OCTOBER 29TH 2015

OSCAR MAURICIO GUERRA FORD

PUBLIC POLICY TO COMBAT CORRUPTION: THE CHALLENGES

FACED BY THE NATIONAL ANTI-CORRUPTION SYSTEM

OPEN GOVERNMENT PARTNERSHIP SUMMIT 2015

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The anticorruption constitutional reform, driven in a great deal by the civil

society, specialists form academic institutions and a few legislators, has

strengthened supervision and sanction instances. It has also instituted the

National Anticorruption System, which implies a new configuration of inter-

institutional efforts without precedent, that will replace fragmented policies and

actions, to prevent and combat this cancer of the public service in México.

PRESENTATION

The following presentation explains briefly the

challenges that the National Anticorruption System

will face to materialize the scope of the reform and

coordinate the institutional efforts in order to

respond to an old social claim. Corruption has

become an obstacle for the country´s development

and makes the cost of life Mexicans more expensive.

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WHY FIGHT CORRUPTION?

DISENCHANTMENT AND SOCIAL DISTRUST

Corruption Perception Index by Transparency International (TI)

Since its first measurement in 1995, the score given by the population to the authorities has been very low (classified as failed). It has never reached a score of 40 out of a scale of 100. The country constantly lost positions in the global ranking, in part because of the inclusion of more countries in the Corruption Index.

Furthermore:

Over 80% of the population believes that public institutions are corrupt or very corrupt. Although society is also part of the problem: 61% of those polled accepted have given money as a bribe to the police, and 55% had bribed Justice Institutions (Global Barometer of Corruption 2013, TI)

31 33 26

33 34 33 37 36 36 36 35 33 35 36 33 31 30 34 34 35

32 38

47 55 58 59

51 57

64 64 65 70 72 72

89 98 100

105 106 103

Calificación Lugar Ranking

Low score

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NEED TO COMBAT CORRUPTION

HIGH COST OF CORRUPTION According to estimates by the Bank of Mexico (central bank), the World Bank and

Forbes, corruption has a cost up to 9% of Mexico’s GDP. This is equivalent to 1.5 trillion

pesos.

The average cost of a bribe for Mexicans is estimated in $165 pesos (Transparencia

Mexicana, 2010)

The cost to “access” or to expedite” procedures or basic services, both on the federal

and sub-national level, has an approximate cost of over 32 billion pesos every year (Transparencia Mexicana, 2010).

70% of Mexicans agrees or agree strongly that “citizens allow corruption” (Fifth ENCUP,

SEGOB).

Add 56% of the population considers that corruption is an unsolvable problem or close

to impossible to eradicate (Fifth ENCUP, SEGOB)

43

32

21

16

11

Agilizar trámites

Obtener licencias y permisos

Impedir abuso de autoridad

Ganar contratos

Participar en licitaciones

%

Reasons why companies are corrupted*

33

26

24

17

Municipal

Estatal

Federal

Agencias públicas

%

Level of government that recives payment (bribes)*

* Data from the Poll of Fraud and Corruption in Mexico, KPMG

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CONSTITUTIONAL ANTICORRUPTION REFORM 2015

Implications of the reform:

Institutes the National Anticorruption Systems and similar local systems

Strengthens the faculties and capabilities of the Superior Audit of the

Federation

Introduces two indispensable figures to persecute and sanction corruption: the

Special Prosecutor to Combat Corruption, and the Federal Tribunal of

Administrative Justice.

Establishes the creation of General Laws in the following: 1) National

Anticorruption Bases of Coordination; 2) Administrative Responsibilities of

Public Servants and Individuals linked to administrative offenses; it also

commands the reform laws to: a) regulate the organization and faculties of the

Superior Audit of the Federation; b) establish the Federal Tribunal of

Administrative Justice.

Establishes Assets and Interest declarations as mandatory for al public

servants.

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NATIONAL ANTICORRUPTION SYSTEM (NAS)

The National Anticorruption System is the “instance that coordinates all authorities

in every level of government in the prevention, detection and sanction of

administrative responsibilities and acts of corruption, as well as audit and control of

public resources.”

. INTEGRATION AND FUNCTIONS:

Superior Audit of the Federation

Special Prosecutor to Combat Corruption

Federal Tribunal of Administrative Justice

INAI

Representative of the National Council of the Judiciary

Representative from a Committee of Citizen Participation

Establish coordination mechanisms at the local level (sub-national)

Design and promote public policies on audit and control of public resources, prevention, control and deterrence of administrative anomalies as well as acts of corruption.

Determine mechanisms of supply, exchange, systematization and update of information on these subjects.

Establish the bases and principles for the coordination with local authorities.

Develop a yearly report of progress and results of its actions and functions.

MAIN CHALLENGES FOR THE NAS

The main challenges the National Anticorruption System will face are:

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The Congress must issue legislation of the

constitutional reform in an articulate manner and with

a high quality level to backup the National

Anticorruption System.

New legislation must focus on prevention and not only in combat and sanction

of corruption. It also must simplify and make transparent processes to

discourage corruption.

Those institutions in charge of the “administration of justice” must be

articulated in a form that ensures true independence and autonomy from

political interests.

Establish the grounds of administrative sanctions for public officials, such as

fines and removal from office, and those causes that lead to criminal offenses,

which should be punished to the fullest extend of the law, because they

damage the State and Society.

MAIN CHALLENGES FOR THE NAS

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Overcome the inertia of entrenched

corrupt practices for decades in much of

the country's public institutions.

Eradicate simulation scenario that has been

mounted to "justify" the decisions of

background with corruption.

I did… I achieved… I fight corruption ... I am transparent ...

It is about creating the policy and institutional conditions to destroy the

networks of complicity that have been generated in the federal and sub-

national government, where they share not only government officials, but

employers, unions and political parties.

MAIN CHALLENGES FOR THE NAS

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The success of the System will be in operation and

function of the coordination between the bodies

that integrate it. In this regard, high standards

should assign specific functions to each of them,

considering not only involving public institutions,

but a committee of citizen participation that must

also assume substantive functions.

Promote mechanisms and favorable conditions to combat the causes that

have led to an environment of corruption and impunity, as an effective public

policy accountability and citizen participation, and a functional system of

incentives and penalties.

Consistent with this, it is necessary to create a mechanism simple and practical

complaint, so society can to participate in monitoring public management and

involvement in the accountability of the authorities.

MAIN CHALLENGES FOR THE NAS

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Periodically report their progress and achievements, as well as obstacles and

problems faced to meet its goals and objectives. In other words, the National

Anticorruption System should be a model of accountability.

Generate a system of measuring corruption, with

reliable indicators to check the level of

effectiveness and monitoring progress or setbacks

in combating and preventing corruption. All with

the premise: “that what can not be measured can

not be expected to get better.”

Simplify procedures and bring transparency to

processes for the acquisition of goods and

services as well as for the operation of social

programs and all projects where conflicts of

interest may occur in public officials.

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RELATIONS BETWEEN THE NATIONAL TRANSPARENCY SYSTEM (NTS), THE NATIONAL ANTICORRUPTION SYSTEM (NAS) AND THE AUDIT SYSTEM (AS)

Preventing and

combating

corruption

(Sanctions)

Transparency National

Accountability

System

Access to

Information

Control and Audit Coordination

Bodies

Interinstitutional

Coordination

Administrative

responsabilities

Citizen

Participation

AS

NTS

NAS

Complaint

mechanisms

Po

licie

s an

d

me

asu

res

Enable

Citizens present their complaints to

the control institutions

Audit, investigation and punishment

Transparent actions and

results

CONCLUSIONS

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Corruption is an evil present in all countries, not only in third world countries. This

disease has been entrenched governments in all states since ancient times.

However, in countries like ours it has reached levels that actually damage the daily

lives of people, individually and communally.

Because of the level and degree of complexity that has developed in our country,

efforts to combat corruption regarding a multiplicity of institutions that must work

in a coordinated and articulated manner, involving the participation of society in

substantive tasks to ensure effectiveness of its actions, avoiding the simulation.

However, it is not enough to issue a multitude of norms and standards; the timely

implementation of these is necessary to punish acts of corruption no matter who

is involved. Only then will the fear of committing illegal acts in public servants, and

over time, trust and credibility in public institutions will be generated.