Tag Archives: corruption

Trust Funds: The UN Steps Towards a Culture of Integrity, Dr. Robert Zuber

6 Jun

I will not let anyone walk through my mind with their dirty feet.  Mahatma Gandhi

Power-lust is a weed that grows only in the vacant lots of an abandoned mind. Ayn Rand

It is not that power corrupts but that it is magnetic to the corruptible.  Frank Herbert

Procrastination is also a subtle act of corruption – it corrupts valuable time. Amit Abraham

The aim of the old should be to ensure that the young grow up incorruptible.  Justin K. McFarlane Beau

All intellectual tendencies are corrupted when they consort with power.  Clive James

He did not care for the lying at first. He hated it. Then later he had come to like it. It was part of being an insider.  Ernest Hemingway

I spent an hour last evening on a call organized by LINGAP Canada and featuring an indigenous activist from the Philippines seeking to protect the lands of local people from the onslaughts of both an international mining interest and governments at local and federal levels who enabled this corporate incursion. As is far too common, they offered police protection against the activists pushing back against operations which, in too many instances, have cover in the form of government contracts which are not transparent, which do not incorporate local needs and interests, and which confer large swaths of immunity as mining interests appropriate local water supplies, denude forests and destroy the social cohesion of communities and the biodiversity which once enveloped them.

In the rush to secure the precious metals and other resources that fuel lifestyles in the developed world, corporations are willing to drive hard bargains with government officials as they seek contracts that ensure maximum flexibility and only limited responsibility for the damage done to land and water.  For the governments, mining interests promote both “economic development” and, in the absence of genuine transparency, a reliable source of self-enrichment.   For the activists seeking to hold mining interests to a standard beyond their technically “legal” obligation, they often face both personal danger and the sad realization that the lands they love have likely been disfigured beyond the ability of any human or natural force to restore.  When the mining interests have extracted all there is to extract, the land they leave behind might be little more than a biological shell of its former self, a land now ill-suited to sustain the life it had previously supported for millennia. 

This story frames what was a busy week of intersected UN conversations focused on the multiple, negative impacts of corruption together with our still-uphill struggle to reverse climate change, avert a new round of biodiversity loss, preserve what remains of the health of our oceans, and heal our often-battered local ecosystems. 

The key here is “together.”  What was apparent during a fine UN Special Session (including side events) focused on “measures to prevent and combat corruption” is that corruption is both pervasive and “magnetic,” attracting unscrupulous and self-interested individuals like bees to honey, providing both opportunities and rationalizations for those among us more interested in exploiting fragility than helping it to heal.  What the president of the Economic and Social Council, Ambassador Akram of Pakistan, referred to this week as the “criminal misuse of resources” is an indictment that implicates many of us in our current world, a world in which integrity and transparency are constantly butting heads with that part of our nature which, as Sri Lanka’s Ambassador maintained, remains “purchasable.” 

As several speakers noted this week, including during an excellent side event organized by the president of the General Assembly, our current contexts make combating corruption a particularly formidable challenge.  The global pandemic coupled with the gross inequalities tied to our obsession with “wealth and power” are magnifying opportunities to divert resources from intended to unintended purposes, to maneuver contracts towards personal friends and business partners rather than to those providing the best and most cost-effective services, to deliberately direct vaccines and funds for pandemic response towards political supporters and away from political adversaries, to sign contracts that are full of loopholes enabling abuses and even kickbacks that ultimately rob citizens of development funds, undermine rights and even dampen enthusiasm for change.

But as the week’s events made clear, it is not only about the expanding opportunities for corrupt practices but the range of such practices – and their toxic consequences — that warrants prompt international attention.  Our former notions of corruption – of money in a brown envelope sliding under a table and designed to influence decisions — is still relevant but overly narrow.  We understand more now about the “trade-offs” that we are much too comfortable making, trade-offs that impede our path towards what the Holy See referred to this week as a “culture of integrity.”  We are too quick to rationalize behavior that we should readily challenge instead, thereby “consorting” with the structures of power that we know are often not operating in the public interest.  We know that, as Chile’s Ambassador stated, funds and lives are lost when we allow corrupt practices to flourish, when we accede to cultures of corruption that are within our grasp to shift.  We continue to allow people to “walk through our minds with their dirty feet,” making compromise with what Mexico declared to be a social “evil” more and more palatable, at least for some, just part of the cost of doing business as an “insider” in a sometimes unsavory world. 

And as one speaker after another this week noted, the consequences of corruption are dire, not only for the activists on the ground who must dodge unsubstantiated accusations and at times even bullets, but for the average citizen who still needs to believe that the large governmental and corporate powers that seem to run our lives have at least some of our best interests at heart; indeed that they are able and willing to play by the same rules that they expect the rest of us to play by.  The word that popped up over and over in this UN context is “trust,” a term which is hard to quantify and which diplomats are often fond of claiming for their governments without sufficient evidence; but a word which also continues to resonate deeply for many of us. 

Naively or otherwise, some of us still need to believe that, within the limits of human capacity and habit, that our public structures are trustworthy or can be made so; that mistakes are due to factors other than wanton malevolence; that the people who run the world operate on energies more diverse than riches and power; that leaders are willing and able to set a better example for those who might otherwise be inclined to join the parade of those convinced that the only way to “get ahead” is at the expense of others. And yet as the director of the UN’s Office of Drugs and Crime noted with considerable alarm, too many of us have become “cynical” regarding both our responsibility and capacity to end corruption, to address an enemy “that shows little signs of retreating.”  Despite the contention of Latvia’s minister that his public at least seems be losing its “tolerance for corruption,” it still seems as though state and corporate entities are largely talking a better game than they play, thus setting a tone allowing too many of the rest of us to do likewise.

One of the things we might conveniently ignore in this context is the degree to which trust once betrayed is difficult to regain, in some instances more difficult than restoring a once-denuded Philippines mountainside. And this trust-busting incarnates a multitude of implications beyond government procurement and election results.  For instance, how do we as citizens and local communities get on board with healthy oceans, with greenhouse gas reductions, with rehabilitating eco-systems supporting healthier biodiversity if we can’t trust large state and corporate entities to do their part, to honor their promises, to use the resources at hand for public good rather than private interest?  How do we inspire sacrifices in communities when those who command the most money and power are reluctant to sacrifice anything of themselves, or even agree to play fair?

And what of the youth who, as one young contributor this week noted, must anxiously watch as their own futures are jeopardized by the corruption which drains public coffers of the funds that could be used – should be used – to clean up our environmental messes and put our economies on a more solid, greener footing.  Traditional means of fighting corruption, she maintained, are not sufficient to address levels of self-interested illegality which take up too much space in our current political and economic environment, indeed which are putting more and more young people in the unenviable position of needing to “sell their own integrity” to keep any glimmer of personal progress on track.

This week, Kenya’s president urged the UN community to “raise the bar” on integrity, recommending that states support more education for youth on “ethical values” in this effort.  But we must be sure, as the PGA noted, not to “kick this can down the road.”  Young people have much to contribute, especially at local level, to building trust and capacity for a more sustainable world.  But the rest of us need to set a better example, a more honest and transparent example, an example which communicates our resolve to identify and end all manifestations of corruption from our own lives, even to end the procrastination that rationalizes our putting off until tomorrow what we promised to address today.

The open and lifeless pits our mining interests leave behind are only one of the residual craters complements of our many self-interested and self-deceptive personalities. We have only a matter of years to demonstrate that we can rise to a higher standard, that we can return what has been stolen and then commit not to steal again, that we can repair some of what we’ve damaged and then commit not to damage further.  In this way, we might be able to convince other, younger persons that a fairer and more sustainable world is still within our grasp, and that the buying and selling of this world need not include the buying and selling of our souls.

A Catch-22: Unpacking South Africa’s socio-economic plan amidst the global Corona-pandemic, by Sanet Madonsela

22 Apr

Editor’s Note:  Earlier today, the UN Security Council discussed the impact of COVID-19 on security and development options in the Great Lakes Region.  Here, Sanet Madonsela assesses her country’s current economic-health tradeoffs that, if not properly handled, will merely exacerbate misery in a country already experiencing deep economic uncertainties, instances of institutional corruption, and uneven access to health and other services. 

On the 21st of April 2020, South Africa’s President, Cyril Ramaphosa announced the country’s plan to inject a staggering R500 billion into the country’s social and economic support package amidst the global Corona-pandemic. This support package makes up 10% of the country’s gross domestic product (GDP). It is said to be the country’s biggest one-time fiscal outlay. While some economists believe the stimulus package to be well targeted, questions have arisen regarding how it will be funded. Of the amount announced by the President, only a mere R130 billion will be reprioritized from the country’s existing budget. Ramaphosa stated that the rest would be sourced internally as well as from international finance institutions like the World Bank, the International Monetary Fund, BRICS New Development Bank, and the African Development Bank. Financial support from the IMF and the World Bank for Covid-19 is said to not come with the usual calls for structural adjustment. However, the political left, in South Africa remains skeptical of receiving funds from these institutions.

It is important to note that South Africa’s economy was bleak before the outbreak of the global pandemic. The country was experiencing a technical recession, credit rating downgrades, rotational power outages, and high unemployment levels. This has resulted in business groups and economists requesting the reopening of the economy. The President has experienced increased pressure due to the economic impact of the current national lockdown. He has responded stating that the country would take a risk-adjusted approach to dealing with this challenge. While opening the economy could ease the economic burden on the country, it could result in a massive outbreak of the virus. Instead, the country has implemented measures to cushion the blow of the pandemic. Amongst these are: subsidies for businesses and wages, social grants catering to the poor and vulnerable and the prioritization of the health sector’s budget. While the health budget will be boosted, details regarding how the health system will be capacitated have not been provided. While these measures could assist in closing the inequality gap in the country, they can create further opportunities for looting given the endemic corruption existing in the country.

The global Corona-virus pandemic has managed to expose the many internal challenges the country is faced with. It has highlighted the shocking levels of poverty, unemployment and inequality in the country. While some citizens have eased into the nationwide lockdown, others are unable to do so as they are confronted with overcrowding, poor sanitation and food insecurity. They face greater nutritional and hunger challenges. Some even fear dying of hunger more than they fear dying from the virus.

It is worth noting that that the lockdown of schools means that the 9-million children who normally benefit from school nutritional programmes will not have access to food. While government has implemented the provision of food parcels to impoverished communities, its’ efforts have been countered by officials allegedly hoarding and selling food parcels. This means that resources allocated to assist the most vulnerable, including vulnerable children, are now being redirected to opportunistic government officials and their supporters. They do this through exploiting the government’s now-relaxed procurements system in the midst of this global crisis.

While the government’s immediate social grant increase is welcome, it should be noted that it would be insufficient as social grants tend to be redirected towards household expenses of adults who are usually employed. The Minister of Labour and Employment, Thulas Nxesi, confirmed that the country’s 3-million informal sector workers would not be covered by the department’s measures to lessen the impact of the national lockdown, as they are not registered for the Unemployment Insurance Fund (UIF). Government however, has now introduced a temporary distress unemployment grant to assist those who are not currently receiving any other grants or UIF. It is estimated that over a million people will lose their jobs as a result of the pandemic. The question now is “Where to from here?”

Like most countries, South Africa is faced with a catch 22 situation. Should they open up the economy to reduce the economic impact? Alternatively, should they extend the lockdown to ease the burden on a health system seeking to flatten the curve? Any viable solution would have to take into consideration the vulnerable health system, the high levels of unemployment, low economic growth, and the reduced income per capita. While some trade-off may seem sensible, it should be noted that an extended lockdown could undermine health services such as the immunization of children; while the blow to the economy could be fatal. Instead, a good mitigation strategy should be put in place to deal with the virus until a vaccine is available. It should be stressed that the immediate removal of the lockdown without a clear health and economic plan could result in both high levels of mortality and economic downfall.

State Fair:  The UN Tries to Take another Bite out of Corruption, Dr. Robert Zuber

27 May

Srebrenica

The future which we hold in trust for our own children will be shaped by our fairness to other people’s children. Marian Wright Edelman

He did not care for the lying at first. He hated it. Then later he had come to like it. It was part of being an insider but it was a very corrupting business.   Ernest Hemingway

When honor and the Law no longer stand on the same side of the line, how do we choose? Anne Bishop

Global betterment is a mental process, not one that requires huge sums of money or a high level of authority. Change has to be psychological.  Suzy Kassem

I will not let anyone walk through my mind with their dirty feet.   Mahatma Gandhi

This past Wednesday, the UN General Assembly payed tribute to the 15th anniversary of the United Nations Convention Against Corruption, a seminal moment in the multi-faceted history of UN efforts to provide pragmatic and regulatory  coherence in global efforts to address crimes from state bribery to terror financing.  This Convention has many facets, some of the most important of which have clear implications for peace and security as well as for our sustainable development priorities, including the recovery of diverted assets, enhancing the fairness and transparency of national judiciaries, and eliminating economic crimes such as identity theft.

Wednesday’s high-level event brought together senior UN officials and minister-level representatives from several  states who shared insights on their own anti-corruption efforts which (they hoped) would inspire other states to both learn from successful national practices elsewhere but also to commit more deeply to coordinated efforts within the broader UN system to stay one step ahead of (or at least better than one step behind) the evolution of contemporary criminal activity — what has become an evil cousin of our otherwise extraordinary ability to manipulate the external world.

If nothing else, our species continues to demonstrate the maxim that if not always wise, we are most certainly clever, an attribute that seems to be in our DNA and that allows the more malevolent among us to run one step (and sometimes many) ahead of our global regulatory capacity. As with weapons development and climate impacts, we often seem often to be running breathlessly in an effort to “catch up” to the latest iteration of criminality:  cyber-crime and off-shore financial shelters; “dark web” trafficking networks and clandestine markets for cultural artifacts pilfered by terrorists.   This race is made more challenging — and perhaps even more urgent — by the fact that enforcement agencies have an important obligation to “play by the rules,” to respect the human rights of persons some of whom have turned the exploitation of human greed and our other physical and character vulnerabilities into an art form.

Many of these challenges (and successes) were on display during the main Wednesday event as well as in a couple of excellent side events including one on “wildlife trafficking” sponsored by the UN Office of Drugs and Crime (UNODC) and states including Germany and Gabon.  For instance, a judge from Italy took the floor to cite what he feels are “profound” and positive changes within and beyond his country  due to its participation in the Convention, including transparency in public procurement, protection of “whistle-blowers” and what he deemed “better asset recovery measures.”  On the other side of the ledger, Uganda lamented that the power of money to motivate law enforcement and other officials “to turn a blind eye” to bribery, trafficking and other corrupt practices seems to be holding its own.  And yet there was virtual unanimity regarding claims by UNODC of the degree to which eliminating corruption positively impacts virtually all development and peace and security responsibilities. These include our ability to create and enforce fair and transparent tax codes as well as to regulate access to natural resources and other public goods in ways that preserve and enhance the ability of states to preserve domestic revenue for domestic needs.

As a representative from the Mexican government claimed this week, if we truly wish to honor these responsibilities, our “only option” as an international community is to cultivate more engaged citizens and more transparent and honest governance.  In implementing this “option” it is important to examine a few assumptions.   When many of us think about corruption, we have images from popular media in our heads:  secret payoffs to law enforcement, blatant manipulations of our court systems, corporate bribes to heads of state, the “laundering” of formerly public assets and the creation of safe havens for those ill-begotten gains.  It is about the power of money and might to divert us from any semblance of fairness, a principle which has largely fallen on hard times, but one which still has currency in our modern culture, especially by those who face discrimination or whose well-being has been undermined by select “dirty dealing” from corporate interests, from officials of governments large and small, even from schools and cultural institutions.

Beyond our video screens, it is apparent that corruption is not only a problem for states and the financial vultures that circle around them, but also for our local cultures and communities.  The damage to our societies – and now perhaps even to our planet – though the diversion of public assets to private interests, but also through our inability to rigorously apply principles of fairness in our public policies, is of course most dangerous when the offending party is a state agency or multinational corporate interest.

But there is also a fear, and not unfounded, that too many state officials are both enabling and benefiting from societies full of persons and institutions that also don’t or won’t commit to “play it straight.”  We have collectively become too comfortable with the smaller and seemingly  less consequential ways in which we cheat others, manipulate the truth, and even elevate the competitive advantages associated with our narrow self-interests.  We rightly lament those who use money and power to “cut the line” with impunity, but such lament is often two parts jealousy to one part indignation as we are less concerned about ending the practice of “line cutting”  and more about the strategies we must pursue to ensure our own place at the front of the queue. We must not deceive ourselves here: corruption at local levels is an equal opportunity corroder of our collaborative potential.  And much like Smokey Bear urges about forest fires in the US, “only we” can prevent our further collective slide into an abyss where we expect too little of our leadership and much too little of ourselves as well.

During the wildlife trafficking event on Wednesday, UNODC noted somberly that “we won’t get a second chance” to eliminate wildlife crimes, a warning made more poignant by recent stories of human-exacerbated extinctions that reach far beyond the species targeted by poachers.   But in some sense we might not get a second chance on any corruption-related matters.  If we are to make the best of the chance we still have, we will all need to play our part – as attentive critics of state practices, but also of our own local cultures of corruption. The “engagement” of citizens on corruption to which Mexico rightly pointed this week is partially about the ways we insist that officials in national capitals and multilateral institutions like the UN “play it straight,” and partially about how “straight” the rest of us are willing to play as well.

This weekend in the US is a time to reflect on those who lost their lives in wars of greater and lesser legitimacy.  However one assesses such conflicts and the damage they caused (or prevented), and despite the diverse motivates that drove people to “don the uniform,” we can presume that my relatives and the many others whose often obscure graves mark their sacrifices did not perish so that honor and law could go their separate ways, so that corrupt officials could line their own pockets, so that others could “cut the line” of their surviving family members, or so that the best of our minds and characters could be trampled on by the “dirty feet” of others.