The Integrity Bulletin October 2018

Say No to Corruption

The Integrity Bulletin October 2018

Global Corruption: People Pay $1 Trillion in Bribes Every Year

United Nations Secretary-General António Guterres. Photo: UN

Corruption: Cause and Cure “Corruption robs schools, hospitals, and others of vitally needed funds. It rots institutions, as public officials enrich themselves or turn a blind eye to criminality. It deprives people of their rights, drives away foreign investment, and despoils the environment.” ~ ​United Nations Secretary-General António Guterres

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The UN Secretary-General António Guterres has said that corruption is present in all countries, rich and poor, North and South, developed and developing. He was attending the Security Council meeting on corruption and conflict last month in New York.

The meeting – which recognizes the importance of tackling corruption as part of the efforts to maintain international peace and security – was organized by the United States Presidency of the Security Council.

The World Economic Forum estimates that the cost of corruption is at least $2.6 trillion — or 5% of global gross domestic product (GDP). And according to the World Bank, businesses and individuals pay more than $1 trillion in bribes each year.

Mr. Guterres said that corruption breeds disillusion with Government and governance — and is often at the root of political dysfunction and social disunity. The poor and vulnerable suffer disproportionately while impunity compounds the problem.

Corruption can be a trigger for conflict. As conflict rages, corruption prospers, he said. And even if conflict ebbs, corruption can impede recovery. Corruption drives and thrives on the breakdown of political and social institutions. Corruption is linked to many forms of instability and violence, such as the illicit trafficking in arms, drugs and people.

“The connections among corruption, terrorism, and violent extremism have been repeatedly recognized by the Security Council and General Assembly. Assets stolen through corruption can be used to finance further crimes, including violent extremist and terrorist acts,” Mr. Guterres said.

Large-scale corruption surveys conducted by the United Nations Office on Drugs and Crime (UNODC) found that bribery of public officials was particularly high in areas affected by conflict. In conflict situations, stakeholders, such as anti-corruption commissions, civil society and the media, may be weakened or hindered in their essential work.

The consequences of corruption in times of conflict can be especially devastating as they can affect the most basic needs and exacerbate hunger and poverty. “Member States must be on the front lines in the fight against corruption. It is especially important to build up the capacity of national anti-corruption commissions and prosecutorial efforts,” Mr. Guterres suggested.

Governments can also enhance anti-corruption efforts by ensuring independent judiciaries, a vibrant civil society, ​freedom​ of the media, and effective whistleblower protections.

People across the world continue to express outrage at the corruption of their leaders, and at how deeply corruption is embedded in societies. They are rightly calling for political establishments to operate with transparency and accountability — or make way for those who will.

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How Do You Define and Deal with Corruption?

According to the Vigilance Manual 2017 of India’s top anti-corruption organization Central Vigilance Commission (​CVC​), corruption is manifested in various forms such as bribery, nepotism, willful action or willful inaction to benefit someone or to deny benefit to someone known or unknown. It also states that corruption includes cases of favoritism and failure to follow laid down processes leading to unintended benefit to someone or denial of benefit to the deserving.

Central Vigilance Commissioner K.V. Chowdary attending a lecture of the CVC 'Lecture Series' in New Delhi. Photo: PIB

Vigilance administration comprises preventive and punitive anti-corruption measures. They include detecting irregularities, analysing and finding out reasons for such irregularities and making effective systemic improvements to curb them. The vigilance work also entails identifying the public servants responsible for misconduct and taking appropriate punitive actions against them.

With the belief that corruption has been a major obstacle to economic, political, and social progress of India, the CVC urges organizations to take an integrity pledge to eradicate corruption. Similarly, it advises citizens of India to be vigilant and commit to highest standards of honesty and integrity at all times and support the fight against corruption. While citizens should neither take nor offer bribe, the CVC encourages them to report any incident of corruption to the appropriate agency.

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Transparency Launches Knowledge Hub for Corruption Research Global anti-corruption organization Transparency International has launched a Knowledge Hub, which is stated to be a dedicated online space for corruption research. This new website will carry studies, tools, and knowledge related to worldwide corruption issues.

According to Transparency International, it is constantly carrying out ​new research to support the advocacy, policy, and campaigns that drive its global activities, including background or working papers, case studies, research toolkits or guidelines for anti-corruption interventions.

Now, according to the organization, all this is available in one convenient online location, with a new and improved search function to let you quickly and easily find the content you need. The information available covers everything from studies about the relationship between corruption and inequality, to a resource guide on monitoring corruption in the sustainable development goals or an introduction to corruption risks in climate finance.

The Knowledge Hub is also the ​new home of the Anti-Corruption Helpdesk, a series of topic guides and country-specific research. It hosts Transparency International’s network of experts, which connects over 350 anti-corruption practitioners, activists, and academics.

New Study Reveals Corruption Increased in India A new study reveals that corruption has increased considerably during the past few years in India.

CMS-India Corruption Study (CMS-ICS) 2018 claims that it has covered both rural and urban locations of 13 states and 11 public services. According to the study, 75% households have the perception that the level of corruption in public services has either increased or remained same during the last 12 months.

It adds that 27% households experienced corruption at least once while availing any one of the 11 public services covered in CMS-ICS 2018. It also reveals that people’s perception about Union Government’s commitment to reduce corruption in public services has seen a decline from 41% in 2017 to 31% in 2018.

Less than one-third feel that the Union Government is committed towards reducing corruption in public services. Another 38% feel that the government is not much committed while a little more than 25% feel that the government is not at all committed in reducing corruption, according to the study.

Vacant Lokayukta’s (Ombudsman) position at the national level after being in power for about 4 years, or recent cases of non-performing assets (NPAs) in banking sector (infamous cases of Vijay Mallaya

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and Nirav Modi), could be the factors contributing in building people’s perception that government at the national level is not committed to reducing corruption.

Compared to the previous year (2017), in 2018 round, the percentage of people who feel Union Government is committed to reduce corruption (31%), should be a matter of concern for the government, the study suggests. In 2017, the percentage of such population was more than 40%, it reveals.

Global Views on Corruption in India A new “Freedom in the World 2017” report – released by Freedom House, a Washington-based independent watchdog organization – highlights rampant political and bureaucratic corruption in India. It reveals that corruption has a negative effect on government efficiency and economic performance.

“Though politicians and civil servants at all levels are regularly caught accepting bribes or engaging in other corrupt behavior, a great deal of corruption goes unnoticed and unpunished,” the report said in its findings.

Similarly, global anti-corruption organization Transparency International has lowered India’s rank from last year’s position of 79 to 81 this year. According to the Transparency data, India with a poor score of 40 is more corrupt than countries such as China, Jordan, Saudi Arabia, and Mauritius.

Supreme Court Asks Government to Appoint Lokpal As corruption has been increasing exponentially in India, the Supreme Court has asked the government to fix the time frame to appoint Lokpal, the top anti-corruption ombudsman in India.

The court was hearing a contempt petition filed by NGO Common Cause, which had raised the issue of non-appointment of the ombudsman despite the apex court’s verdict of April 27 last year.

Meanwhile, a Congress leader and Member of Parliament (Lok Sabha) Mallikarjun Kharge had declined to attend a meeting to select the Lokpal. The government had asked Kharge to participate in the meeting as a “special invitee” and not as a leader of opposition.

In a ​letter written to PM Narendra Modi, Kharge had indicated that it is only an eyewash exercise because the Modi government did not show any interest in the past over 3 years to appoint Lokpal.

Last month, the government ​announced that it has constituted an eight-member search committee to recommend names for the chairperson and members of the Lokpal organization.

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According to the government, the search committee will be headed by a former Supreme Court judge, Ranjana Prakash Desai. The other members include retired IAS officer Lalit K Panwar, former Allahabad high court judge Sakha Ram Singh Yadav, former chief of State Bank of India (SBI) Arundhati Bhattacharya, Prasar Bharati chairperson A Surya Prakash, Indian Space Research Organisation head AS Kiran Kumar, former Gujarat police chief SS Khandwawala, and former solicitor general Ranjit Kumar.

CVC Plans Integrity Index to Stop Corruption in India With an emphasis on preventive vigilance, Central Vigilance Commission (CVC) of India believes that the next level of systemic change can be achieved through an Integrity Index. The CVC has therefore decided to go in for the development of the Integrity Index based on benchmarking of internal processes and controls within an organization as well as management of relationships and expectations of outside stakeholders.

Integrity Pledge. Photo: CVC

The Integrity Index will bring out annual scores / rankings of Public Sector Undertakings, Public Sector Banks and Financial Institutions, Departments, and Ministries of Government of India by linking the essential drivers of vigilance with long term efficiency, profitability, and sustainability of public organizations and create an internal and external ecosystem that promotes working with integrity in public organizations.

CVC has adopted a research-based approach for creating the integrity index that various organizations can use to measure themselves and it will evolve with changing needs. IIM-Ahmedabad has been engaged to develop the Integrity Index. Being a new initiative, initially 25 organizations have been selected for development of the Integrity Index.

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Transparency Offers Global Anti-Corruption Award Leading anti-corruption research organization Transparency International says its Anti-Corruption Award recognises the courage and determination of individuals and organisations fighting corruption around the world. The award honours individuals and organisations worldwide, including journalists, public prosecutors, government officials, and civil society leaders.

Transparency believes that winners are a source of inspiration to the anti-corruption movement because their actions echo a common message: that corruption can be challenged. The Anti-Corruption Award may be conferred to a person (or an organisation) discharging official or professional duties as well as to an activist(s) from all walks of life.

International Anti-Corruption Conference. Photo: Transparency International

The Anti-Corruption Award Committee, the body responsible for evaluating nominations and choosing winners, may choose up to two award recipients. In making these awards, the Committee takes into consideration the need to recognise efforts in diverse fields of civil society, the private sector and government and to acknowledge anti-corruption initiatives throughout the world.

The Award consists of a trophy and participation in a public award ceremony during the 18th edition of the International Anti-Corruption Conference to take place from the 22nd to the 24th of October 2018 in Copenhagen, Denmark.

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Join Corruption Research Project in India The Centre for Transparency and Accountability in Governance (CTAG), National Law University, Delhi - in collaboration with the humanitarian organization RMN Foundation - has launched a ​research project​ to compile an exclusive report on corruption in India.

The unique selling proposition (USP) of this report will be to sensitize different stakeholders in India and abroad about the limitations of the Indian governments in deploying information-driven processes to deal with corruption, although it will also cover traditional aspects.

You are invited to join the project as volunteers to manage its diverse activities such as research, public relations, content creation, data management, project monitoring, and so on. It will be a 4-month project beginning October 2018. Last date to apply: October 20, 2018. Candidates can contact Mr. Rakesh Raman, founder, RMN Foundation (Email: contact@rmnfoundation.org) with their contact details and a brief profile.

Complaint Filed to CBI in Rafale Corruption Case As the controversy surrounding the Rafale deal refuses to slow down, the case has now reached India’s top investigating agency Central Bureau of Investigation (CBI). Former BJP ministers Yashwant Sinha and Arun Shourie, and lawyer-activist Prashant Bhushan have filed a ​complaint with the CBI, urging the agency to register an FIR against Prime Minister Narendra Modi and former defence minister Manohar Parrikar.

The complaint alleges that Modi and Parrikar have committed a number of offences under the Prevention of Corruption Act, in the course of the April 2015 decision to purchase 36 Rafale aircraft from Dassault Aviation.

The complaint was handed over to Alok Verma, director of the CBI, on October 4, 2018. It states that Modi - who is a public servant – misused his position as PM of India to give undue benefit to his close associate Anil Ambani who is the Chairman of Reliance ADA group of companies.

Moreover, a delegation of the Congress party leaders met the Central Vigilance Commissioner K V Chowdary and requested him to investigate the ​Rafale case​. The party claimed that the irregularities in the Rafale deal have endangered national security and illegal benefit of ₹1,30,000 crore (approximately USD $20 billion) has gone to Modi’s crony friends (including Ambani).

As Congress is determined to make the Rafale corruption case a major issue in the upcoming elections, on October 4 it complained again to Comptroller and Auditor General (​CAG​) of India – the top auditor of government accounts – urging it to investigate the Rafale case. A delegation of the

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Congress leadership met the CAG to inform him about the latest developments in the case and submit a new complaint.

Earlier, Congress had released a 20-point representation that it had sent to CAG. It has accused PM Modi of benefiting his crony friends in the unilateral purchase of 36 Rafale jets from French company Dassault Aviation.

Many Modi supporters believe that this is a political gimmick that the opposition parties are trying to play against PM Modi. A BJP leader and Modi’s friend Arun Jaitley has refuted the allegations, saying that it is an attempt to malign the government by spreading falsehood regarding the 2016 Inter-Governmental Agreement for the procurement of Rafale fighter aircraft. While BJP leaders are defending Modi’s Rafale deal by giving loose political statements, they are not able to handle the specific queries related to the irregularities in the case.

Now Congress and other Modi opponents are demanding a Joint Parliamentary Committee (JPC) probe in the Rafale case which is stated to be the biggest scam in the world.

About The Integrity Bulletin Project The Integrity Bulletin content project is being carried out by RMN Foundation in collaboration with the Centre for Transparency and Accountability in Governance (​CTAG​), National Law University (NLU), Sector 14, Dwarka, New Delhi.

The Centre focuses on sensitizing people about transparency and accountability in governance while empowering people such as students, lawyers, and public officials to contribute effectively to ensure a corruption-free environment. It also supports research in the area of transparency and accountability in governance.

The Centre is headed by Prof. (Dr.) Jeet Singh Mann (pictured above) as its Director. Besides participating in national and international conferences as an invited speaker, Prof. Mann has reviewed research papers on transparency in governance, legal education, labour laws, Right to Information (RTI) which is an Act of the Parliament of India, and combating corruption.

He is also the executive editor of the International Journal of Transparency and Accountability in Governance, CTAG, NLU Delhi.

The Integrity Bulletin n ​ ewsletter project ​has been conceived and advised by Prof. Mann. He is coordinating with various anti-corruption agencies in India and abroad to spread awareness about various aspects of corruption.

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Write for The Integrity Bulletin RMN Foundation - the humanitarian organization in India - has launched ​The Integrity Bulletin which is a monthly newsletter on global corruption news and issues. Currently, the newsletter project is being managed by Mr. Rakesh Raman who is a national award-winning journalist and founder of RMN Foundation.

The Integrity Bulletin i​ nvites anti-corruption organizations, social activists, professionals, and experts to contribute their editorial articles for the newsletter. You may please submit the articles with your brief profile to Mr. Rakesh Raman (Email: contact@rmnfoundation.org). People from all across the world are also invited to ​participate​ as volunteers in this project.

Meet the Editor The editor of ​The Integrity Bulletin ​Rakesh Raman is a national award-winning journalist and social activist. Besides working at senior editorial positions with leading media companies, he was writing an exclusive edit-page column regularly for The Financial Express (a daily business newspaper of The Indian Express Group).

Nowadays, for the past over 7 years, he has been running his own global news services on different subjects. He also has formed a free Education and Career Counselling Center for deserving children at a poor J.J. Colony in Dwarka, New Delhi under his NGO – RMN Foundation.

He also runs an exclusive community-driven anti-corruption social service “​Clean House​” to help the suffering residents of Delhi raise their voice against the growing corruption and injustice particularly in group housing societies where millions of people live. He creates ​Legal Directions​ ​newsletter​.

Earlier, he had been associated with the United Nations (UN) through United Nations Industrial Development Organization (UNIDO) as a digital media expert to help businesses use technology for brand marketing and business development.

Contact Rakesh Raman Founder RMN Foundation 463, DPS Apts., Plot No. 16, Sector 4 Dwarka, Phase I, New Delhi 110 078, India Contact by email

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