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GTP 2.0 - Prime Minister's Office of Malaysia

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GREatER PublIC aWaRENEss<br />

oF CoRRuPtIoN<br />

Bribery and corruption have remained pervasive, according to the<br />

12th Global Fraud Survey conducted by Ernst & Young in 2012. The<br />

survey, drawn from 1,758 interviews with senior decision-makers in<br />

43 countries, revealed that 39% <strong>of</strong> respondents believed that bribery<br />

or corrupt practices occur frequently in their countries.<br />

“There is little question that the current economic situation has exerted<br />

negative pressure on employees. One <strong>of</strong> the most troubling<br />

findings <strong>of</strong> the survey is the widespread acceptance <strong>of</strong> unethical<br />

business practices such as cash payments to win contracts and misstatement<br />

<strong>of</strong> financial statements. The challenge is even greater in<br />

rapid-growth markets, where a majority <strong>of</strong> respondents believe these<br />

practices are common,” the report noted.<br />

“In <strong>Malaysia</strong>, there appears to be a greater level <strong>of</strong> awareness <strong>of</strong> the<br />

fight against corruption, and this seems to be in tandem with the<br />

adoption <strong>of</strong> the Anti-Corruption NKRA in 2010,” said Ernst & Young<br />

<strong>Malaysia</strong> advisory services partner Philip Satish Rao.<br />

Rao said more than 80% <strong>of</strong> <strong>Malaysia</strong>n respondents to the survey hold<br />

the view that closer supervision by regulators and the Government<br />

will help in the fight against corruption. On a positive note, 84% <strong>of</strong><br />

respondents believe that authorities are willing to prosecute bribery<br />

and corruption cases.<br />

“The level <strong>of</strong> awareness <strong>of</strong> bribery and corruption has increased with<br />

the establishment <strong>of</strong> PEMANDU and the <strong>Malaysia</strong>n Anti-Corruption<br />

Commission. The higher number <strong>of</strong> cases being reported in the media<br />

has also contributed to this,” he said.<br />

“Within an organisation, various means can be used in the fight against<br />

corrupt practices, including instituting whistleblowing hotlines, introducing<br />

anti-fraud programmes such as training on anti-bribery<br />

and anti-corruption policies, and setting a strong tone at the top, at<br />

senior management level,” concluded Rao.<br />

KEy lESSONS<br />

5.3<br />

The first three years <strong>of</strong> the <strong>GTP</strong> have been<br />

challenging for the ANTI-CORR NKRA because<br />

the fight against corruption requires a wholesale<br />

change in mind-set about the way business is done<br />

in <strong>Malaysia</strong>. It means changing the way corruption<br />

has been policed in the past, changing the way<br />

contracts have been bid for and awarded, and<br />

changing the way corruption has been punished.<br />

Corruption persists because it has been<br />

ingrained, or normalised, within a culture as<br />

the way that things simply get done. By being<br />

normalised, it loses its negative connotations<br />

and becomes part and parcel <strong>of</strong> the culture. In<br />

recognition <strong>of</strong> this, the ANTI-CORR NKRA has<br />

implemented foundational changes – ensuring<br />

key enforcement agencies are themselves<br />

incorruptible, addressing new corporate<br />

contracts, etc. – that will serve to create a<br />

strong platform to deliver innovative solutions<br />

over the <strong>GTP</strong>’s remaining seven years.<br />

86 Government transformation Programme—Annual Report 2012 Chapter Five 87<br />

Government transformation Programme—Annual Report 2012 Chapter Five

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