Preventing White Collar Crimes in Public Sector:
Parlia e t’
s Perspective
Endah Retnoastuti
Defining White Collar Crimes
White Collar Crime
No
-
viole t cri es
(e.g. fraud, corruption, moneylaundering, etc.)
VIOLATION
Individuals of respectability and
power, high-level positions/status
PERPETRATOR
Committed in priviledged
situations for financial or
other private gain
States and Regional Characteristics
Southeast Asia
Natural resource (oil, gas, mineral)
Robust economic growth
Emerging, newly industrialised
Energy Industry
(e.g. Fraud on offshore companies)
Corporate Olygarchy
(Bribery, embezzlement)
Private-Public
Causes of White Collar Crime
Opportunities to commit crime
Situational pressures on the individuals
Issues pertaining to integrity
Prevalence in Public Sector
Government Control on
Economic Activities
Occurrence
High
Centralized, weak corporate law
Low
Liberalization, free trade
Mainly in Public Sector
Mainly in Private
3 Ways to Strengthen
Misconduct Management Procedures in Public Sector
Public sector can utilize their audit function, authority
or internal control routine, and
whistle-blower report
DETECTING
Improving the exposurecould be done by ensuring transparency, access for public and civil
society, and investigative media coverage
EXPOSING
Public sector and governmental institution should
develop a strong ethics and conduct regime, and review the
existing rules/codes
Challenges to Tackle White Collar Crimes
Difficult to detect
Advancement of technology – more sophisticated crimes
Inadequate methods and infrastructures both in measuring and investigating
Lack of regulatory prevention and ethical enforcement
Proposed Prevention Efforts through Ethic and Conducts
GOPAC
Global Organization of Parliamentarians
against Corruption
GOPAC is an international network of parliamentarians dedicated to combat corruption, strengthen good governance, and uphold
The central focus of GOPAC is the development of practical tools and training for parliamentarians, to assist and support parliamentarians in their advocacy and legislation to make governments accountable and transparent. It provides peer support to parliamentarians engaged in combating corruption, and relevant training to promote methods for fighting corruption.
Equipping parliamentarians with comprehensive knowledge on anti-corruption will strengthen the internal structure and prevent parliamentarians from doing misconduct in their offices.
GOPAC consists of
5 Regional Chapters
and
62 National Chapters
UN Convention against Corruption
Parliamentary Oversight
Parliamentary Ethics and
Conducts
Participation of Society
GOPAC s progra i g odel uses Global Task Forces (GTFs) to promote agendas identified by membership through a regionally representative group of parliamentarians that champion specific issues.
GOPAC
Network &
Global Task
GOPAC GTF
Parliamentary Ethics and Conducts
GOPAC established a Parliamentary Ethics and
Conduct Global Task Force (GTF-PEC) to develop and provide tools and training materials, strengthen
Parliamentary ethical system to preserve the
independence of MPs, and to avoid any possibility that private interests might interfere with their public duties.
Result:
Why is it important to address
Ethics and Conducts for Parliamentarians?
Deter unethical behavior by parliamentarians in the broader context of preventing white collar crime
Allow parliamentarians to
demonstrate high standards of ethics
E ha e pu li ’s level of trust in Parliaments and Parliamentarians
Implement the provisions of
Article 8 UNCAC, which provides
Steps to Establish an
Ethics and Conduct
Regime
Create political will, determine purpose
Reach agreement on ethical principles
Develop detailed rules
Est. regulatory system
Train
Determining the purpose, and establishing the
principles of an ethics and conduct regime
Build a coalition for change within parliament around the need for an ethics and conduct regime. Politicians must understand why a comprehensive and effective ethics is needed and what it is designed to achieve.
Creating the political will for reform
Generate agreement around the broad principles by which all politicians should abide. E.g. Integrity, Accountability, Objectivity, Impartial, etc.
Developing the content of the ethics and
conduct regime
Identifying conflict of
interest
Public Mandate vs Private Interest
The ultimate task of the MP is to ensure that they always seek to promote the
public interest.
Transparency and disclosure
Forms and timing of disclosure
Who should register?
Establishing the regulatory system and training
members
Develop a robust system of regulation which can enforce the rules. This includes finding the right mechanisms and proportionate sanctions.
Mechanisms for regulation and enforcement
The system must also include provision for the training and education of MPs, providing continuing advice and guidance on how to interpret and implement the rules.
The creation of the ethics and conduct
regime may will not solve all the problems
faced by the Parliament or other public
institution. The principles, rules and
regulations should be viewed as only one
part of a wider effort to improve the
functioning of the institution.
Let us work together to help
prevent
misdemeanor in public sector
, and help
ensure that Parliament and other public
institutions are
accountable
and
Thank You
GOPAC Global Secretariat – Jakarta Office
DPR/MPR Building, Nusantara III, 2nd Floor Jl. Jend. Gatot Subroto, Central Jakarta, INDONESIA 10270
