₱Graftand

Corruption

Honesty is very much a part and parcel of the Filipino culture. This trait was one

of the endearing qualities of our ancestors. In fact, the Code of Kalantiao, one of four earliest legal compendiums, considered it important so much so that whoever was found to be dishonest in

dealing with others was meted out with appropriate punishment. That is why even trades with foreigners like the

Chinese then went on smoothly because the early Filipinos never cheated them.

Such trait has been passed on to us from one generation to another. (Garcia, 1994)

At our contemporary times, however, honesty seems to be a rarity among us

Filipinos. Probably because of the pervasive effects of materialism and the worsening socio-economic conditions, we

only put premium on honesty theoretically. Our excessive desire to own

more wealth and money is so overwhelming that such virtue of

honesty seems to be a thing of the past already.

Corruption, as most scholars have found, is more rampant or

uncontrolled in newly independent states. It

is marked and prevalent during the period of rapid social and economic growth. Thus, this condition is

attributed to the discrepancy between

the cultural norms and the legal norms.

According to the Sage’s English

Dictionary, a software dictionary, it says

that corruption is the inducement (as of public official) by

improper means (as bribery) to violate

duty (as by committing a felony).

On the other hand, graft is a form of

corruption but is an individual act. It is the illegal appropriation

of public resources by a single official or a group of officials. It

does not involve transactions among officials or between officials with clients.

Forms of Graft and Corruption

Dereliction of duty or failure to discharge one’s official function legitimately;Bribery or utilizing one’s public or official position as a means in performing an unlawful act in exchange of any offer, promise, gift, and money consideration;

Forms of Graft and CorruptionMalversation of public funds or property in which he appropriates, takes or misappropriates public funds and/or allows another person to do the same; andCommitting frauds against the public treasury and be involved in illegal evictions and transactions.

The Philippines was considered private property of the King of

Spain when the Spanish government was established in the

whole archipelago due to the reason that the expedition of Magellan and the subsequent

expeditions were put into reality thru the finances that was given by

the private funds of the Spanish monarchs. The used of the term property included in its definition the colonial offices, privileges and gainful positions in the colonies.

According to Corpuz, as cited by Salcedo, 2002, “Many offices of the government were therefore sold and auctions were

lively affairs. Some of the saleable offices were those of clerks in the central and provincial government; clerks of courts,

notaries-public, constable, sheriffs, wardens, and guards; members of

municipal councils; treasurers, assayers, and inspectors of all categories.” Even positions which were not saleable were bought. It was inevitable that officers of

this caliber were there to make the most of their positions. The excesses and abuses of these government personnel regarding the finances of the king and the Filipino people

were notorious and scandalous.

Thus, to check and control the abuse of selling government

offices, the residencia, to be conducted by a

judge (juez), was created to investigate and assess all actions taken by the official while he is in office. But then, it was not

effective since resourceful and clever

officials where they bribe and buy the juez

de residencia.

The government then allocated certain sums for the improvement of the colonies but such funds were deployed elsewhere

leaving very little for the public works projects, communication, sanitations, and

others. More than one half of the budget was spent for the salaries of the officials

leaving very much less for the conduct of government and practically no item for

public education.

The Filipinos then view the government as guardia civil. With this view the Filipinos

had of the government, the people looked elsewhere for the means within which their

welfare and security were to be safeguarded. And the institution which was

most available was the family. The government is a public institution while the

family is a private one.

When Governor General F.B. Harrison started Filipinization of the colonial civil service, it was observed that in many

departments of the government, many employees were related to one another. It was also found out that there were cases when two bureau directors would appoint each other’s relatives in their respective

offices. This is designed to counteract any charge of nepotism, an illegal act that is

based on the exchange of favors or sentiments. An officer is corrupt if he deals

with the hiring, promotion or service allocation with clients of other officials on

the basis of ascriptive or particularistic consideration of kinship, friendship or

regional ties rather than merit.

After liberation, military stocks and supplies were turned over to the Philippine Government by the

United States. Many of these supplies were found in the black market. The disposition of these

supplies became scandalous and precipitated the so called “surplus scandals.” The money obtained

was used to strengthen political party build-ups and many became instant millionaires. The

massive corruption that followed resulted in a situation that was unknown in pre-war years.

As the moral values of the people deteriorated, more corruption continued even starting from the top to the bottom.

Influence peddling, kickbacks, overpricing, rigged biddings, padded projects expenses,

expense accounts and payrolls, use of public funds for vote-buying and personal expenses, profligate spending, nepotism, cronyism, tampering of public documents and election returns, paid prosecutor and

judicial decisions, smuggling, test leakages, sale of juicy positions, bribery, rigging of board examinations, even surreptitious insertion of questionable clauses and

provisions in bills awaiting presidential approval characterized the conduct of

government.

Corruption is massive and has gone beyond the realm of family and personalistic considerations. It happens in the lower level, middle and higher level. In the

years before the administration of President Corazon Aquino, there was little public denunciation

and popular indignation. At most, these were only politically motivated

denunciations during the electoral campaign which

died down afterwards.

The ₱ 520 million DAR loans on December 3, 1992.Senator Kit Tatad discovered that BIR officials helped cigarette manufacturers to reduce their tax payments. The government loss because of this amounted to ₱3.1 billion in annual revenues.The Laharscam – 58 former incumbent government officials reportedly colluded with 40 private contractors to steal ₱5 billion in rehabilitation funds.Oil pilferage of the National Power Corporation amounting to almost ₱9 million involving officials of the agency.Joseph Estrada, chairman of the Presidential Anti-Crime Committee, exposed on the floor of the Senate the different complaints against “hoodlums in robes” meaning members of the judiciary.Rampant corruption from the top echelon to the lowest ranks of the police and the military.

2008200920102011

The Ill-Effects of Corruption

Graft and corruption decreases respect for allegiance to the government. It counteracts growth of nationalism. It distracts unity in government leadership and endangers political stability.Corruption dislocates national economic planning. It introduces an element of irrationality in plan fulfillment by influencing negatively the actual course of a national development plan.Corruption accentuates already existing inequalities by providing more power and opportunities to those who are already powerful.

The Ill-Effects of CorruptionCorruption causes wasteful dissipation of limited resources by increasing the cost of development because funds are channeled outside the government to private pockets.The cost of corruption is eventually passed on to the public and becomes a form of taxation. Whatever amount is illegally channeled to private use, the people shoulder the cost because public funds are the people’s money.

The Positive Effects of CorruptionCorruption provides supplement mechanism for investment purposes. Corruption money may be invested in private enterprises if not kept in Swiss banks for personal purposes.Corruption may increase the effectiveness level of the bureaucracy. Corruption money could be another form of inducement for able persons to enter government services.Corruption may benefit the depressed sector in the form of gainful employment as in nepotism.

The General Causes of CorruptionCorruption occurs more in developing societies because of the marked discrepancy between the cultural norms.The inability of the new independent states to cope with the multiple demands and problems in moving towards modernizations.The unrealistic salaries of government officials may lead them to accept sources of income.

The General Causes of CorruptionThe excessive discretionary power extended to public officials, the cumbersome red tape in the bureaucracy usually results in corruption due to high attractive inducements offered under the situation.The bad example set by leadership.The complex system of justice which hinders the prosecution of public servants who have been accused of corruptive behavior.There are certain segments of the population that are prone to corruption.

Prohibited Acts and Transactions

As stated in the Code of Conducts and Ethical Standards, under section 7, the following shall constitute prohibited acts and transactions:

Financial and material Interest.Outside employment and other activities related thereto.Disclosure and/or misuse of confidential information.Solicitation or acceptance of gifts.

Preventive Measures

Article II State Policies Sec 27 of the 1986 constitution: The

senate shall maintain honesty and integrity in the public service

and take positive and effective measures against graft and

corruption.

Preventive Measures

The office of the Ombudsman is the

official authorized to receive and act on complaints against

government officials who misbehaved.

Preventive Measures

The anti-graft court is known as the

Sandiganbayan and Tanodbayan is also

known as the Special Prosecutor.

Preventive Measures

The Congress of the Philippines has a

“blue ribbon commission” with the

responsibility of investigating anomalies in

government in aid of legislation.