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Southeast Asia

Corruption, human rights, and the usual suspects
By Gary LaMoshi

DENPASAR, Bali - Transparency International released its annual index of global corruption last week. Compared with 2002, standings didn't change dramatically for Asia. The region's clean governments still feature prominently at the top of chart while the usual suspects fill the bottom of the list.

For No 5 Singapore, No 8 Hong Kong and No 21 Japan, it's comforting to see that economic recession hasn't led to rampant moral bankruptcy.

On the other hand, it's distressing to see four of the seven ranked Association of Southeast Asian Nations (ASEAN) members near the bottom of the pile again. Brunei, Cambodia and Laos remain unranked because of insufficient data, though it's hard to believe they'd lift the group's standing. Developing nations, in Asia and elsewhere, seem stuck in a rut that accepts corruption as inevitable and inalterable, like the weather. A reign of terror could stop it, Indonesian President Megawati Sukarnoputri jokingly, and wrongly, suggests.

Caveat corruptor
Berlin-based Transparency International (TI) is celebrating its 10th anniversary as the world's corruption watchdog. Founder Peter Eigen first tried to address the problem of business and political leaders on the take as a World Bank official in developing Africa and Latin America. The issue initially proved too hot for World Bank lawyers, who feared getting sued for defamation. So Eigen founded his own non-governmental organization to take up the cause in May 1993. Major funding from the Ford Foundation helped move TI from Eigen's kitchen in Berlin to the world stage, and the group published its first Corruption Perceptions Index in 1995.

As the name suggests, TI's rankings are based on measurements of perceptions, not actual instances of corruption. After all, actual corruption can be difficult to measure; those engaged in bribery, kickbacks and the like rarely present audited records of their transactions. Tracking convictions or cases brought can be misleading, revealing more about the quality of law enforcement and/or investigative reporters than the prevalence of corruption. "The only method of compiling comparative data is therefore to build on the experience and perceptions of those who are most directly confronted with the realities of corruption," TI states.

The organization also finds that perceptions from outside a country (surveys of foreign investors, for example) generally correlate to a high degree with those from inside. Those findings give TI greater confidence that the perceptions the index compiles reflect realities.

'High level' detection
In this year's survey, 95 out of 133 countries (71 percent) scored less than 5 on TI's 0-10 scale. Fifty countries (38 percent) score below 3, indicating a "high level of corruption" by TI's standard. That "high level" group includes half of all developing countries. Asia's representatives are: India (2.8); Pakistan (2.5); the Philippines (2.5); Vietnam (2.4); Indonesia (1.9); Myanmar (1.6); and Bangladesh (1.3), last in the rankings just as it was in 2002.

To combat corruption, Transparency International recommends national anti-corruption programs combined with support from developed countries, global institutions and even the private sector. For example, TI recommends that international oil companies publish the amounts they pay to governments and state oil companies so that citizens can monitor how much of that money leaks away. TI also urges enforcement of the Organization of Economic Cooperation and Development's Anti-Bribery Convention that took effect in 1999 but has yet to result in any prosecutions of rich-country companies for baksheesh to foreign officials.

For Indonesia's Megawati, the solution is far more complicated. After a newspaper suggested that Indonesia needs a strong president to end its rampant corruption, Megawati responded by pointing at China. She told reporters, "If I meet a corruptor and, immediately, bang, I shoot him, I am very sure that all of you will write stories tomorrow about how the Indonesian president violated human rights."

TI's reports point out that corruption is in fact a violation of human rights. Funds misappropriated to politicians' offshore bank accounts can't be used for economic development, health care or education. Corruption helps perpetuate the cycle of poverty and stifles human development.

Growth industry
Corruption in Indonesia, endemic under the Suharto regime, has grown worse under Megawati. Weak leadership is only one factor, and perhaps not a major one, since her husband Taufik Kiemas is widely rumored to have his finger in the public-works pie, a role that brought Suharto's spouse the nickname of Madame Tien "Percent". Institutional changes have played a key role. Decentralization and the end of authoritarianism have multiplied opportunities for corruption. In a long period of economic stagnation and recession, corruption is one growth industry.

Megawati is correct that lack of punishment encourages corruption. Of course, she's wrong to pretend that the only choices are shooting thieves or ignoring them. Indonesian tycoons who looted the state's emergency banking funds (an estimated US$100 million would end up in squeaky-clean Singapore; authorities there would surely be shocked - shocked - to learn of a possible link) avoid jail by agreeing to pay back pennies on the dollar. House Speaker Akbar Tanjung got a mild sentence for embezzling $3 million from the government. He'll remain free pending appeal long enough to run for president next year in a nation where a political career is considered a path to wealth rather than public service. Unprofessional prosecutors and judges who regularly put verdicts out for bid complete the system that puts Indonesia near the bottom the corruption list. Human rights and the media have nothing to do with it.

In fact, the TI index shows that limiting freedom doesn't necessarily strangle corruption. Finland, No 1 on the chart, may have some self-assertion and self-esteem issues along with unnatural fondness for mobile phones, but those aren't gross human-rights violations. In the rest of the top 10, primarily Northern European and Antipodean nations, only Singapore might raise alarm bells with Amnesty International.

Shooting corrupt business people and politicians may work, but China ranks at No 66 with a rating of 3.4, tied with Panama, Syria and Sri Lanka. Megawati owes it to Indonesia to aim higher than that.

(Copyright 2003 Asia Times Online Co, Ltd. All rights reserved. Please contact content@atimes.com for information on our sales and syndication policies.)
 
Oct 17, 2003



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