aaCorruption in Business and Bangladesh

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DEFINING CORRUPTION:Corruption is not identifiable as a single, separate, independent entity, which canbe isolated and destroyed. Corruption is a complex set of process involving humanBehavior and many other variables, some of which are difficult to recognize or measure.(Almas, 2000:5) Even through corruption manifests itself as a force on its own and oftenGenerates its own momentum, it is linked to many other factors, and it is byUnderstanding these factors that we can hope to understand corruption. The term"corruption" is used as a shorthand reference for a large range of illicit or illegal

activities. Although there is no universal or comprehensive definition as to whatconstitutes corrupt behavior, the most prominent definitions share a common emphasisupon the abuse of public power or position for personal advantage (ADB, 1998).Corruption is in its simplest term, the abuse of power, most often for personal gain or forthe benefit of a group to which one owes allegiance. It can be motivated by greed, bythedesire to retain or increase ones power, or perversely enough, by the belief in asupposedgreater good. United nation's Dictionary of social science define as corruption in publiclife is the use of public power for private profit, preferment of prestige or for the benefitof group or class, in a way that constitutes a breach of law of standards of high moralconduct" (1978:43-). Corruption is a complex issue, grounded in a country's social andcultural history, its political and economic development, and its bureaucratic traditionsand policies. To generalize, corruption tends to flourish, when institutions are weak andeconomic policies distort market place (World Bank: 1997). Klitgaard (1996) hasdeveloped a simple model to explain the dynamics of corruption, which is as follows:C =M+D-A-SWhere, C=CorruptionM= MonopolyD= DiscretionA= AccountabilityS= Public sector salariesIn other words, the extent of corruption depends on the amount of monopoly power anddiscretionary power that official's exercise and the degree to which they are heldaccountable for their actions.Form above on the discussions of corruption may be defined broadly to includemisuse of public funds and evasion of public laws that result in unfair private gains,lower rates of economic growth and greater inequality of income and lower levels ofmaterial and spiritual welfare in a country infested with such corruption. As a result ofthis variety in patterns of corruption, there are problems in evaluating the currentdiversity of corruption and anti-corruption efforts; many advocate a single universalstrategy to fight corruption. I want to discuss in this article in briefly

some combating corruption strategies in Bangladesh. Corruption And Bangladesh

36 years after independence, it is unfortunate that Bangladesh is still known in the worldas a country of corruption. It is also unfortunate that prior to 2007 Corruption is amongthe most formidable challenges against development, democracy and rule of law. Byinternational comparison Bangladesh has been ranked amongst the countries wherecorruption is perceived to highest in the world according to the Corruption PerceptionIndex released every year by the Berlin-based Transparency International. Scoring 2.0 ina scale of 0-101 Bangladesh was ranked on top of the list for five successive years from

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2001 to 2005, while it became third in 2006 and seventh in 2007. Research and surveysconducted by Transparency International Bangladesh (TIB) have also demonstrated thedepth and breadth of corruption affecting the polity , economy and society over theyears.

Causes behind the corruption in Bangladesh:The causes of corruption are always contextual, rooted in a country's policies, bureaucratic, traditions,

political development and social history. It is a phenomenon that takes place due to the presence of a

number of factors. Competitive of international market provides multinational Companies of various sizeswith an incentive to after bribes to gain an advantage over Competitors. Three areas of government activity-customs administration, business, regulation and management of foreign aid act as source of corruption at

the level of individual institutions. Corruption also results from the presence of a number of factors. There

include rapid economic and social change, Strong kinship and ethnic ties, new institutions, overlapping andSome times conflicting views about what is public behavior, governmental monopoly over economic

activities, political softness, widespread poverty and socio-economic inequalities, ignorance, Lack of

Knowledge about individual entitlements, communal bonds, ambivalence towards legitimacy ofgovernmental organizations, asymmetric relationship favoring those in control of state power, economic

shortages in which public officials assume extraordinary control over scarce good and service, greed,

patronage and systematic mal-administration.

Corruption in Business:According to the World Economic Forum Global Competitiveness Report 2007-2008, themajor constraint on foreign businesses operating in Bangladesh is first and foremostcorruption, followed by poor infrastructure, inefficient government bureaucracy, policyinstability and inadequate access to financing. Corruption is present in most interactionswith public authorities. According to the World Bank & IFC Enterprise Surveys 2007, 85%of the companies surveyed expect to pay unofficial payments to 'get things done', while55% identify corruption as a major constraint to doing business. Small and medium-sizedcompanies suffer most from corruption, as they devote proportionately more resourcesand time than do larger companies to paying bribes and dealing with regulations. Whenbribes are measured as a share of costs by company size, the level of unofficiapayments by the smallest companies (below 50 employees) is nearly five times the levepaid by large companies (with over 159 employees).

Private sector corruption is also widespread. While laws on disclosure of assets andconflict of interest exist, they are rarely enforced. Significant parts of the state budget(including state-owned enterprises) remain outside legislative control. Trade andbusiness associations are often led by former government employees or politically activepersons, leading to patron-client relations between government and business. Accordingto a Transparency International Bangladesh Household Survey 2005, the private sector isone of the most corrupt in the country. While private-public sector corruption is illegal,business-to-business corruption is not. Audits cannot always be trusted, as auditorsrarely conform to international standards and are known to produce reports according tothe wishes of the client. In order to better manage legal and financial corruption risks,companies are strongly recommended to develop, implement and strengthen integritysystems and to conduct extensive due diligence when planning to do or are alreadydoing business in Bangladesh.

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Forms of corruption in Bangladesh:As earlier mentioned, the survey considered corruption in six common forms bribery,negligence of duties, nepotism, embezzlement, deception and extortion. The followingFigure presents an overview of different forms of corruption experienced by thesurveyedhouseholds. Bribery and negligence of duties were the two most frequent forms ofcorruption experienced by the surveyed households, the two together claiming 76.9% ofthe total. Bribery was reportedly the single most frequent form of corruption with 38.6%of the surveyed households having such experience, followed by negligence of dutiesexperienced by 38.3%, embezzlement by nearly 10%, nepotism by 8% and deceptionandextortion by 3.5 and 1.7 percent respectively.

Manifestations of different forms of corruption vary among sectors. Bribery as a foremostform of corruption prevails almost in all sectors in varying proportions. Among differentforms of corruption, the distribution of bribery was found most prevalent in landadministration (89.1%) followed by judiciary (78.4%), law enforcement (56.1%) and tax(53.0%).

Incidence of corruption in different sectors:

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Considering all sectors 66.7% households experienced corruption during interactionswithdifferent service providers, with minimal urban-rural differentiation, although proportionofrural households who experienced corruption was slightly higher than their counterpartsinurban areas 43.8% compared to 40.2% respectively. Vulnerability to corruption hasbeen

found to vary insignificantly depending on the sex of the household head. The surveyshowedthat 32.6% of female headed household were victims of corruption whereas 35.2% ofmaleheaded households had the same experience. Such location and gender-neutrality of thefinding suggests indiscriminately deep and wide prevalence of corruption. In terms ofspecific sectors a staggering 96.6% of households who interacted with law enforcingagencies experienced corruption, followed by land administration (52.7%) and judiciary(47.7%) as the next most corrupt sectors. Nearly two-fifths of those households who hadinteractions in education and health services exp

erienced corruption. In electricity, around one-third of the households experiencedcorruption.

BriberyOverall, 42.1% of households paid bribe during their interactions for receiving differentservices. Vulnerability to bribery has been found to be marginally higher in rural areas(43.8%) than in urban areas (40.2%). Payment of bribes was most prevalent in lawenforcingagencies with as many as 64.5% households forced to pay bribe during interaction withorreceiving services from law enforcing agencies, followed by land administration (51.1%),judiciary (41.7%) and local government (32.5%). According to this study, an averageBangladeshi household paid Tk. 4,134 in a year for receiving services from differentsectors. The corresponding figures for urban and rural areas are Tk. 5,174 and Tk. 3,337respectively. The per capita bribery rate of bribes paid by an individual is estimated tobe Tk. 861 per annum. Using the surveyed data it hasbeen estimated that the total annual amount of bribe paid by the entire population in allsectors of service delivery in the surveyed period was Tk. 54.43 billion (5,443 crores).Bribery is estimated to have claimed 3.84 percent of per capita income of an averageBangladeshi citizen. The incidence of bribery and average bribe amount are foundhighest in land administration, claiming Tk. 16,063 billion (1,606 crores). The second andthird largest

collectors of bribe are law enforcement (Tk. 8.790 billion or 879 crore) and judiciary (Tk.6.710 billion or 671 crore) respectively. The lowest amount of bribe has been claimed bythe NGO sector (Tk. 204 million).

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Table: Sector-wise corruption and bribery experienced by households duringinteraction:

Period-wise comparison of prevalence of bribery:The survey attempted to bring out a comparative picture of prevalence of bribery duringJuly-December 2006 and January-June 2007. As the table below shows, the results aremixed. In some sectors corruption in the form of bribery has increased, while it hasTable: Incidence of bribery by time periods:Sector Jul-Dec06 Jan-Jun07 In both periods

Education 12.5 44.5 43.0

Health 32.0 36.9 31.1

LandAdministration

39.4 45.1 15.6

Local Government 38.2 47.9 13.9

NGO 13.9 35.7 35.7

Law Enforcement 49.7 37.3 13.0

Judiciary 31.9

28.8 39.3

Electricity 41.0 38.7 20.4

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Sector CorruptionExperienced(%)

Bride Paid (%) Averageamount ofbride(in taka)

NationallyestimatedBride paid (incore taka)

Law

EnforcementAgencies

96.6 64.5 3940 879

Localgovernment

53.4 32.5 883 187

LandAdministration

52.7 51.1 4409 1606

Judiciary 47.7 41.7 4825 671Health 44.7 16.3 524 108Education 39.2 8.8 1296 117Electricity 33.2 14.3 1993 474Banking 28.7 15.7 7795 525

NGO 13.5 6.5 421 20TAX 6.4 5.1 2293 149Others 31.3 16.6 7578 708


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Banking 55.4 22.7 21.9

Tax 44.9 34.9 20.4

Others 35.5 44.5 20.0

Overall 37.5 39.3 23.1

Sector specific overview of corruption:

Harassment and briberyAccording to the survey, two out of five service recipients faced harassment whilevisiting government health facilities. 33.4% of the service recipient paid on average Tk.461 as bribe or speed money. Almost all categories of professionals and workersengagedin the health centers are involved in bribery, doctors and nurses being the major bribetakers. Among other bribe takers are the employees, ward boys and brokers. About13.6%

of surveyed households reported that doctors in Government hospitals had taken moneyfor writing prescription during the consultations. In doing so, the doctors collected onaverage Tk. 95 per consultation.

Private business by public health professionals22.7% service recipient from government health facilities reported that they had beenadvised to visit private chamber/clinic of the doctor. This phenomenon is relativelyhigherin urban areas, presumably for the existence of more private facilities, then rural areas.

Pathological tests39.5% households were asked to do pathological tests when they consulted with doctors.Among them, 55.8% household members could have the tests from governmenthospitalswhile 44.2% had to take the tests from privately-owned hospitals and clinics, nearly all ofthem compelled to go to specific pathological centre or clinic of the service providerschoice.24.6% of service recipients had to make unauthorized payments in addition to officialrates. The average additional amount paid for pathological tests was Tk. 260 ingovernment hospitals/facilities.

Land Administration

Interaction with land administration and incidence of bribery25.20% of the surveyed households interacted with a land office or received servicesfromvarious outfits within and administration. Among those, 53.03% experienced bribery. Onaverage, each of them paid Tk. 4,409. The rate of bribe was reportedly highest forallotment ofPure land, i.e., Tk.5, 680 to receiveallotment ofPure land, followed by land registration and mutation Tk. 4,237 and Tk.

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3,303 respectively. The highest proportion of households (70.0%) experienced briberyforobtaining documents, followed by Pure land allotment (65.6%), land survey (64.7%)mutation (63.4 %) and payment of land tax (26.0%).Tahsildersinvolvement was leading for services like tax payment (77.6%), mutation(56.4%) and withdrawal of documents (36.3%). Deed writers were found in highestproportion in dealing of bribery for services like land registration (48.7%) and selling andpurchase of land (80.0%). Involvement of Sub-Registrars was found highest in land

registration. In cases of mutation, Assistant Commissioners involvement in bribery wasfound in highest proportion.

Law Enforcement AgenciesAmong the surveyed households, 10.7% interacted with law enforcing agencies.

Harassment/corruption by law enforcement agencies:The survey revealed that 96.6% among the surveyed households experiencedharassmentand corruption during interacting with or receiving services from law enforcing agencies.Among them, the overwhelming majority of households (93.4%) had the experience ofbeing victims of corruption. Among the victims, 62% are male and 38% female.The households reported bribery (41.5%) as the most prevalent form of corruptionindulged by the law enforcement agencies. The other forms of corruption committed bylaw enforcing agencies include misbehavior (21.5%), threat for torture (10.7%), arrestwithout warrant or case (8.0%), filing of false FIR/charge sheet (6.7%) and negligence infiling cases (4.3%). Most of these harassments and irregularities were committed by thepolice. The joint force personnel mostly involved in misbehavior and threat of torture.

Extent of bribery:The survey found that 64.5% households who interacted with law enforcement agencieswere forced to pay bribe.

Judiciary

Incidence of bribery

The survey shows that 41.7% of the households who interacted with the judiciary had topay bribe for receiving services. This proportion is higher in rural areas (48.3%) than inurban areas (37.3%). The amount of was Tk. 4,825 on an average. Average amount ofbribe paid was found higher in urban households (Tk. 6,104) than in rural households (Tk3,966).Bribery is most prevalent in judge courts with 47.6% of interacting households having topay bribes, followed by magistrate courts in which case the ratio was 45.2%.

Actors involved in bribery36.9% of households reportedly paid bribe to court officials, followed by middlemen(31.1%), own lawyers (10.7%), public prosecutors (10.7%), opposition lawyer (2.1%) andjudges (1.2%). In most of the cases (64.3%), the households reportedly paid bribe

directlyunless lawyers (22.3%), court officials (5.8%) and middleman (7.6%) functioned asintermediaries.

Electricity

BriberyAccording to the survey findings, 52.7% households experienced corruption andharassments during receiving services from different electricity entities. Although theservices of DESCO are supposed to be more customer friendly, the incidence of

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harassment and corruption is paradoxically found the highest (73.9%) in it. DESA rankssecond in terms of the proportion of households experiencing harassments andcorruption.Of those households who experienced harassments and corruption in electricity sector,thehighest proportion of them (41.8%) experienced the incidence of bribery. Among otherforms of harassment encountered were unnecessary wastage of time (27.8%) andinflated

bill (9.8%). Bribery was most prevalent in PDB as 44.0% of its consumers experienced itduring receiving services. The bribery situation is almost similar in REB.The households who paid bribe for receiving services from different entities on averagepaid Tk. 1,993. The amount of bribe paid by households varies across entities rangingfrom Tk. 906 (DESCO) to Tk. 2,552 (DESA). As the REB has the highest number ofsubscribers among all entities (56.5%), the amount of bribe accruing to REB staff wouldbe the highest.

Local Government

Harassment and bribery in Local Government:Harassment was reported to be the most prevalent (57%) form of irregularitiesexperienced by households in interactions with local government bodies, followed bybribery (41.8%). However, bribery was found more prevalent in urban areas than in ruralareas for the services of local government.More that 60% of those who had to pay bribes did so for collection ofbirth/death/citizenship certificates. For other services like obtaining trade license,collecting fertilizer and old-age allowance nearly one in ten households had to pay bribe.Average amount of bribe paid was the highest for obtaining clearance for a housebuilding plan (Tk. 5005) followed by installation of tube well (Tk. 3120), VGF/FGD card(Tk. 840), collection of fertilizers (Tk. 828) and obtaining trade license (493). Even thesenior citizens had to pay Tk. 310 on an average to avail boyoshko bhata (old-ageallowance).

ReliefAmong the households who registered for relief, about 8% had to pay bribe for

enlistment. On the other hand, 17% got enlisted through the patronage of theChairman/Member. The households who had to be registered through bribery paid onaverage Tk. 399. It was also reported that among the recipient households, 42% got lessthan allocated amount of relief goods.

Taxation

Income taxAmong the income-tax payers, 20.7% paid bribe in the process of tax payment, with theaverage amount of bribe estimated at Tk. 5,282. Incidence of bribery and amount ofbribe

was higher for urban households. Most of the households (62.5%) reported that theyresorted to paying bribe in order to avoid harassment.

Holding taxOverall, 14% of the surveyed households paid holding tax during the reference year, theproportion being higher in urban areas (31%). While paying the holding tax, abut 3% ofthe households paid bribe. The average amount of bribe annually paid by the householdswas Tk. 619, which is over 79% of the gross amount of tax.

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The single most important reason mentioned by holding tax payers for paying bribe wasto reduce tax amount (41%). Over 18% households mentioned that paying bribe seemedto be mandatory.

UP tax:The study shows that 38% percent rural households paid Union Parishad (UP) tax. Theaverage annual amount paid as tax was Tk. 151 whereas additional amount paid as bribeaveraged at Tk. 56, which is 37% of the amount of tax. The surveyed householdsreported

that they paid bribe in order to pay lower amount of tax, to avoid harassment, or it wasimposed as mandatory.

Banking

Bribery in credit serviceAmong the loan recipients, 32% had to pay bribe to get a loan. Bribery is much higher ingovernment banks (36%) than private banks (7%). Rural borrowers had to pay bribe inhigher proportions (34%) than their urban counterparts (26%).On an average, borrowers paid Tk. 5,071 as bribe while receiving loan, which was 7.6percent of the loan amount.Among the bribe payers, 43% reported that they paid bribe to the concerned officers of

the bank, 18.1% paid bribe to branch managers, while 19.9% paid to other employees ofthe bank. Another 18.7 percent of the bribe payers paid bribe through brokers. Clients ofgovernment banks and rural areas had to go through middle man in greater proportionsthan others.

Other banking servicesRespondents of the survey reported that they had to go to the bank to receive differentservices like L/C opening, regular transactions like withdrawal and deposit, bill payment,pay order, money order, and trade license, etc. While receiving these services, 22.4percent mentioned that they were harassed. Wastage of time was the foremost type ofharassment as reported by 62.1 percent of the respondents. Respondents paid Tk. 620as

bribe on an average while receiving such services. Incidence and amount of bribe ismuch higher in rural areas.

NGO sector

Services provided by NGOs39.4% of the surveyed households took services from non-government organizations(NGOs). As high as 90% of them received micro credit from NGOs. Only 10.5%households reported to receive other services like health, education, relief, training, etc.

Bribery in micro creditAmong micro credit receivers from NGOs, 7.5% respondents reported to have paid bribefor the service, at an average rate of Tk. 299 per transaction.

Political corruption in business:Effective sanctions on politicians can be enhanced most effectively through a meaningful

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degree of political competition in the electoral process. Such competition increases the

likelihood that alternative candidates and parties will seek to expose corruption ingovernment of hold politicians accountable for the poor performance associated with

high levels of corruption. Historically, anti-corruption and accountability measures were

a by-product of these political struggles. Excessive political competition can become a destabilizing factor if itundermines the legitimacy of existing state institutions. Excessive political competition can undermine state can

undermine state capacity and thus create conditions especially conducive to administrative corruption. Our

politicians are not satisfied with their wealth. So, they earn large amount of money by many illegal way

.political competition have great affect on our business. When political party is changed, our businessenvironment is changed. Some time our politicians can use their illegal power in business. Some Illegalbusiness can active with the power of political party.

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How corruption effects the economy

The internal social forces and the donor groups had been identifying corruption as thenumber one enemy of development throughout the decade prior to the period whenBangladesh became champion in corruption for five consecutive years ( 2001-2005) asper Transparency Internationals corruption perception index(CPI).Effects of corruption in the economy are given bellow:The government responds to the development obstacles by increasing governmentspending on recovery programs. Minimal tax revenues, however, cannot completely fundthese projects, which typically fail due to poor management, and the government runs adeficit. Tax evasion and corruption of government officials reduce tax revenues, andgovernment projects fail as bureaucrats become wealthy. The reduction of fundsincreases the government debt.A banking system plagued by default, and bribery and theft in utilities such as power,ports and telecommunications, human development services are also subject to poorgovernance. To illustrate the corruption function, this is an equation for fiscal deficit (D = G -Yt) withgovernment corruption:D = G -[Yt-Cr].Corruption (Cr) reduces tax revenues (Yt), and the subtotal is the amount of useful fundsThe deficit (D) is the amount of funds subtracted from government spending (G). Thisequation is a mathematical demonstration of how corruption effects the economy. Theeffects of corruption on aggregate expenditures are observable from the equation, as isthe relation between Bangladesh's rate of growth and its capacity if corruption did notexist.To continue, government deficit crowds-out investment spending because it utilizes mostof the available credit. Investment spending is a very weak variable of Bangladesh'seconomy. If businesses cannot obtain credit in order to expand, then investmentspending remains low, as do wages and employment. Bangladesh's rate ofunemployment in 1996 was 35.2%. This high rate reduces wages because of the

principle of supply and demand in the labour market. Then, the cost-push theory ofinflation dictates that companies maintain low prices on merchandise because they donot need to finance high wages. The Bank of Bangladesh takes advantage of this low-inflation opportunity to lower the discount rate, which increases the money supply andthe amount of credit available to businesses for investment spending. According to themonetary theory of inflation, increasing the money supply also increases the rate ofinflation. These two contradictory inflation trends in Bangladesh created a 5.8% rate ofinflation based on 2000 consumer prices. This inflation rate might be lower and morestable if the BOB did not need to accommodate profuse government spending.Another method to encourage investment spending is to attract foreign investmentand trade. The Bank of Bangladesh occasionally devalued the Taka, maintaining an

exchange rate that is semi-flexible in relation to the exchange and inflation rates ofBangladesh's trading partners. As of April 2005, the exchange rate was 63DT to the USD.Devaluation improves the balance of trade by encouraging other countries to purchaseBangladeshi exports. Bangladesh also attempts to reduce foreign competition and togenerate more revenue for its generous government spending through high tariffs.Almost 60% of its revenue derives from import taxes, tariffs, and duties.However, Bangladesh is obligated to follow guidelines of the WTO regarding its tradingpolicies, and therefore is currently in the process of reducing these tariffs. Foreigninvestment spending, however, has not improved adequately. The crowding-out effect,

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for one reason, occasionally prevents investment until the next increase in the moneysupply. Corruption especially deters foreign investors, who are concerned about profitmargins and rapid development. In essence, Bangladesh must stop corruption in orderfor there to be a significant increase in foreign investment.

what to do to prevent corruption:Combating corruption is not easy task. Still no one denies the need to check

corruption effectively. It may not be possible to eradicate corruption completely but thenvigorous and determined actions will go a long way to minimize it. It also requirescourage and long-term commitment by a variety of anti-corruption actors. Political

Leaders, champions amongst public servants, civil society, media, academics, the private

sector and international organizations all play important roles in addressing corruption(World Bank group-2001). To reduce the corrosive impact of corruption in a sustainable

way, it is important to go beyond the symptoms to tackle the causes of corruption. Since

1996, the World Bank has supported more than 600 anti-corruption programs andgovernance initiatives developed by its member countries.

We believe that an effective anti-corruption strategy builds on five key elements:

1. Increasing Political Accountability

2. Strengthening Civil Society Participation3. Creating a Competitive Private Sector

4. Institutional Restraints on Power

5. Improving Public Sector Management

Therefore, it is time for us to half and prevents corruption. Anti-corruption Commissionhas already been formed to prevent corruption.

Fundamental Plans of actions are to be taken by ACC:The main objective of ACC is to run noncom promising operations to resist, eradicate andcure corruption.The ACC is stepping forward with the following responsibilities and rules of its business inorder

to achieve the above mentioned objectives.

To put firm and relentless efforts in performing functions related to corruptioncases, inquiry and

investigations and other legal process so that corrupt people do not get any kind ofshelter.

To identify corruption prone fields and then to run educational and awarenessbuilding programmes , side by side running the actions of effective inquiry andlegal remedies of corruption in these fields.

The existing indecent practices of bribes in theoffices will be abolished and thereshall not be any illegal scope/chance of getting relief from the hands of lawcommitting offences or malpractices

The commission believes that it will be possible to curb disastrous corruptionthrough these remedial and preventive measures conducted in an effective andcoordinated

manner.

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The Commission is giving equal importance to the three matters vis prevention,eradication and

remedies of corruption.

The commission recognizes that it is impossible to prevent corruption withouteradicating it as its true in the other way round and all the matters are interrelatedand complement to each other.

Besides, it is necessary to upgrade the morality and human values of the people. Mediacan also take a strong stand against corruption. We have to use trade licensees. Inaddition, good governance, increase of job facilities and strict enforcement of legal rulescan ensure prevention of corruption.

CONCLUDING REMARKS

Corruption is a complex multi-faceted social phenomenon with innumerable manifestations. It takes place as an

outcome of deficiencies in the existing public administration apparatuses and systems as well as cultural,

economic, political and social factors. Differences of opinion still exist as to the meaning of the term corruption.This is primarily because individuals look at corruption from their own vantage points influenced by

surrounding environment. But what is heartening is that in recent years corruption is viewed from a much

broader perspective rather than looking at it from moral and functional angles only. The causes of corruption inbusiness are as varied as the phenomenon itself. Corruption in business results from the presence of anumber of factors. There are many forms of corruption in business. To understand the dynamics of so manytypes of corruption attempts have been made to classify different forms of corruption into broad categories.

What transpires from such a categorization is that outsiders can sponsor corruption resultant of political scandal,

institutionalized and administrative malfeasance. The government needs a well-coordinated, well-understoodoverall strategy that limits opportunities for abuse of public office, increases the likelihood that individuals will

be able to profit from corrupt acts, whether they are giving and receiving bribes. Moreover, the civil societies of

the country should come forward to establish the right of the people and to ensure the rule of law in business inBangladesh. The professionals, the intellectuals through meetings and sittings, attending and participating the

seminars and symposium and writing and contributing to the media can raise a general awareness to build up a

corruption-free Business in future.

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REFERENCE

COMBATING CORRUPTION IN BANGLADESH: SOME STRATEGIESMd. Awal Hossain Mollah

Lecturer, Dept. of Public Administration,

University of Rajshahi. , Bangladesh

E-mail: [email protected]

&Md. Nizam Uddin

M.phil Fellow

Dept. of Public Administration,

University of Rajshahi, Bangladesh.

E-mail: [email protected] in Bangladesh: An Analytical and Sociological Study

Prepared forTransparency International - Bangladesh Chapter By: Almas Zakiuddin

Research Associate: Wahidul HaqueTRANSPARENCY INTERNATIONAL BANGLADESHCorruption in Bangladesh: A Household Survey

Released on 20th April, 2005 World Bank (2008), Corruption in Bangladesh: Cost and curses.Transparency International commissioned Prof. DrJ. Graf the University of Passau to produce the Lambsdorff of CPI table. For information on dataand methodology, please consult the requently asked questions and the CPI methodology:www.transparency.org/surveys/#cpi orwww.icgg.or

Transparency International 2008 Corruption Perceptions IndexNational Household Survey 2008 on Corruption in Bangladesh:www.ti-bangladesh.orgReport of the Public Administration Reform Commission (2008) Establishment ofEffective Organization to curb corruption at all level's of Public Administration"

public Administration for 21st Century. Volume-2.

Report.Public Administration Reform Commission (2008) Combating corruptionPublic Administration for 21st Century. Volume-1

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mailto:[email protected]://www.icgg.or/http://www.ti-bangladesh.org/mailto:[email protected]://www.icgg.or/http://www.ti-bangladesh.org/


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Anti Corruption Commission: ANNUAL REPORT 2007-2008

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