introducing a new type of confiscation of unexplained wealth and criminalising illicit enrichment, without establishing convergent rules for the return of corrupt assets from EU territory to the countries of origin, cannot be seen as sufficient action to achieve the UNCAC’s objectives. In modelling mechanisms of the return of assets, the EU should search for solutions to overcome the difficulties resulting from the ordre public clause remaining a significant factor conditioning mutual legal assistance.
Originality/value
This paper discusses the possible input of the EU, as a non-State Party to the UNCAC, to advance implementing the UNCAC solutions on asset recovery by establishing convergent rules for the return of corrupt assets from EU territory to countries of origin.
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Md Noor Uddin Milon and Habib Zafarullah
Money laundering (ML) is a major criminal offence stemming from unethical practices by personnel on the ground at Chattogram Port, an important import and export facility in…
Abstract
Purpose
Money laundering (ML) is a major criminal offence stemming from unethical practices by personnel on the ground at Chattogram Port, an important import and export facility in Bangladesh. Because money can be more easily laundered through imports, it is necessary to investigate the dubious process in this sector. This study aims to identify the items most regularly used for easy ML and the factors contributing to their vulnerability.
Design/methodology/approach
This research uses a qualitative approach and analyses information from primary sources. Data is obtained from customs officials, port authority personnel, importers and customs brokers through semi-structured questionnaires. Although there are many techniques for ML, this study only found three most overwhelming: under-invoicing, over-invoicing and misdeclaration. A few case studies have been used based on newspaper reports and the internet to triangulate the qualitative data.
Findings
Four import items – food products, garments, capital machinery and chemicals – have a higher risk of ML. This study also revealed that money launderers prefer under-invoicing food and garment items. Misdeclaration is more commonly associated with capital machinery and chemical items. Over-invoicing, on the other hand, is only prevalent in government purchases. The port authorities need to pay particular attention to these issues.
Research limitations/implications
As ML is an ongoing activity that changes over time, the findings of this research are circumscribed by the data collected at a single point in time. Additionally, this research did not consider alternative laundering methods.
Practical implications
The research results can provide a basis for creating effective anti-money laundering (AML) strategies to assist with sustainable economic growth.
Social implications
Developing effective AML measures can help combat corruption and establish good governance in the country and support human well-being.
Originality/value
This paper presents original research findings based on technical analysis. The Chattogram Port Authority and the National Board of Revenue have accepted and used the main findings in a collaborative action plan to tackle ML. The Bangladesh Bank, the country’s central bank, has also incorporated the necessary guidelines and regulations into the Money Laundering Prevention Act, 2012.
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Luigi Nasta, Barbara Sveva Magnanelli and Mirella Ciaburri
Based on stakeholder, agency and institutional theory, this study aims to examine the role of institutional ownership in the relationship between environmental, social and…
Abstract
Purpose
Based on stakeholder, agency and institutional theory, this study aims to examine the role of institutional ownership in the relationship between environmental, social and governance practices and CEO compensation.
Design/methodology/approach
Utilizing a fixed-effect panel regression analysis, this research utilized a panel data approach, analyzing data spanning from 2014 to 2021, focusing on US companies listed on the S&P500 stock market index. The dataset encompassed 219 companies, leading to a total of 1,533 observations.
Findings
The analysis identified that environmental scores significantly impact CEO equity-linked compensation, unlike social and governance scores. Additionally, it was found that institutional ownership acts as a moderating factor in the relationship between the environmental score and CEO equity-linked compensation, as well as the association between the social score and CEO equity-linked compensation. Interestingly, the direction of these moderating effects varied between the two relationships, suggesting a nuanced role of institutional ownership.
Originality/value
This research makes a unique contribution to the field of corporate governance by exploring the relatively understudied area of institutional ownership's influence on the ESG practices–CEO compensation nexus.
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Atupakisye Mwakolo, Meshack Siwandeti, Leticia Mahuwi and Baraka Israel
The study aims to explore the role of procurement of good governance (PGG) on value for money (VfM) achievement in public construction projects. By investigating various…
Abstract
Purpose
The study aims to explore the role of procurement of good governance (PGG) on value for money (VfM) achievement in public construction projects. By investigating various dimensions of PGG, including transparency, accountability, competition and integrity, this study provides insights into how these factors contribute to the successful achievement of VfM outcomes in public construction projects.
Design/methodology/approach
The data were sourced from 203 construction project practitioners from 24 selected procuring entities in Tanzania using a census approach and a cross-sectional questionnaire survey. Confirmatory factor analysis (CFA) and structural equation modelling (SEM) were used for data analysis.
Findings
The findings of the study revealed a positive and significant impact of various dimensions of PGG on VfM. Specifically, transparency, accountability, competition and integrity were positively and significantly related to VfM, with p-values <0.001. Based on the study findings, we conclude that PGG is an important predictor of VfM achievement in public construction projects.
Practical implications
The study offers policy implications for streamlined PGG and VfM achievement in public construction projects. It is suggested that procuring entities can enhance VfM by enforcing compliance with the principles of PGG throughout the entirety of construction projects. In this case, streamlined legislative frameworks and control mechanisms are crucial components that could enhance PGG and the achievement of VfM.
Originality/value
This study contributes to the academic literature on the strategic role of PGG in enhancing VfM achievement. This is one of the research domains, which has not been adequately researched, particularly in Tanzania’s context. In addition, the study provides valuable insights to policymakers, practitioners and stakeholders involved in public construction projects to improve project outcomes and resource allocation.
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Mohd Azril Rezza Mohd Razmin, Amri Mohamad and Maheran Zakaria
This study aims to investigate the factors that influence asset misappropriation fraud among police officers in the Internal Security and Public Order (Malay: Keselamatan Dalam…
Abstract
Purpose
This study aims to investigate the factors that influence asset misappropriation fraud among police officers in the Internal Security and Public Order (Malay: Keselamatan Dalam Negeri dan Ketenteraman Awam [KDNKA]) Department, Royal Malaysian Police (RMP).
Design/methodology/approach
Primary data were collected from a questionnaire-based survey and the data were analysed using descriptive analysis, correlation analysis and multiregression.
Findings
The element of pressure was found to have a negative relationship with asset misappropriation fraud. This result shows the uniqueness of the KDNKA Department in the RMP. The other three elements are found to have a significant positive relationship with asset misappropriation fraud.
Practical implications
This study’s findings can aid academicians in gaining a better understanding of the literature surrounding fraud diamond theory and aid the policymakers in recognizing the signs and possibilities of asset misappropriation fraud in public agencies.
Originality/value
To the best of the authors’ knowledge, this is the first study that uses the KDNKA Department which is the second largest department in RMP as a population in fraud study.
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This study aims to investigate Bangladesh’s e-commerce regulations in light of the growing criticism that they are insufficient to curb predicate crimes like fraud and money…
Abstract
Purpose
This study aims to investigate Bangladesh’s e-commerce regulations in light of the growing criticism that they are insufficient to curb predicate crimes like fraud and money laundering in the online marketplace.
Design/methodology/approach
This study used the exploratory design to examine the latest ministerial directives and laws governing e-commerce in Bangladesh to determine why they cannot prevent fraudulent activities in this promising sector and identify potential solutions.
Findings
Bangladesh’s regulatory responses to e-commerce fraud prevention and detection are reactive and inadequate. Regulators are unwilling and unable to enforce available legal provisions for various reasons, including a lack of knowledge and coordination among the agencies.
Research limitations/implications
This paper focuses solely on the legal and regulatory framework in place to combat e-commerce fraud. Other critical issues, such as consumer rights, privacy and data protection in e-commerce, are not addressed.
Practical implications
The findings of this study will assist policymakers in revising current regulatory approaches to e-commerce to protect this sector from criminal abuse.
Originality/value
This study looked into the possibility of using a proactive risk-based approach in the e-commerce sector, similar to what the Bangladesh Financial Intelligence Unit does in the financial sector.
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This study aims to explore how females on committees (FOC) and committee ethnic diversity (CED) impact environmental, social and governance performance (ESGP).
Abstract
Purpose
This study aims to explore how females on committees (FOC) and committee ethnic diversity (CED) impact environmental, social and governance performance (ESGP).
Design/methodology/approach
This study examines 126 listed firms under the coverage of FTSE ESG Ratings in Bursa Malaysia between 2017 and 2019. This study applies partial least squares structural equation modeling (PLS-SEM) to examine the hypotheses. While the risk of common method variance is minimised using multiple data sources for the analysis, instrumental variable-free approach, i.e. Gaussian copula method which is implemented in SmartPLS 4.0 has been used to address the potential endogeneity of the model.
Findings
Empirical evidence demonstrates significant positive direct relationships between FOC and ESGP, as well as CED and ESGP. The argument of resource dependence theory and positive empirical results on the two direct relationships hold firm despite several committees being aggregated as one construct with the aim of providing different insights into the literature.
Practical implications
This study provides implications for firm leadership to consider reviewing the composition of committees by increasing female representation while striking a balance in the appointment of committee members of different ethnicities to enhance firm ESGP.
Originality/value
To the best of the author’s knowledge, this study adopts a holistic approach by capturing, for the first time, the female representation of audit, nomination, remuneration and risk management committees. These dimensions are further developed into a single quantifiable variable, presented as FOC. Similarly, the ethnic diversity of the respective committees is aggregated and developed into a single quantifiable construct: the CED. Unlike most existing studies that commonly use econometric software, the application of PLS-SEM in this study contributes to the limited body of corporate governance and ESG studies that use PLS-SEM.
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