At a recent press freedom seminar in Jamaica, that country’s Finance Minister, Mr Audley Shaw sketched a startling picture of how serious the corruption problem in the country was.
He lamented that too many Jamaicans were paying lip service to a problem which materially affects the quality of each part of their lives every day. Billions of dollars in revenue, he said, was being lost and there was rampant tax evasion and avoidance. Mr Shaw pointed to a sharp decline in corporate tax compliance from 73% in 2002 to 34% in 2007. “How can I present a budget when I can’t collect taxes”, he asked, adding “let us accept it as a fact that we have seen a culture of corruption that is getting from bad to worse”.
Even in his ministry’s own investigative division money has been missing. Mr Shaw said that officers in his ministry are in fear of their lives as they feel if they carry out the letter of the law “they will end up in the morgue”.
He pointed out that where fear exists there will be reluctance to act and the “monster of corruption will get larger and larger”. Mr Shaw then defiantly declared that he had no apologies to make for asking the World Bank to conduct a diagnostic study of corruption in Jamaica.
Mr Shaw’s government has come into office after 18 years in opposition and cynics will be tempted to say that the anti-corruption drive is merely intended to pillory the former ruling party and to create a platform for exposing the ills of PNP governance. The real question is how serious a problem corruption is in Jamaica and if it is widespread what are the conditions that allow it to thrive. The findings of this World Bank study will be much anticipated by the entire region.
It has also been urged by the Jamaica Gleaner that the question of political party funding be put on the table as it is an area where “the door to improper influence remains wide open.” This is also of relevance to Guyana.
In 1992/93, the Welling report which had been commissioned prior to the PPP/C election win had cited massive corruption in the Customs department over a long period and shone a bright light on deep, systemic problems. This eventually led to epochal changes in the way Customs did business but it is unclear how significantly corruption has been lessened.
Fifteen years later, and after being entrenched as a result of four successive electoral wins, how serious a problem is corruption under PPP/C rule? There have been well-publicised cases over the years which have not been adequately explained by the government and which have raised stark questions about transparency and corrupt practices but there are few avenues through which this problem can be gauged.
Aside from the perceptions-based Transparency International rating which lists this country as having a severe corruption problem, the same belief among a section of the public and anecdotal evidence there is little else as the institutions which should operate as sentinels don’t exist or are dysfunctional. A prime example of this is the Integrity Commission, something that had been lobbied for by the PPP/C while in opposition and finally given life when it came to power. In a recent Sunday Stabroek report which raised eyebrows it was revealed that the Commission was not operating. When the reporter visited its office, only the office assistant was present. The body has no chairman and had been seen as largely ineffectual. Moreover, the reform recommended by the World Bank’s 2002 Country Financial Accountability Assessment (CFAA) and the subsequent 2005 Fiduciary Oversight Study has been stymied. Among the CFAA’s recommendations was “To strengthen the Integrity Commission’s operations relating to the disclosure of public officials’ assets.”
The main recommendation of the fiduciary study, also known as the ‘Bradford report,’ was that the commission be remodelled based on the Trinidad and Tobago Integrity Commission with four specific objectives – prevention, investigation, enforcement, and enlistment of public support. Nothing has happened since, a familiar trend in relation to important bodies like the Integrity Commission. How then can one vouch for the probity of the long list of public officials who come under its jurisdiction? How can one determine whether cases of conspicuous expenditure betray illicit activities?
Another major driver of corruption in all parts of society is the drug trade. Here, we all know the score. The flimsiest scaffolding for dismantling the trade exists but it is an invisible and non-existent war. Under increasing pressure from the US to crack down on the trade there have been more interdictions of mules and one recent, major success for CANU from interdiction to prosecution. Aside from this there is very little. Not a single major drug figure has been apprehended here, charged and successfully prosecuted in the last decade or so. The accidental discovery of a huge airstrip on the Corentyne last week is a sign of how deeply embedded the traffickers are and the breadth of their audacity.
An anti-money-laundering bill to enable the confiscation of the assets of drug dealers is still with a parliamentary committee and the law currently on the books has not seen a single charge much less a conviction. Furthermore, the Financial Intelligence Unit that has been set up has not been heard from nor has it been referred to in any major case, litigation or study.
The Guyana drug war in essence is a war by proxy in Washington, London, Ottawa, Port-of-Spain and elsewhere.
In terms of procurement very large contracts have been awarded over the years. The present board succeeded the discredited Central Tender Board but has been functioning for years without its oversight commission and an appeals tribunal. How can there be any public assurance in cases where questions have been raised about contract awards? Without the constitutionally prescribed safeguards the public can only ponder.
The government seems blissfully unconcerned about these huge gaps in accountability and the opposition seems unable to bring pressure to bear. But there must be a dialogue on corruption and the necessary action to strengthen the protections systems.
Interestingly, this weekend’s Mirror newspaper reported that the North Georgetown Group of the PPP addressed the subject of `Corruption in Guyana – Dimensions and Solution’. The topic suggests at least that there is recognition of a problem that needs to be cornered. The panellists comprised attorney at law Ms Mitra Devi Alli, Permanent Secretary, Ministry of Legal Affairs; Mr Joseph O’Lall, PPP Georgetown District Chairman and former Head of the Guyana Energy Agency; and Presidential Adviser on Governance, Ms Gail Teixeira.
Mr O’Lall, who had been admired for his work in cracking down on fuel smuggling but who has since been removed by President Jagdeo following the recent fuel supply fiasco at the Guyana Power and Light, had several interesting things to say.
He posed the question “Do we have the officials in government who have the muscle to go after the corrupt elements
