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Corruption

The Melton Foundation
by

Sartaj Anand

on 27 March 2011

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Transcript of Corruption

Corruption What is it ? Money is the usual Motive but it's really a side-effect The Golden Handshake So what is it really ? It is the abuse of entrusted power & responsibility for private gain ! What causes it ? Economic Culture Individual Law System Lack of Check & Balance of Power Some Cultures mix Business and Personal Relationships to expose Synergies. The concept of exchanging gifts can easily be extended and is thus often exploited. Developing or Underdeveloped nations are generally more corrupt. Bad economic conditions often coerce people into being more opportunistic & making quick bucks. Corruption ultimately depends on the person. It all depends on morality and ethics and how our environment and life has shaped them. Corruption is more prevalent under Continental law system than under Common law system. We think that the jury makes it harder for the accused to find loopholes in the legal system. Absolute power corrupts absolutely. In countries that lacks check and balance of power dictators emerge and corruption mushrooms. An independent judiciary makes it possible to fight corruption. Can We solve it ? Yes No It's difficult but possible Short Term Supervision Evaluations Punishment Miscellaneous ❀ International supervisors,❀ Domestic supervisors, Media and Government all need to partner with each other and act in synchronization. Evaluating performance at regular intervals and conducting some investigations among citizens using Internet or telephone. More severe punishment to send a strong message to the people. Appropriate salary increments, training at regular intervals and other such similar solutions. Long Term Separation Policy Restriction Education Election Government and Enterprises must remain separate so that political power is not abused to gain economic benefits. Some policies must be passed to systemically prevent corruption. Political power must have some restrictions such as there must be at least
two parties in a country in order to supervise each other and the Court and Army should not influence each other. It is crucial to educate everyone about laws and ethics. Power must ultimately return to ordinary people in order to fully eradicate corruption and fair elections are an essential part of the process. This private gain is not necessarily economic and exists at all levels of society. Although in the past it could have been considered a largely domestic issue, corruption now often transcends national boundaries. Its consequences are global; and its hidden costs immense. Development Scams The 2G spectrum scam involved officials in the Indian government illegally undercharging cell phone service providers for frequency allocation to be used for the 2G services. The loss to the government was approximately US $ 38.27 billion. Top party members from Spain’s right wing opposition Popular Party (PP) have been embroiled in the “Gürtel” corruption scandal for the past two years. Businessman Francisco Correa and others are accused of bribing politicians in return for building permits in the PP-ruled regions of Madrid, Valencia and Galicia. It has been reported in 2010 that German auto giant Daimler AG is accused of paying approximately US $6.7 million to Russian government officials to encourage the orders of more of their cars for government purposes. Daimler AG has been accused of bribing government officials in 22 countries between 1998 and 2008. In Eastern Europe... Corruption is “everyday life” in Russia: According to the organization “Transparency International” every 5th Russian tries to solve his bureaucratic problems with the help of corruption. Also in Politics corruption is a huge problem because there people in the ruling classes do stop at nothing, also even not of contract killing. In Poland a lot of Politicians were involved in corruption-scandals, but the problem is that the people don´t have a choice to elect other politicians because every party seems to have a corrupt politician. Is Corruption Beneficial or Necessary ? There is no question whether or not it’s beneficial, the question is of who corruption benefits. An overwhelming majority of the time, a very small percentage of the population can benefit from political corruption. People in power, for example, often leak information to, or issue contracts to their family members and friends regardless of their qualifications.

Corruption may never really be considered absolutely necessary. Some may find it to be more effective and more practical than relying on ethics and the government. There are times when some parties resort to corruption because dealing with government bureaucracies is too time consuming or there are too many hoops to jump through.

When dealing with the element of innate characteristics of humans, all humans have an element to themselves that is selfish, and when someone is in a position of power and has great oversight over anything, it is possible for power to be abused. This abuse in power does not always reflects intent but still is an abuse of power.

In a synopsis, corruption is not necessary and may not be avoidable. There are instances where the benefits of corruption can spill over into the general population. For example, a city government may be issuing a contract to pick up a city’s trash. The city may need a company of a certain size with a minimum amount of capital to issue the contract to. However, city officials may have friends in the business who don’t quite meet the qualifications to be issued a contract. So they lower the standards, opening up the opportunity to others who may have never been in the position to play the game anyway. Corruption can also be beneficial because the effects of corruption have the potential to trickle down to the general population. Andree Tarvin-Pyles Duhita Mulky
Javier Becker Katharina Dyllong
Lauren Lemonious Qifei Zhu
Rui Li Sartaj Anand
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