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THE
Integrity Division of the Asian Development Bank (ADB)
expects to receive more complaints on fraudulent and
corrupt transactions this year following the tenfold
increase of complaints in 2007, according to the
division’s 2007 annual report.
The ADB
Integrity Division is part of the Office of the Auditor
General, an independent office under the Office of the
President that screens and investigates allegations of
fraud, corruption, coercive practice, collusive
practice, conflict of interest and abuse in ADB-financed
activities.
“[Our
office] expects the number and complexity of complaints
to increase, each of which requires careful, thorough
and discreet handling. Ideally, each investigator should
work with one investigative analyst. [We have] requested
for an additional support staff for 2008 and will
continue to engage staff consultants, as required, to
complement its work force and to ensure that
professional staff members with the appropriate skills
mix are recruited for vacant positions,” the division
said in the report.
The
report showed the office received 211 complaints in 2007
and 171 in 2006. After investigation, 61 firms and 48
individuals were barred in 2007.
The
report said that 12 percent of all allegations received
involved ADB staff. This is, the ADB noted, a 4-percent
decline from the total number of complaints in 2006.
“[The
office] closed 2007 with a tenfold increase in
complaints received compared with 1998. This indicates
that preventing corruption is making inroads among
stakeholders who see that ADB will act on allegations
received and that ADB is serious in its anticorruption
stance,” the ADB said in the report.
“Such
cases require sensitive handling, and the highest levels
of propriety, confidentiality and impartiality. These
cases also require significant resources and are often a
strain on. . .staff resources,” the ADB added.
In 2007,
36 percent of cases were categorized as fraud, 29
percent as corruption and 24 percent as others, while 11
percent involved a combination of fraud and corruption.
The
category of corruption includes cases of abuse of
position, conflict of interest, collusion, kickback,
theft/embezzlement, and bribery and extortion.
Collusion in the procurement process was the most common
form of corrupt acts, which represented 67 percent of
cases in 2007 and 46 percent in 2006.
“In an
effort to sustain the highest standards of integrity, in
the latter half of 2007, [The unit] commenced a review
of its internal procedures and processes, which will
continue into 2008. It is anticipated that in 2008, new
guidelines will be introduced as appropriate,” the
report stated.
The
division will also introduce new forms and office
procedures covering a range of its operations in 2008.
For instance, it is reviewing its IT systems
capabilities and related IT processes and sub-processes
to enhance efficiencies and intelligence data gathering
and reporting. |
