UNODC Southeast Asia Anti-Corruption Newsletter (October - December 2020)
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Supporting Financial Investigations into Corruption
(12 - 14 October, Cambodia)
In Cambodia, the State has pledged in recent years to target corruption and related issues such as illegal logging, perceived complicity of officials and illegal gambling. One key challenge is that the proceeds of such crimes are frequently concealed using sophisticated financial methods, both within and beyond national borders. UNODC research finds evidence of criminal groups across the region recruiting specialised financial managers to hide the proceeds of corruption, particularly using nearby financial centres.
Building on previous in-country interrogation and surveillance trainings, UNODC held a training on financial investigations over 12-14 October 2020. A summary of the key messages highlighted in the training is available here.
Advancing the Criminal Justice Response to Corruption
(16 November 2020, Viet Nam)
The existing legal system of Viet Nam has been recently upgraded with a revision of the penal code and new anti-corruption law. However, guidelines for criminal justice officers that apply new provisions of the Penal Code on corruption and position-related offences are urgently needed to improve the effectiveness of national anti-corruption policies.
To help address this, UNODC held a consultation workshop on the Judges’ Council Resolution guiding the application of the Penal Code’s provisions on corruption and position-related offences (JCR), co-organized by the Supreme People’s Court of Viet Nam (SPC) on 16 November 2020 in Hanoi. More on the results of this consultation is summarized here.
Digitalization Against Corruption: Webinar on the Role of Data Analytics in Preventing Corruption & Fraud in Southeast Asia
(25 November 2020, Viewable Online)
Currently most Southeast Asian countries lag behind in the application of data analytics technology to the fight against corruption. Public agencies report limitations in available datasets, legal frameworks, inter-agency data sharing, and internal capacities/technological infrastructure.
To promote the ethical use of data analytics to counter fraud and corruption in Southeast Asia, UNODC held a webinar on Digitalization Against Corruption on 25 November 2020, to increase awareness about policy and operational next steps that Member States can take in order to enhance transparency through the use of data analytics. A written summary and publicly-available recording of the webinar can be accessed here.
Identifying Corruption Through Financial Investigations
(18 - 20 November 2020, Indonesia)
In Indonesia, UNODC has been working closely with the Corruption Eradication Commission (KPK), through a series of trainings on key aspects of the implementation of the United Nations Convention Against Corruption (UNCAC).
To build capacities on the more challenging, technical elements of investigations, UNODC held a bespoke online training on financial investigations in corruption investigations, from 18 – 20 November 2020. The core messages of the training are summarized here.
New Case Management System for Anti-Corruption Commission
(20 November 2020, Myanmar)
With the technical assistance of United Nations Office on Drugs (UNODC), Myanmar’s Anti-Corruption Commission (ACC) is now moving from a paper-based case handling system to the goCASE integrated case management system. In 2018 and 2019, the ACC received more than 10,000 complaints - five times more than in 2017.
On 20 November 2020, Mr. Benedikt Hofmann, UNODC Myanmar Country Manager, handed over IT equipment for the deployment of the case management system goCASE. The implementation of this system will streamline the case investigation processes and significantly increase the efficiency of investigations by the Commission. More information is available here.
Big Data on Corruption in Procurement
(23 - 27 November 2020, Indonesia)
To further integrate the use of big data to fight corruption in public procurement, UNODC held an online Training of Trainers (ToT) from 23 – 27 November 2020.
Training topics included critical issues in procurement, procurement red flags and corruption risks, data formats and analysis tools, describing data and computing indicators. A study report by Indonesia’s Corruption Eradication Commission (KPK) on corruption in public procurement was also discussed.
Webinar on Public Procurement Reform in Indonesia
(8 December 2020, Viewable Online)
Globally, public procurement is a major risk area for corruption. Accounting for an average of 15-30% of GDP in many countries, procurement is a highly lucrative form of government expenditure. According to UNODC’s Guidebook on Anti-Corruption in Public Procurement, an average of 10-25% of a contract’s value may be lost through corruption, amounting globally to hundreds of billions of dollars per year.
In Indonesia as much as $4 billion USD is lost per year because of corruption in public procurements alone. To mark International Anti-Corruption Day 2020, UNODC held a Webinar on Public Procurement Reform Agenda in Indonesia. A written summary and publicly-available recording of the webinar can be accessed here.
Since 2019, UNODC has been working with the Myanmar Anti-Corruption Commission (ACC) and Ministry of Education to organise Youth Integrity Camps (YICs) for more than 250 students from universities in Nay Pyi Taw and Mandalay regions. The camps focused on increasing awareness on anti-corruption issues among attendees and offering a platform for youth to discuss those concepts as they start their careers working in governments, NGOs, or companies. More information is available here.
Raising Awareness on the Nexus of Gender & Corruption
(16 December 2020, Myanmar)
Women are more affected by corruption than men, with women for example paying more bribes than men to obtain public services. These and other findings are at the heart of a Thematic Brief on Gender and Corruption in Myanmar, presented by UNODC today as part of a panel discussion around the topic. Based on a series of focus group discussions organized across Myanmar, the brief explores gender as a factor in how corruption is perceived and experienced. More information on the report is available here.
Preventing Corruption Risks in Procurement
(16 - 17 December 2020, Nha Trang City, Viet Nam)
Public procurement is a serious corruption risk, leading to losses of an average of 10-25% of a contract’s value. A recent UNODC study found that the spread of Covid-19 across Southeast Asia has only served to heighten such risks, due to an combination of limited transparency, rapidly increased public spending and relaxed integrity and compliance checks. In order to tackle these issues in Vietnam UNODC held a multi-agency training on Addressing Corruption Risks in Public Procurement. More about the training context and material can be found here.
In addition, on 18 December 2020, UNODC held a workshop in Viet Nam to shed light on the relationship between the Covid-19 crisis and corruption, focusing in particular on the health sector and on risk mitigation strategies to consider. The event builds on preliminary study that UNODC undertook in March 2020, available here.
Applying Non-Conviction Based Asset Forfeiture Measures
(21 December 2020, Viet Nam)
The Government of Viet Nam recognizes asset recovery as one of the most effective ways to deter corruption. However, the recovery of corruption-related assets is still very limited. Reports from national criminal justice agencies show that the difference between money stolen and assets returned remains large, due to the lack of non-conviction based (NCB) asset forfeiture laws, weak cooperation among authorities and slow recovery processes.
To improve the effectiveness of corruption-related asset recovery, the Ministry of Justice (MOJ) and UNODC produced a study to promote an understanding of international experiences of non-conviction based confiscation of assets. The research looks at legal and regulatory asset recovery frameworks in a number of countries (Australia, Germany, Thailand and the United States), analyzes potential obstacles at the legal and regulatory level (e.g. property rights, procedural matters) and provides a series of recommendations for Vietnamese lawmakers.
The workshop, held on 21 December 2020, brought together 55 senior officials (34 of whom are female) from the judiciary and executive branches. Recommendations shared during the meeting are currently under consideration by the Ministry of Justice.
Celebrating International Anti-Corruption Day
(28 December 2020, VIentiane, Lao PDR)
The State Inspection and Anti-Corruption Authority (SIAA) of the Lao PDR organized an event to mark International Anti-Corruption Day (IACD), with the participation of UNODC (more information available here).
At the event, Mr. Chris Batt, UNODC Regional Anti-Money Laundering and Counter-Financing of Terrorism Advisor, reflected on the dual challenges of Covid-19 and corruption. This year’s motto for IACD, Recover with Integrity, aims to drive home the fact that an inclusive recovery from the pandemic can only be achieved through the meaningful prevention of corruption.
Study on Data Analytics to Prevent Corruption & Fraud in Southeast Asia
(7 January 2021, Regionwide)
To build a picture of the utilization of data analytics in the prevention corruption across Southeast Asia, UNODC has developed a study based on government and civil society input from Cambodia, Indonesia, Lao PDR, Malaysia, Myanmar, the Philippines, Thailand and Viet Nam. Key findings include:
Fewer than half of the Anti-Corruption Agencies (ACAs) in the region reported exposure to data analytics.
A minority of ACAs and other government agencies in the survey reported having access to structured datasets on tax records, income declaration or financial allocations/budgets. The use of analytics was much more widely reported for unstructured datasets, of which social media information was the most commonly analyzed.
The highest proportion of government agencies reported using data analytics with respect to procurement and contracting, with the least digitalization taking place around licensing and payrolls.
The number one challenge identified by Anti-Corruption Agencies was the lack of cooperation among organizations that collect data. For other government agencies, the main obstacle reported was the absence of electronic, structured and compatible datasets. For NGOs, the foremost challenge was the unfamiliarity of staff with data analytics.
