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304 Diagnosing Corruption in Ethiopia
of the land to awarding of the lease. Their involvement in the whole
process conflicted with their roles as board members in overseeing the
lease-award process.
• No process was in place to monitor compliance with the requirement
that investors develop urban land within 18 months of being awarded
the lease. Leased land was also being sold and put to uses not specified
in the lease agreement.
• The mandates of the Addis Ababa city administration and the subcities
were unclear, resulting in corruption whereby action at one level was
being frustrated at another level. The investigation showed that at the
stage when the successful winners of the 54th, 57th, and 58th rounds
of auctions in Bolle subcity were identified, the land planned for allocation
had already been allocated to other individuals through negotiation
for unknown reasons.
• No system was in place to monitor lease payments and monitor compliance
with lease conditions.
• No grievance process existed for people to resolve difficulties with the
manner in which subcity officials implement and manage the lease
system.
Based on the corruption evident in Ethiopia’s land sector (as set out
above), supported by the analysis of land governance in Ethiopia (as set
out below), and using the value chain and vulnerability for corruption
(shown previously in table 7.1), box 7.7 summarizes the key areas of land
sector corruption.
Mapping Corruption to the Value Chain
This section looks at the assessment of corruption using the value chain
(as previously shown in table 7.1), drawing on the information in the
LGAF expert investigations, records of the panel deliberations, and interviews
with key stakeholders.
Policy Formulation and the Legislative Framework
In rural areas, the policy in theory covers most of the population, but
only five of the nine regions have enacted relevant laws. Communal land
in rural areas has not been mapped, and communal rights are not registered.
A more fundamental concern is lack of clear rules at the national
level for dispute settlement and the system’s numerous subjective limitations
on rights—although some of the regional proclamations set out