Ethics and Corruption

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ETHICS AND CORRUPTION

Angela I. Hernandez
Katherine B. Sarmiento
ETHICS AND CORRUPTION

 Corruption is a form of dishonest or unethical conduct by a person


entrusted with a position of authority, often to acquire personal benefit.

 Transparency International defines corruption as “The misuse of entrusted


power for private gain”

 Oxford dictionary define corruption as “prevention or destruction of


integrity in the discharge of public duties by bribery or favor”.
TYPES OF CORRUPTION
 Systematic Corruption – the fraud begins at the top and it extends through
most of the hierarchy.
TYPES OF CORRUPTION
 Sporadic/Individual Corruption – it occurs irregularly and therefore it does not
threaten the mechanisms of control nor the
economy as such.

 Petty Corruption – include exchange of small gifts or use of personal connections


TYPES OF CORRUPTION
 Political/Grand Corruption – corruption occurring at the highest level of government
or enabling leaders to benefit at the expense of the
public good. (e.g. payoffs and bribes, graft & embezzlement,
blackmail & extortion; and preferential treatment)
COSTS OF CORRUPTION: 5 MAIN
CATEGORIES

 Political – corruption is a major obstacle to democracy and the rule of law.

 Democratic – it is extremely challenging to develop accountable political


leadership in a corrupt climate.

 Economic – corruption depletes national wealth.

 Society – undermines people’s trust in the political system.

 Environment – precious natural resources are carelessly exploited.


PREVENTING CORRUPTION
 Establish countermeasures to address governance issues – such as improving
human rights, and attacking poverty.

 Understand what corruption levels mean about governments – i.e., higher levels
of corruption indicate less efficiency and reliability.

 Prioritize anti-corruption programs in international operations – the effectiveness


of anti-corruption programs in global business organizations is a measure of their
commitment to other ethical outcomes.
PREVENTING CORRUPTION
 Promote Transparency and Access to Information

 Establish independent bodies – an international system for returning the funds


derived from corruption is important.

 Establish Comprehensive Public Sector Integrity Policy – procedures should be


designed in a manner that reduces opportunities for corruption and creates
incentives for public integrity.
CONCLUSION
The important issue for an agency operating in a corrupt environment is
whether to participate actively, quietly refuse to deal or report corruption
to local authorities and to those in the outside world. Keeping quiet is
probably the worst option. The agency not only loses business; it also has
done nothing to change the underlying situation for the better. The
advantage of the current interest and concern with corruption is that
reporting corrupt demands can lead to international embarrassment for
the corrupt officials that may, in turn, produce reforms.
Remember, it is our choices that show what we truly are, far more than
our abilities.
THANK YOU FOR LISTENING!
GOD BLESS US ALL 

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