This document discusses corruption in Asia. It begins by looking at Transparency International's Corruption Perceptions Index, which ranks several Asian countries like Japan, Taiwan, and Malaysia as relatively clean, while others like Indonesia, Bangladesh, and Vietnam are seen as highly corrupt. It then profiles some of the most corrupt former leaders in the world, like Suharto of Indonesia who embezzled an estimated $15-35 billion, and Ferdinand Marcos of the Philippines who stole $5-10 billion. The document advocates for stronger anti-corruption laws and ethics codes to curb graft, and emphasizes that corruption disproportionately harms the poor.

1. Asian Corruption
Do we accept it as a cultural thing?

2. My Profile
MUHAMAD YOGI,S.Pd,M.Si
- Lecture of Civic Education Islamic
Unversity of Nusantara
- Teacher in Bandung 8 State High School
- Teacher in Bandung 15 Sate High School

3. Corruption
Corruption is akin to cancer growing in a
human being. It is very hard to stop.
Treatment must be severe.

4. TI Corruption Perceptions
Index
Asian Countries
~10 Highly Clean ~0 Highly Corrupt
Japan 7.1
Taiwan 5.6
Malaysia 4.9
South Korea 4.5
Sri Lanka 3.7
China 3.5

5. TI Corruption Perceptions
Index
Asian Countries (cont)
~10 Highly Clean ~0 Highly Corrupt
Thailand 3.2
India 2.7
Pakistan 2.6
Philippines 2.6
Vietnam 2.4
Indonesia 1.9
Bangaladesh 1.2

6. Corruption is Contagious
“Is it all that surprising that when they saw
the boss hog sticking his snout in the
trough that they put their snouts in
alongside him”
Paul Coghlan QC in Crown v Quinn,
April 1997

7. TI Most Corrupt Leaders in
the World
US$
1 Mohamed Soeharto (Indonesia) 15 - 35 Billion
2 Ferdinand Marcos (Philippines) 5 - 10 Billion
3 Mobutu Sese Seko (Zaire) 5 Billion
4 Sani Abacha (Nigeria) 2 - 5 Billion
5 Slobadan Milosevic (Serbia-Yugo) 1 Billion
6 Jean Claude Duvalier (Haiti) up to 800 M

8. TI Most Corrupt Leaders in
the World (cont)
US$
7 Alberto Fujimori (Peru) up to 600 M
8 Pavlo Lazerenko (Ukraine) 114 - 200 M
9 Arnaldo Aleman (Nicaragua) 100 M
10 Joseph Estrada (Philippines) up to 80 M

9. Common Elements in
Countries of the Corrupt
Leaders
~Majority of people are poor
~Rich in mineral resources such as oil and
gas, gold and diamonds, iron ore, copper,
nickel, tin, bauxite, manganese and
natural resources such as timber, coconut
and coffee
~Leaders have friends in high places

10. Peter Elgen - Group
Chairman
Transparency
International“It was essential that corrupt governments
do not steal from their own people. This is
now an urgent priority if lives are to be
saved”

11. Soeharto
~Corrupt Years - 1967 - 1988
~1959 - Implicated in corruption - Promoted to
Brigadier General
~1970s - Corruption within national oil producer
- Estimate US$10 Billion
~1980s - Soeharto’s six children launch business
ventures with state money
~1997 - Burmese road construction by daughter
“Tutut”

12. ~1997 - Cars exported to Burma by companies
owned by sons
Soeharto (cont)
~1997 - World Bank report 20-30% Indonesian
development budget embezzled by Soeharto
Family
~1997 - Soeharto complains of levels of corruption in Burma affecting his
investments!!
~1999 - Time Asian Report - Soeharto family
worth around US$15 Billion (cash, shares,
real estate, jewelry, fine art)

13. Soeharto (cont)
~2002 - Soeharto’s son Tommy Jailed for
murder of a judge conducts business from a
luxury apartment within the jail
~2000 Soeharto - Investigation for corruption
under his Presidency - US$571 million of
Government donations utilised to finance
family investments

14. Soeharto (cont)
TI Estimates Soeharto Embezzlement
between $15 - 35 Billion
Friends in High Places

15. “Big Soeharto”
Corruption
ARMY LITTLE
SOEHARTO’S
PARTY
LEADERS

16. Marcos
~Corrupt Years: 1965 - 1986
~Estimated amount stolen: US$5 - 35
Billion
~Government loans to favoured private
individuals
~Takeover of private enterprises with little
compensation

17. Marcos
(cont)
~Trips and shoes for Imelda paid by
Government
~Kickbacks and commissions from overseas
organisations
~Issuing of Presidential decrees to favour
individuals: Benedicto & Cojuangco

18. Marcos
(cont)
~Use of shell and dummy companies to
invest in real estate in New York,
California and Hawaii
~Skimming of foreign aid to Swiss bank
accounts
~Deposits made with pseudonyms, numbered
accounts and codes in overseas accounts

19. Eduardo “Danzing”
Cojuanco
~Cojuango was one of Marcos cronies who
was airlifted to Hawaii along with the
dictator
~Beneficiary of Coconut Levy Marcos -
harsh on small coconut growers
~Bankrolled Joseph Estrada to victory in
1988

20. Eduardo “Danzing”
Cojuanco
(cont)
~Still being pursued for corruption by
Philippine Commission on Good
Government
~Majority owner of San Miguel breweries
~Property in Mudgee - Private aircraft
hanger at Mudgee Airport
~Horses trained by Waterhouse & Freedman
- very much a “Darling of the Racing
Fraternity”

21. Eduardo “Danzing”
Cojuanco
(cont)
~Took over National Foods (Pura Milk,
Yoplait, Big M, Farmers Union, King
Island Cheeses)
~Also owns Berri Juices and Tasmanian
brewer - James Boag
~Silence from Canberra or watchdogs

22. Tsunami Aid
~8 months after the Boxing Day Tsunami
according to Oxfam poorest victims who
were the worst affected have benefited the
least.
~In Sri Lanka Oxfam has evidence that aid
has been directed to landowners and
businesses rather than to the poorest and
marginalised.

23. Tsunami Aid (cont)
~In Aceh there is little evidence of
permanent accommodation

24. We must accept it because it
is “the cultural thing” is
ancient history
“Gifts are the great pseudonym for bribes”.
It is the cultural thing to accept and give
gifts (gold Rolex watches).
It will be like insulting the person if you
don’t accept gifts (expensive) dinners
(lavish) and accommodation (5 star).
“That is a load of codswallop”

25. Singapore Example
~After Lee Kuan Yew
~Used its power to tighten laws relating to
corruption
~Added muscle to official agencies
~Campaign vigorously to maintain ethical
standards
~Apply the rules to all - in the public and private
sectors as well as politicians
~Clean administration

26. First Let’s Put Our Own
House in Order
~After Bond & Skase in the eighties they
said it wont happen again. We have the
mechanisms.
~After Ansett, One Tel and HIH in the new
millennium they said it wont happen
again. We have stronger mechanisms.
~In 2005 it did happen. Part-time comedian
and lawyer showed that mechanisms were
weak.

27. What can we do about
Asian Corruption?
~Do you have a Code of Business Ethics?
~Have you looked at the ICAC guide
“Developing a statement of business ethics?”
~If you have such a Code, what type of
awareness program is in place?

28. What can we do about
Asian Corruption? (cont)
~How do you transmit the message to your
private sector goods and services providers
that we don’t accept gifts, benefits,
hospitality, meals, travel and
accommodation

29. Peter Elgen - Group
Chairman
Transparency
International“Corruption hits hardest the poor and the
vulnerable. Corruption makes it impossible
for millions of people, especially in
developing countries, to earn an honest
living”