Corruption

What is Corruption?

In philosophical, theological, or moral discussions, it is spiritual or

moral impurity or deviation from an ideal.
 Different scales of corruption

1. Petty Corruption
2. Grand Corruption
3. Systematic Corruption
Petty Corruption

Occurs at a smaller scale and occurs within established social

frameworks and governing norms.

Example: exchange small gifts or use of personal connections

to obtain favors.
Grand Corruption

Occurs at the highest levels of government in a way that

requires significant subversion of political, legal, and
economic systems.
Systematic Corruption

A corruption which is primarily due to the weaknesses of an

organization or process. It can be contrasted with individual
officials or agents who act corruptly within the system.
 FACTORS THAT ENCOURAGES SYSTEMATIC
CORRUPTION

• Conflicting incentives
• Discretionary powers
• Monopolistic power
• Lack of transparency
• Low pay
• A culture of impunity
 Specific Acts of Corruption

• Bribery. The offering, giving receiving, or soliciting of any item of value to

influence the actions of an official or other person in charge of public on
legal duty.
• Extortion. The obtaining of property from other induced by wrongful use of
actual threatened force, violence, fear. Or under color of official right.
• Embezzlement. The act of withholding assets for conversation (theft) of
such assets, by one or more person's to whom the assets were entrusted,
either to be held or to be used for specific purposes. Embezzlement is a type
of financial fraud.
DIFFERENT SECTORS WHERE CORRUPTION
MAY OCCUR:

• 1. Government/Public Sectors - is one of the more

dangerous forms of corruption as the corruption of the
governing body can lead to widespread effects.
• 2. Legislative System (Political) - is the abuse of public
power office or resources by elected government officials
for personal gain.
3. Executive system
Refers to the branch of government responsible
for implementing and enforcing laws and
policies.

4.Judiciary system
A vital component of any democratic society
and plays a crucial role in upholding the rule of
law and ensuring justice for all.
5. Corporate refers to businesses or organizations that operate
as legal entities separate from their owners.

6.Unions also known as labor unions or trade unions are

organizations formed by workers to protect and promote their
collective interests in the workplace.
7. Non-Government Organization
NGOs and other non-profit organizations are not immune to
corruption and may be linked to political corruption.

8. Political Corruption
The use of power by government officials for illegitimate
private gain
  Misuse of government power for other purposes is not
considered political corruption such as:

• Repression of political opponents

• General police brutality
• Illegal acts by private persons or corporations not directly involved with the
government.

 An illegal act by an officeholder constitutes political corruption

only if the act is directly related to their official duties, is done
under the color of law, or involves trading influences.
 Forms of Corruption

 Bribery
The act of promising, giving, receiving, or agreeing to receive money or some other item of
value with the corrupt aim of influencing a public official in the discharge of his official duties.

 Extortion
The practice of obtaining something, especially money, through force or threats.

 Cronyism
The appointment of friends and associates to positions of authority, without proper regard to
their qualifications.
Nepotism
The practice among those with power or influence of favoring relatives or friends especially by giving
them jobs.

Patronage
The power to control appointments to office or right privileges.

Graft
The acquisition of money, gain, or advantage by dishonest, unfair, or illegal means, especially through
the abuse of one’s position or influence in politics, business, etc.
Graft - It is refers to essentially to be unethical acquisition of personal gain
by a public official or other personal entrusted with a position auothority. It's
essentially a synonym for a bribe or other illegal benefits received by
someone who abuses their power for personal advantage.
Embezzlement - Is a kind of theft that involves a breach of trust. It happens
when someone who is entrusted with looking after money or property steals
or misuses those assets for their own benefit.
Institutional Corruption - Forms of corruption vary, but can include bribery,
lobbying, extortion, cronyism, nepotism, parochialism, patronage, influence
peddling, graft, and embezzlement.
• Economics effects - an economic effects is an effect of an
event on the economy in a specified area, ranging from a
single neighborhood to the entire globe. It usually
measures changes in business revenue, business profits,
personal wages, and/or jobs.
• Private Sector - Corruption increases the costs of
business through the price of illicit payments
themselves, the management cost of negotiating with
officials, and the risk of breached agreements of
detection.
• Public Sector - Corruption generates economic
distortions in the public sector by diverting public
Investment into capital projects where bribes and
kickbacks are more plentiful.
Environmental And Social Effects

• Corrupt Countries may Formally have legislation to protect the environment it Cannot
enforced by officials and can early bribed.
• Food aid is often robbed at gunpoint by government, criminals, and warlords alike, and sold
for a profit.

Effects on Humanitarian aid

• Since the scale of humanitarian aid to the poor and undatable regions of the world grows it is
highly vulnerable also to corruption.
• Food Aid Can be directly and physical diverted from its intended destination or indirectly
Through the manipulation of assessment targeting registration and distribution to favor
certain groups or individual.
Reinforcing Loop

CORRUPTION +
+

DECREASE IN
DECLINE IN
GOVERNMENT
ECONOMY
REVENUE

+
+

ILLEGAL
ACTIVITY POVERTY
+
Balancing Loop

+ CORRUPTION +

DECREASE IN
+ Government
implementation of
DECLINE IN strategies such as tax
GOVERNMENT rebates, deregulation
ECONOMY
REVENUE and investment
infrastructure.

+ +

ILLEGAL
POVERTY Increase in
ACTIVITIES
Employment
+ -