Transparency International CPI 2009, reveals Corruption in Pakistan increased

The 2009 Corruption Perceptions Index looks at perceptions of public sector corruption in 180 countries and territories, - and is a composite index that draws on 13 expert opinion surveys. It scores countries on a scale from zero to ten, with zero indicating high levels of perceived corruption and ten indicating low levels of perceived corruption. The vast majority of the 180 countries included in the 2009 index score below five on a scale from 0 (perceived to be highly corrupt) to 10 (perceived to have low levels of corruption). The CPI measures the perceived levels of public sector corruption in a given country and is a composite index, drawing on 13 different expert and business surveys. The 2009 edition scores 180 countries, the same number as the 2008 CPI.

In the DOHA UNCAC Conference held on 9-13 November 2009, the United Nations has put a price tag on political corruption -- estimating that up to $1.6 trillion in public assets move across borders each year through networks such as money laundering or into secret holdings.

“Stemming corruption requires strong oversight by parliaments, a well performing judiciary, independent and properly resourced audit and anti-corruption agencies, vigorous law enforcement, transparency in public budgets, revenue and aid flows, as well as space for independent media and a vibrant civil society,” said Labelle. “The international community must find efficient ways to help war-torn countries to develop and sustain their own institutions.” Highest scorers in the 2009 CPI are New Zealand at 9.4, Denmark at 9.3, Singapore and Sweden tied at 9.2 and Switzerland at 9.0. These scores reflect political stability, long-established conflict of interest regulations and solid, functioning public institutions. Pakistan 2009 Corruption Perceptions Index Score is 2.4, and out of 180 countries, its ranking as most corrupt country has slipped 5 ranks, from 47 in 2008 to 42 most corrupt country in 2009.The CPI 2009 reveals the effects of corruption in the subcontinent, which is more alarming in Pakistan, as Bangladesh which was the most corrupt country in 2001, 2002 and 2003, has improved its ranking from 38th most corrupt country in 2008, to 42nd most corrupt country in 2009.

Syed Adil Gilani, Chairman TI Pakistan said TI Pakistan is of the view that Terrorism is the direct result of poverty, resulted only and only due to corruption ( defined as “ Misuse of authority fro private gain”), mainly illegal direct/indirect Armed Forces Rules in Pakistan since 1951 to 2007, fully endorsed by corrupt Judiciary. He further said the positive impacts will be visible next year of the few steps of good governance taken during last one year of the restoration of Judiciary by the Prime Minister by an executive order on 16th March 2009 ( after lawyers movement supported by opposition parties, civil society and above all Media), declaration of Judiciary by the Chief Justice to be Zero Tolerance for Corruption and withdrawal of draft NRO Bill from National Assembly ( on strong protest of opposition of parties and civil society). Transparency International Pakistan also congratulates Pakistan Army, which has proved to the world that Pakistan Armed Forces are the best. The elimination of terrorists in Swat in two months by Pak Army is what USA and NATO forces failed to achieve in 8 years in Iraq and Afghanistan, which has made Pakistan a proud nation. Army Chief has also taken up seriously violation of Public Procurement Rules by DHA and Armed purchases, and advised to follow the rules, which is a healthy sign and warning for those who are violators of rules. He said but the government is governing Pakistan without governance and Pakistan has lost credibility all over the World, due to which the country is facing serious economic threats,, poverty, inflation, food & electricity shortages and increase in unemployment, which are direct results of the massive on going corruption. He said that the government must make serious efforts to apply rules and regulation across the board, to achieve the goal of reducing corruption. In the last ten years, the economic growth of Bangladesh, and deterioration in Pakistan economy can also be judged from the currency parity rates of Pakistan, Bangladesh vs Dollar in 1999: 2009 , Taka/Pak Re was 49.65:51.84 and in 2009 it is Taka/Pak Re 70.39:83.46. He said Pakistan need immediate enforcement of good governance and Transparent administration, to counter the acute problems, of billion of rupees corruption scams reported in Pakistan Steel, TDAP, EOBI, PIA, Rental Power Plants, KESC, NIC, NHA, OGDC, PSO, PEPCO, CDA, DP Division, DHAs, Pakistan Steel TCP, NBP, PC, and many other organizations.
Bribery, cartels and other corrupt practices undermine competition and contribute to massive loss of resources for development in all countries, especially the poorest ones. Between 1990 and 2005, more than 283 private international cartels were exposed that cost consumers around the world an estimated US $300 billion in overcharges, as documented in a recent TI report..
In the 2009 CPI, major sources provided data based on expert analysis were African Development Bank, Asian Development Bank, Bertelsmann Foundation, Economist Intelligence Unit, Freedom House, Global Insight and the World Bank.

Syed Adil Gilani said Political will of the government to fight Corruption is urgently required and must also be seen by public and donor countries, like, formation of Independent Accountability Commission as required by United Nation Convention against Corruption under HOPO Act 2009, to report only to the Parliament or Judiciary and not to the Ministry of Law ( to avoid Conflict of interest and unbiased accountability), and to include all Public Office Holder belonging to Civil Services, Armed Forces Service, Judicial Services and Elected Representatives. All land scams of Punjab, CDA NWFP, Sindh ( specially like gutter baghicha, unauthorised allotments by Nazims, fraudulent change in land records by revenue officers ) , reported in last one year in Media shall be investigated by a Judicial Tribunal, and all Land records shall be computerized within one year. He said Pakistan also requires immediate action through a surgical operation on review and cancel the appointments and promotions not made on merit, and extension of services or reappointment after retirement, remove from the key public offices those who are facing corruption charges, and implementing the effective non-discriminatory accountability mechanism for those civil/defence departments not complying with the procedures including privatization, transparent implementation of rules by regulatory authorities, SECP, CCP, PPRA, EPA, SBP, OGRA, PEMRA, PTA, PFRA etc in order to restore donors agencies, IFIs and investor's confidence.

Seminar on Adoption of Anti Bribery Principles in the Private Sector.

A seminar was held at Hotel Marriott on 15th January, 2009 on ‘Adoption of Anti Bribery Principles in the Private Sector’. This seminar was organized by Transparency International Pakistan and BASF Pakistan(Pvt) Ltd. The Chief Guest of the seminar was Engr. Elahi Bakhsh Soomro, Ex speaker of the National Assembly.

Mr Syed Adil Gilani welcomed the guests at the start of the seminar. He explained the aims and objectives of Transparency International – Pakistan and gave an overview of its activities. He discussed the Bribe Payers Index and the Corruption Perception Index of Transparency International. He pointed out the corruption in the Private Sector in the International Arena and the role played by the auditing firms.

He was followed by Mr Qazi Sajid Ali, MD BASF Pakistan (Pvt) Ltd. He talked about the MOU signed by their company with TI-Pakistan. He informed after the company had decided to follow anti bribery principles in their practices, they had to undergo great difficulties in their business. However they persevered and now they find it was much easier to follow these principles. BASF requires all its employees to follow high levels of integrity both during their business and personal dealings.

The next speaker was Mr H.N. Akhtar, ex Secretary GOP. He shared his experiences with the participants. He was of the opinion that the term anti corruption should be added to the topic. He advised that auditors should not issue false certificates. He suggested that these principles should also apply to the Public sector. He also informed about the corruption in the donor agencies.

Mr Zubair Tufail, Vice President FPCCI. He said that discretionary powers of government officials. He said that corruption is affecting all aspects of life. It is evident in different forms like favoritism, misuse of power, jobs not provided on merit. He recommended the curtailment of discretionary powers of the government officials, simplification of laws and speedy decision making.
Engr M.A. Jabbar spoke on the speech of the previous president when he came to power. He said that the exact speech could be used today with only an addition of nine years as nothing seemed to have changed in their rule. He said that each successive government gives lip service to eradicating corruption but after they leave there has been no change. He recommend that an independent judicial system, independent and responsible media, transparent oversight bodies, independent anti corruption agencies, well trained law enforcement, an effective civil society were necessary for the curbing of corruption.

Mr Abbas Akberali, CEO Amreli Steel spoke at length about various modes and methods of corruption in vogue. His recommendation included indexation of wages and salary, rationalization of custom duties, curtailment of discretionary powers and accountability.

In the end Engr Elahi Bakhsh Soomro, Ex speaker National Assembly summed up the discussions. He appreciated the relevance of the topic and commended both Transparency International Pakistan and BASF Pakistan (Pvt) Ltd for taking the initiative to discuss such an important issue. While he considered it essential for the top leadership to be clean in order to serve as role models for the public at large, he however was of the view that even under the present circumstances a lot can be done by the organizers.

A sub committee was formed under the leadership of Qazi Sajid Ali of BASF with members MA Jabbar, Mr Abbas Akberali and Mr Zubair Tufail to prepare strategies and recommendations enhancing the adoption of anti bribery principles in the private sector.