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Ethics and Corruption in Public Service

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CHALLENGES OF PUBLIC SERVICE

• Large scale problems

• Transcend borders

• Stress limited resources

• Require knowledge and skill

Drug Trafficking

Terrorism

Human Trafficking

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DOMESTIC AND TRANSNATIONAL

• Provision of domestic public services

• Transnational challenges

– Organized crime and terrorism

– Poverty and disease

– Environment and resources

– Interconnectivity and technology

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STABILITY AND ORDER

• Regional conflicts

• National insurrections

• Rogue organizations

• International response

• Funding and manning issues

• Human rights: order vs. individual / group freedoms

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ETHICS

• Principles and values that guide public and private conduct

• Personal, collective, professional, societal dimensions

• Go beyond criminal law

• Involved everyday in public administration and policy making

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MILITARY

• Professional v. personal obligations

• Administration of arms, supplies, equipment, and personnel

• Command over subordinates

• Control over missions

Darleen Druyun

Darleen Druyun

Darlene Druyun

Former Principal Deputy Undersecretary of the Air Force for Acquisition

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CORRUPTION• Abuse of entrusted power

• Public or private actors

• “According to the rule” or “against the rule”

• Grand v. petty

• Organized v. unorganized

• Systemic v. localized

• Political v. administrative

• Linked to other criminal activities

Demonstrations in Kyrgyzstan

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CORRUPTION

• Can occur in any public context

• Many forms:

– Bribery, extortion, embezzlement

– Kickbacks, self-dealing

– Under-assessments

– Coerced donations

– Nepotism and cronyism

– Ghost employees

– “Grease” payments Former U.S. Congressman Dan Rostenkowski

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PERCEPTIONS OF CORRUPTION

Source: Transparency International Global Corruption Barometer 2010

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CAUSES OF CORRUPTION

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DISPELLING MYTHS

• Poverty is not the same as corruption

• Corruption is not a necessary characteristic of developing nations

• Corruption does not result in efficiency

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CORRUPTION MATTERS

• Distorts social, economic and political decisions

• Diverts scarce resources• Suspends rule of law• Impedes skill development• Encourages deception• Discourages development

and investment• Threatens democracy

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DEVELOPMENT FUNDED SCHOOL

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ACTUAL SCHOOL 500 FEET AWAY

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ACTUAL USE OF FINANCED BUILDINGACTUAL USE OF FINANCED BUILDING

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REFORM

• High-level commitment?• Enforcement power?• Overcome entrenched

resistance?• Coordination, specificity,

and regular application?• Realistic promises and

expectations?• More than textual changes?• Institutional mechanisms?

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What type of corruption is this?

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…and this?

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ACTIVITIES PRONE TO CORRUPTION

• Privatization • Large-scale public works projects• Defense spending • Revenue collection (customs)• Licensing and permitting

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SECTORS PRONE TO BRIBERY0 = High Bribery; 10 = Low Bribery

Agriculture – 5.9Light Manufacturing – 5.9Fishery – 5.9IT – 5.1Forestry – 5.1Civilian Aerospace – 4.9Banking & Finance - 4.7Heavy Manufacturing – 4.5Pharmaceuticals/Medical Care – 4.3Transportation/Storage – 4.3Mining – 4.0Power Generation/Transmission 3.7Telecommunications – 3.7Real Estate/Property – 3.7Oil & Gas – 2.7Arms & Defense – 1.9Public Works & Construction – 1.3

Note: Respondents were asked, “Which are the sectors in your country of residence where senior public officials would be very likely, quite likely or unlikely to accept bribes? TI estimates the standard error to be 0.2 or less. Conducted by Gallop in 15 Emerging Market Countries.

Source: Transparency International’s Global Corruption Report 2003

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CAUSES OF CORRUPTION

INSTITUTIONAL SOCIETAL

CORRUPTION

WIDE AUTHORITY

LITTLEACCOUNTABILITY

PERVERSEINCENTIVES

POVERTY& CONFLICT

PERSONALLOYALTIES

ILLEGITIMATEGOVERNMENT

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AN ILLUSTRATION

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AN ILLUSTRATION CONTINUED

If there is a If there is a 30%30% probability that you will be observed probability that you will be observed

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CONCLUSION

• Anti-corruption efforts: – Foster culture of principled conduct

– Create institutional mechanisms for prevention, detection and punishment

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