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1 – 10 of 528The purpose of this article is to analyse the weaknesses of governance institutions in constraining grand corruption arising from the government procurement of large…
Abstract
Purpose
The purpose of this article is to analyse the weaknesses of governance institutions in constraining grand corruption arising from the government procurement of large foreign-funded infrastructure projects in the Philippines. The weaknesses are revealed in the description and analysis of two major scandals, namely, the construction of the Bataan Nuclear Power Plant during the Marcos era and the National Broadband Network project of the Arroyo presidency.
Design/methodology/approach
This research employs a historical and comparative case approach to explore patterns of grand corruption and their resolution. Primary and secondary data sources including court decisions, congressional records, journal articles and newspaper reports are used to construct the narratives for each case.
Findings
Top-level executive agreements that do not require competitive public bidding provide an opportunity for grand corruption. Such agreements encourage the formation of corrupt rent-seeking relationships involving the selling firm, brokers, politicians and top-level government executives. Closure of cases of grand corruption is a serious problem that involves an incoherent and politically vulnerable prosecutorial and justice system.
Originality/value
This paper aims to contribute to research on grand corruption involving the executive branch in the Philippines, particularly in the procurement of large, foreign-funded government projects. It examines allegations of improprieties in government project contracting and the politics of resolving corruption scandals through the justice system.
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The purpose of this paper is to compare and evaluate how the governments in six Asian countries have dealt with selected grand corruption scandals.
Abstract
Purpose
The purpose of this paper is to compare and evaluate how the governments in six Asian countries have dealt with selected grand corruption scandals.
Design/methodology/approach
This paper is based on the comparative analysis of 11 corruption scandals examined in the six articles on India, Japan, Macau, Malaysia, Philippines and Singapore included in this special issue of Public Administration and Policy.
Findings
The responses of the governments in the six countries depend on the strength of their political will in combating corruption. The responses of the governments in Malaysia, Philippines, India and Japan reflect their weak political will in combating corruption and lack of accountability of the corrupt offenders. By contrast, the strong political will of the governments in Singapore and Macau is reflected in the investigation and punishment of the corrupt offenders without any cover-up of the scandals.
Originality/value
The findings would be of interest to scholars, policymakers and anti-corruption practitioners and activists.
In addition to lower value for money and the loss of trust in government, procurement corruption threatens to produce a vicious cycle whereby honest firms self-select out of…
Abstract
Purpose
In addition to lower value for money and the loss of trust in government, procurement corruption threatens to produce a vicious cycle whereby honest firms self-select out of public procurements, further increasing corruption and decreasing value for money. This paper aims to explore this vicious cycle hypothesis.
Design/methodology/approach
This paper uses a survey of businesses registered with the procurement regulator in Honduras, a country with high grand corruption but low levels of administrative procurement corruption. The study uses the survey to test the effects of experiences and perceptions of corruption and personal connections on perceptions of fairness and intention to bid on future procurements.
Findings
This study finds that experiences with bribery and the perceived importance of personal and party connections undermine perceptions of fairness, particularly for firms bidding with Honduras’s public works agency. While firms that have not bid recently view the process as less merit-based than those that have, the study does not find that perceptions of fairness influence intention to bid in the future as the vicious cycle hypothesis would suggest.
Social implications
This research suggests that even firms that are frustrated with procurement irregularities are willing to tolerate them to access government markets.
Originality/value
The study benefits from a unique survey of businesses on issues of corruption and connections in a challenging procurement environment.
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Corruption continues to ravage societies around the world. The fight against corruption can be fruitful only if approached from multiple standpoints. Thus, corruption must also be…
Abstract
Purpose
Corruption continues to ravage societies around the world. The fight against corruption can be fruitful only if approached from multiple standpoints. Thus, corruption must also be approached from an academic and educational perspective. The purpose of this paper is to provide a good practice example of how universities and business schools can take actions to align themselves with the international sustainability and anticorruption agenda.
Design/methodology/approach
The six principles of the United Nations Principles for Responsible Management Education (PRME) provide a framework for higher education institutions to address corruption-related issues. This paper presents the case story of the Swiss-based University of Applied Sciences HTW Chur, which developed an academic working agenda on corruption-related topics based on the principles of the PRME.
Findings
The case story shares the actions that HTW Chur has taken and the benefits that have resulted from the university’s work. The findings show that to address corruption-related issues, scholars from the university took actions related to four principles in the PRME: method, research, partnership and dialogue. Furthermore, the results indicate that in addition to the university itself, public and private institutions have also profited from the actions taken.
Research limitations/implications
This paper is founded on a single case story; thus, the usual limitations of this research design apply.
Practical implications
It becomes apparent that the needs of the private sector in the fight against corruption could be addressed by engaging in and strengthening partnerships with universities. Thus, it seems beneficial to develop guidelines and standards to facilitate collaborations and dialogue in a participatory and transparent way.
Originality/value
The paper provides a good practice example of how universities can take actions to align themselves with the international sustainability and anticorruption agenda.
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Bruno Felix, Josinea Botelho and Valcemiro Nossa
The purpose of this paper is to understand how individuals seek to reduce the occurrence of unethical requests at work and the effects of such strategies.
Abstract
Purpose
The purpose of this paper is to understand how individuals seek to reduce the occurrence of unethical requests at work and the effects of such strategies.
Design/methodology/approach
The authors built a grounded theory through semi-structured interviews with 65 individuals who worked for companies involved in the Brazilian corruption scandal called Operation Car Wash.
Findings
The interviewees reported that they use two central strategies to avoid unethical requests: explicit moral communication (directly stating that they are not willing to adhere to an unethical request) and implicit communication (expressing such a refusal through moral symbols). Both strategies signal the morality of the communicator and lead the possible proponent of an unethical request to perceive a greater probability of being reported and, thus, avoid making such an unethical request. However, while explicit moral communication affects the perceived morality of the individual who would possibly make an unethical request, implicit (symbolic) moral communication does not. As a consequence, the risks of retaliation for making a moral communication are greater in the case of explicit moral communication, entailing that implicit moral communication is more effective and safer for the individual who wants to avoid unethical requests.
Originality/value
This paper broadens the literature on business ethics and moral psychology by shifting its focus from what organizations and leaders can do to prevent unethical behavior to what leaders can actively do to protect themselves from unethical requests.
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The purpose of this study was to present a conceptual analysis of how the issue of corruption in Ghana’s public sector can be curbed through an integration of individual (public…
Abstract
Purpose
The purpose of this study was to present a conceptual analysis of how the issue of corruption in Ghana’s public sector can be curbed through an integration of individual (public sector worker) and organisational goals (the public sector itself). It further sought to explain this possibility by focusing on a goal integration process through transformational leadership.
Design/methodology/approach
To meet this end, the study conducted a review of literature on goal, goal-setting, corruption, employee motivation and transformational leadership to develop a conceptual framework to explain this link between goal integration through transformational leadership and corruption reduction.
Findings
Findings from this study showed that dissatisfaction with work (especially pay) amongst Ghana’s public sector workers is a major factor necessitating the emergence of corruption in the country. It is also shown in the study that through the transformational leadership approach, individual worker concerns such as concerns with pay (a facet of job satisfaction) when treated as an institutional concern and appropriately dealt with could curb corruption in the public sector.
Research limitations/implications
Based on these findings, the study recommends that leaders in Ghana’s public sector (both political and administrative) must exhibit qualities of transformational leaders to foster individual and organisational growth as a means to curb corruption in the sector. The study also recommends that training programmes be organised for leaders to equip them with the needed knowledge and practice of transformational leadership. Furthermore, the study recommends that further studies could be done by other researchers on the training programmes that could be useful in equipping these leaders, as well as how and when to organise these programmes.
Originality/value
The study is novel in that it demonstrates the relevance of integrating individual and organisational goals through the application of the transformational leadership concept as a tool for reducing corruption in Ghana’s public sector.
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This paper aims to examine how banks in Tanzania have been vulnerable to money laundering activities and how the banking institutions have been implicated in enabling or aiding…
Abstract
Purpose
This paper aims to examine how banks in Tanzania have been vulnerable to money laundering activities and how the banking institutions have been implicated in enabling or aiding the commission of money laundering offences, and highlights the banks’ failure or inability to prevent, detect and thwart money laundering committed through their financial systems.
Design/methodology/approach
The paper explores Tanzania’s anti-money laundering law and analyzes non-law factors that make the banks exposed to money laundering activities. It looks at law-related, political and economic circumstances that impinge on the banks’ efficacy to tackle money laundering offences committed through their systems. The data are sourced from policy documents, statutes, case law and literature from Tanzania and other jurisdictions.
Findings
Both law-related and non-law factors create an enabling environment for the commission of money laundering offences, and this exposes banks in Tanzania to money laundering activities. Some banks have been implicated in enabling or aiding money laundering offences. These banks have abdicated their obligations to fight against money laundering. This is attributed to the fact that the banks’ internal anti-money laundering policies, regulations and procedures are inefficient, and Tanzania’s legal framework is generally ineffective to tackle money laundering offences.
Originality/value
This paper uncovers a multi-faceted nature of money laundering affecting banks in Tanzania. It is recommended that Tanzania’s anti-money laundering policy should address law-related, political, economic and other factors that create an enabling environment for the commission of money laundering offences. Tanzania’s anti-money laundering law should be reformed to enhance its efficacy and, lastly, banks should reinforce their internal anti-money laundering policies and regulations and policies.
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Tania Barboza and Angela Da Rocha
This study aims to investigate whether firms involved in a major corruption scandal, with broad ramifications across several emerging and advanced markets, design the content of…
Abstract
Purpose
This study aims to investigate whether firms involved in a major corruption scandal, with broad ramifications across several emerging and advanced markets, design the content of their corporate codes of conduct to either improve corporate ethical standards and practices or merely manipulate the impression of stakeholders.
Design/methodology/approach
This study adopts an impression management perspective. It uses content analysis techniques to examine the codes of conduct adopted by seven Brazilian engineering and construction multinationals accused of corruption. The analysis covered five major themes: (1) forms of corruption, (2) values or principles, (3) interested parties, (4) procedures and routines and (5) punitive action.
Findings
The study provides detailed evidence that the codes of conduct adopted by these firms are mere artifices that aimed at meeting legal requirements but do not target the relevant corporate audience involved in grand corruption. At best, such a code may impede petty and bureaucratic corruption.
Originality/value
This research contributes to improving the understanding of how Latin American multinationals adopted codes of conduct after a major scandal and how they failed—at least to some extent—to design codes complying with established corporate governance principles. It shows that management manipulated the impression of stakeholders by selectively adopting or omitting certain terms, examining or concealing various issues and addressing mainly petty crimes rather than grand corruption. It also identifies areas where Western ethical values conflict with established practices and cultural norms in Latin America.
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Esther R. Maier and Eve Lamargot
This chapter explores the evolution of the media framings of a corporate corruption scandal over time. Our analysis focuses on the evolution of media frames used by the English…
Abstract
This chapter explores the evolution of the media framings of a corporate corruption scandal over time. Our analysis focuses on the evolution of media frames used by the English and French Press in the coverage of the corruption scandal involving SNC-Lavalin, a Quebec-based multinational engineering firm. We reveal how media coverage shifted from balanced and nuanced coverage of a complex phenomenon that facilitated debates on the appropriate consequences of corruption to a selective (re)construction of events to serve partisan agendas when the company’s legal plight was politicized. Our study contributes to the literature on media framings of corporate corruption by highlighting how the politicization of a corporate corruption scandal led to a dual climate of opinion across the English and French Press.
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