kpk presentation 3rd integrity summit manila

7/27/2019 KPK Presentation 3rd Integrity Summit MANILA

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Indonesia Experience:

Country Efforts Towards Anti-corruption,Good Governance and Transparency

Roni Dwi Susanto

Director of Research andDevelopmetManila, 19 Sept 2013

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IV. Types of Corruption Gratification

III. Role of Private Sector

I. Profile of Republic of Indonesia

II. Duties of KPK

V. Conclusion


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INDONESIA Highlights

Some features: Total Population + 243,7 Million 17,508 islands, 6000 inhabited More 300 ethnics & 724 local

languages Per Capita GDP:US$ 3,374 (12)

1,919,440 km2 (16th

) 33 provinces, + 500 districts(Executive & Legislative DirectElection )

CPI : 32 (2012/118-176); 2.8 ('09);2.6 ('08); 2.3 ('07)

BALI

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http://images.google.com/imgres?imgurl=http://travel.nationalgeographic.com/places/images/photos/photo_lg_indonesia.jpg&imgrefurl=http://travel.nationalgeographic.com/places/photos/photo_indonesia_indonesia.html&usg=__j6OsaFF2j574d64uz5X5Wy_Fpkk=&h=401&w=599&sz=73&hl=zh-TW&start=5&tbnid=CF1LTlXbdd5iFM:&tbnh=90&tbnw=135&prev=/images?q=indonesia&gbv=2&hl=zh-TW&sa=G


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www.kpk.go.id Mewujudkan Indonesia yang Bebas dari Korupsi

Indonesias Corruption Perception Indexin 2012 is 32, or in the rank of 118 out of

176 countries surveyed

Indonesias CPI is under Singapore (score 87-rank 5),

Brunei Darussalam (score 55-rank 46), Malaysia (score 49-rank 54), Thailand (score 37-

rank 88), and Philippine(score 34-rank 105)

Indonesia has manyhomework to do !

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INDONESIAN PORTRAIT: CORRUPTION PERCEPTION INDEX (CPI)
http://www.kpk.go.id/http://www.kpk.go.id/


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Development of Public Sector Integrity Index from 2007 2012Integrity Survey by KPK

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II. Duties of KPK

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isA series of activities with the purpose of

preventing and eradicating criminal acts ofcorruption through coordinated efforts,supervision, monitoring, investigations,

indictments, prosecutions, and checks atcourt, all to be done with as much

participation on the part of the general publicas the Laws allows.

(Article. 1 (3) of Law No. 30/2002)

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72 Member of Parliaments 7 Ministers/Head of Ministerial Level

9 Province Governors 33 Mayors and Head of Regents/District 7 Commissioners of General Election; Judicial; Anti-Monopoly Commissions 4 Ambassadors (incl. former Chief National Police) and 4 General Counsels 1 Governor of Central Bank & 4 Deputies Governor

6 Judges, 2 Prosecutors and Defense Counsels, incl. KPKs investigator Dozens of High rank Govt. Official echelon I & II (Director General, Secretary

general, Deputy, Director, etc) Dozens High rank CEO of state owned companies and private sectors involved in

public corruption* Mostly using investigative techniques

Corruption cases handled by KPK(as of June 2013)

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Coordination(Article 7)

Duties of K P K

(Article 6)

Supervision(Article 8)

Pre-investigation,Investigation &Prosecution(Article 11)

Prevention(Article 13)

Monitoring(Article 14)

Law No. 30 YEAR 2002Duties of KPK

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KPKs Duties (Article 6)

Law No. 30 of 2002

KPK is authorized to conduct the following preventionactivities:

Record and examine the Wealth Reports of governmentExecutives

Receive reports and decide on the status of gratifications Conduct anti-corruption education programs at all levels of

education Design and support anti-corruption socialization programs Conduct anti-corruption campaigns to inform the public Conduct bilateral and multilateral cooperation with the purpose

of eradicating corruption

Prevention (Article 13)


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KPK is authorized to conduct supervisionresearch, and/or, analysis of institutionstasked with and authorized to eradicate

corruption, as well as public serviceinstitutions KPK is authorized to take over an

indictment or a prosecution processagainst a corruptor, that is at that timebeing performed by the Police or theAttorney Generals Office.

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Report about corrupt act from the public has beenignored

The processing of the corruption case goes on for toolong/delayed without valid reason

The handling of the corruption cases has beenmanipulated

The handling of the corruption cases is itself mired bycorrupt acts

The corruption case has been hampered by executive,legislative, or judicial interference

Other condition where the Police or the Prosecutorsoffice is unable to carry out the case.

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Duty of Monitoring

The KPK is authorized to conduct the following duties :

Analyze administrative managementsystems

At all government agenciesand state institutions

Provide suggestions for change if,based on the KPK's analysis, therelevant administrative managementsystem is corruptive

To all leaders of governmentagencies and stateinstitutions

Report if the KPK's suggestions for change are ignored

To :President, DPR, & BPK

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After surprise inspection, the KPK togetherwith the inspected institution:

Identify prone corruption areas

Set up action plan to improve the quality of publicservice

Implement action plan selectively Periodically evaluate the implementation (semi-

annually)

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III. Roles of Private Sector

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GOVERNMENT PRIVATE

SECTOR

PUBLIC+

CIVIL SOCIETYORGANISATIONS

Strong Commitmentto Fight Corruption

Oversight

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Anti-Corruption collaboration with privatesector incl. state-owned company byestablishment of Bussines-Link in order todevelop their compliance on code of ethicand conductStrengthening Good Corporate Governance(GCG), incl. periodic GCG survey in theprivate sectorPromoting E-Procurement in the privatesector, especially in the state-ownedcompanyAdvocating anti corruption law in the privatesector as priority compliance of the nationallegal framework to UNCAC.

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1. Watchdog and oversight2. Promoting community engagement and participation3. Strong commitment to not bribe the Public Officials

Tone from the top!4. Establishing Code of Ethics (related to Facilitation

Payment)5. Allocating the CSR to promote good governance and

integrity values

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InformationTechnoilogy

Policy-makingHuman

ResourcesDevelopment

E-Proc

HRDe-Learning

CommunicationSystems

Whistle-blower

Protection

CorporateSocialResponsibility

Code of Ethics

Training atpoint of

entryJob Tendering

System

Self Assessment System

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More than 30% of the government budget isleaking in procurementMore than 50% of cases handled by KPK are

related to procurement

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Law No. 20/2001:

Article 5:(1) Any person(s) who:a. Gives or promises something to a civil servant or state

apparatus with the aim of persuading him/her toperform an action or not to perform an action becauseof his/her position in violation of his/her obligation; or

b. Gives something to a civil servant or state apparatusbecause of or in relation to something in violation of his/her obligation whether or not it is done because of his/her position

shall be sentenced to a minimum of 1 (one) yearsimprisonment ..

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Law No. 20/2001: Article 12B:

1) Any gratification for a civil servant or state apparatusshall be considered as a bribe when it has something todo with his/her position and is against his/ her obligation

or task, with the provision that:a. when the gratification amounts to IDR 10,000,000 (tenmillion rupiahs) or more, it is the recipient of thegratification who shall prove that the gratification is nota bribe;

b. when the gratification amounts to less thanIDR10,000,000 (ten million rupiahs), it is the publicprosecutor who shall prove that the gratification is abribe.

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Law No. 20/2001: Article 12B:

Article 12B:

2) A civil servant or state apparatus who is found guiltyof the criminal offense as referred to in paragraph (1)shall be sentenced to life imprisonment or a minimumof 4 (four) year's imprisonment and a maximum of 20(twenty) year's imprisonment and be fined a minimumof IDR 200,000,000 (two hundred million rupiahs) anda maximum of IDR 1,000,000,000 (one billionrupiahs).


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Law No. 20/2001:

Article 12C:

1) The provisions as referred to in Article 12B paragraph (1)shall not be valid if the recipient report the gratification tothe Commission for Corruption Eradication.

2) The recipient of gratification shall convey the report asreferred to in paragraph (1) no later than 30 working days

after the gratification has been received.3) The Commission for Corruption Eradication within a periodof 30 (thirty) working days at the latest after the receiptdate of the report shall decide whether the gratificationbelongs to the recipient or the state.


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Businessman

Officer

Businessman

Businessman

Bribery

Extortion

Gratification

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Payments made to a public or government official that acts as incentivefor the official to complete some action or process expeditiously, to thebenefit of the party making the payment (Investopedia)

A payment to be a facilitating one if it is paid to government employeesto speed up an administrative process where the outcome is already pre-determined (OECD)

A payment to a foreign official, political party or party official for "routinegovernmental action," in order to expedite performance of duties of

non-discretionary nature, i.e., which they are already bound to perform.The payment is not intended to influence the outcome of the official'saction, only its timing (FCPA)

It can be constituted as a bribe for public officials

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PRIVATE SECTORS

3333

GOVERNMENTOFFICIALS

No specific regulationon facilitation

payments

Prohibited to receiveundue advantage

related to their duties

Facilitation Payments Bribery & Gratuitiesvs


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1. Establishing a National Integrity System (SIN) to achieveNational Anti-Corruption Strategy

2. Increasing the compliance to the anti-graft law by rejectinggifts or gratification related to public officials duties

3. Establishing code of ethics to prevent Conflict of Interest4. Creating fairness dan transparency in the business sector 5. Promoting good governance and transparency6. Creating meritocratic system for civil service (monetized and

adequate pay)

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SistemKorupsi BisaDikendalikan

ApakahKORUPSI

bisadihilangkan?

CONCEPT OF SIN (National Integrity System)

Q uickT imeand adeco mpr es sor ar e need edto see thisp icture .

National conditionwith high integrity

Nationalgoals

achieved

Outcome

Value

ImpactInput Proses Output

Individual

Integrity

IndividualIntegrity

Organization Integrity

OrganizationIntegrity

PillarIntegrity

NationalIntegrity

PillarIntegrity

Coordination &Supervision

KPKSynergyOrganizationin Pillars

BuildOrganizationalIntegrity

Internalization /Tunas

Integritas

SynergyBetweenPillars

Control- Strategic

- Corruption-Operational

Allignment

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Existence of Public Policy Instruments and Measures

Feasibility

Effectiveness1. Leadership


Feasibility

Effectiveness

2. Values, Vision and

Integrity Policy Objectives Existence of Public Policy Instruments and Measures

Feasibility

Effectiveness

3. Integrity Guideline,Policy and Rule


Feasibility

Effectiveness4. Organization Structureand Function


Feasibility

Effectiveness5.Risk Management

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Feasibility

Effectiveness6.Monitoring


Feasibility

Effectiveness

7. Infrastructure and

Resource Support Existence of Public Policy Instruments and Measures

Feasibility

Effectiveness8. Communication


Feasibility

Effectiveness9. Enforcement


Feasibility

Effectiveness

10. OrganizationalEnvironment Support

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1. Theme: Strengthening Integrity through Public-Private Partnership:Preventing Facilitation Payments and Managing Gratuities . Held on 24 June2013 in Medan, Indonesia (SOM 3 APEC)

2. Difficult to detect and prove violation (lack of evidence)3. Permissiveness (tolerance) toward gratuities, bribery, corruption and other

illegal actions

4. Reluctant to make voluntary report (identity disclosure,process/administration of reporting)5. Different threshold for gifts/benefits (gifts exemption/limit)6. No specific and binding rules (policies, guidelines): Legal? Illegal?7. Every country has its own cultural value and norms gift-giving culture,

grease payment, tea money8. Good governance, transparency and accountability government (relevant

authorities) should make periodic review policies9. Government to encourage corporations to prohibit illegal payments through

the implementation of internal controls, ethics and compliance program Public-Private Partnership

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The high expectations of the publicinconsistency in supporting of the anti-corruptionmovement they are still willing to take part incorrupt mechanisms so long as they benefit from

them;Corruption fights back;Certain rules and regulations are still in conflict withanti-corruption efforts.

Lack of regulation/law on anti-corruption in theprivate sector Political commitments from Legislative andExecutive are unstable

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Corruption eradication is a major national task that needs theparticipation of all components of Indonesian society.

The KPK organization is the result of studies on the success of other nations in their fight against corruption, where the main theme is thatthe effort must be composed of preventive and repressive activities

conducted concurrently.The KPK is a Trigger Mechanism for the nation in precipitating new,positive changes.

Generally speaking, the KPK is more a motive spirit in the effortagainst corruption, that coordinates and supervizes government,private, and community organizations, by optimizing its roles incorruption eradication in Indonesia, as well as by encouraging stateinstitutions to improve their internal controls.

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Public-Private Partnership to create a clean governmentand business climateCommitment from the Private Sector to not offer or giveany Facilitation Payment to public officials

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www.kpk.go.id Mewujudkan Indonesia yang Bebas dari Korupsi

Website KPK - http://www.kpk.go.id

Radio Streaming - http://www.kpk.go.id/streaming

ACCH KPK - http://acch.kpk.go.id/home E-modul Gratifikasi - www.kpk.go.id/gratifikasi

Film KvK - http://www.indonesiabersih.org/video/

Film Profile KPK -http://www.youtube.com/watch?v=DSxFHMVjYsA&feature=youtu.be

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http://www.kpk.go.id/http://www.kpk.go.id/http://www.kpk.go.id/streaminghttp://acch.kpk.go.id/homehttp://acch.kpk.go.id/homehttp://www.kpk.go.id/streaminghttp://www.kpk.go.id/streaminghttp://www.kpk.go.id/http://www.kpk.go.id/http://www.kpk.go.id/


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