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Transparency International’s work made a world of difference in 2005
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Introduction
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From national governments to international organisations to business groups to citizens, Transparency International played an important role in changing the way people think about their world. Everywhere, people are becoming more aware of the dangers and devastation of corrupt and unethical behaviour, and increasingly less tolerant. |
The prevalence of corruption stories in the media in 2005, such as the United Nations Oil for Food Programme, the Anglo-leasing scandal in Kenya, allegations of high-level corruption in major German corporations, as well as political financing investigations in Brazil, Canada and the United States demonstrates a heightened awareness and increased salience of corruption. Transparency International’s Annual Report 2005 lists the year’s major corruption stories, demonstrating that countries all over the world were affected by corruption scandals in 2005.
Successes versus challenges
The anti-corruption movement saw success as well as scandals in 2005. The entering into force of the United Nations Convention against Corruption provided a basis for international cooperation and a strong tool to aid in asset recovery. International institutions such as the World Bank and the Organisation of American States made tackling corruption a higher priority. Business became more aware of the need to fight corruption; FTSE4Good developed anti-corruption criteria for their index, 59 more multinational companies signed up to the Partnering Against Corruption Initiative of the World Economic Forum.
Through it all, TI was there, serving as a link to help make processes transparent and increase good governance. Transparency International’s Annual Report 2005 highlights the organisation’s major achievements in combating corruption. TI’s measurement tools, research and examples of best practice helped to clarify the problem and chart the way forward. Our approximately 100 chapters around the world worked with their governments to achieve reforms to improve transparency and good governance. Our programmes, such as the Advocacy and Legal Advice Centres programme, worked directly with citizens to fight corruption on an individual level.
The movement goes forward
As a movement, TI has made significant gains. An increase in awareness of the devastating effects of corruption has also encouraged determination from actors at all levels to address it. The anti-corruption movement is growing. In her first year as TI’s Chair, Huguette Labelle highlighted the need for continued cooperation: “Strong partnerships across borders are fundamental to dismantling embedded networks of corruption that work in concert to pervert the public good for their own benefit,” said Labelle.
The fight against corruption is entering a new era – one of prevention, effective implementation and monitoring of the anti-corruption laws and conventions the movement has fought so hard to achieve.
TI's work around the world
Here are some examples of TI’s work around the world:
- TI led the international response to prevent corruption in aid and reconstruction for countries affected by the Indian Ocean tsunami.
- TI’s Business Principles for Countering Bribery were launched in China
- Nine water pipe manufacturers, representing 80 percent of the market, signed the first Business Sector Transparency Agreement in Argentina.
- Chapters in the Broader Middle East and North Africa region formed partnerships with G8 nations to combat corruption in health, education and financial management.
- TI chapters in Romania and Bulgaria used the EU accession process and national-level advocacy strategies to achieve wide-ranging anti-corruption reforms.
- Nigeria and Cameroon committed to publishing their oil revenues under the Extractive Industries Transparency Initiative.
- TI expanded its Advocacy and Legal Advice Centre programme in Eastern Europe, bringing the total to 11 centres in seven countries.
Major corruption stories and anti-corruption successes
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Major corruption stories |
Major anti-corruption successes |
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The Independent Inquiry into the United Nations Oil for Food Programme implicated 2,253 companies around the world in alleged corruption. (Global) |
The United Nations Convention against Corruption entered into force in December 2005. |
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Twenty seven senior officials from the interim Iraqi government were arrested for alleged embezzlement of more than US $1 billion. (Iraq) |
The World Bank stepped up efforts to investigate internal fraud as well as corruption in its projects. |
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Kenyan President Mwai Kibaki faced challenges to his anti-corruption pledges with the surfacing of the Anglo-leasing scandal and the Goldenberg scam. (Kenya) |
The Independent Inquiry Committee’s investigation into the UN Oil for Food Programme produced a comprehensive accounting of corruption and complicity in Saddam Hussein’s Iraq. |
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Washington lobbyist Jack Abramoff admitted providing gifts to U.S. lawmakers in return for legislative favours. (USA) |
The European Commission placed higher priority on a candidate country’s transparency and accountability in decisions on accession. |
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South African deputy president Jacob Zuma was forced out of office and indicted for corruption after his financial adviser was convicted of fraud in helping him secure business deals. (South Africa) |
Ellen Johnson-Sirleaf was elected President of Liberia on a strong pledge to root out corruption in Africa’s oldest republic. |
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Allegations and admissions of high-level corporate corruption surfaced in some of Germany’s largest companies: BMW, Volkswagen, DaimlerChrysler, Infineon and Commerzbank. (Germany) |
The international community increasingly recognised that corruption must be tackled if the UN’s Millennium Development Goals for reducing poverty are to be met. |
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Costa Rica’s string of allegedly corrupt presidents increased to four, with president Abel Pacheco accused of accepting bribes from French and Finnish firms. (Costa Rica) |
International institutions increased the transparency of information on blacklisted companies |
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A parliamentary cash-for-votes scandal forced the resignations of several officials of Brazil’s ruling Workers’ Party. (Brazil) |
The Group of Eight nations made extensive and detailed proposals that – if followed through – will establish milestones for confronting and stamping out pervasive corruption in Africa. |
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AdScam, the US $250 million kickback sponsorship and fraud scheme, was found to benefit Canada’s ruling Liberal Party. (Canada) |
The Organisation of American States’ Secretary General made tackling corruption a higher priority, noting that it is essential to the development of democracy and rebuilding trust in government. |
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Omri Sharon, son of the Israeli prime minister, pled guilty to charges of corruption in election finance, related to more than US $1.3 million received from companies in Israel and abroad. (Israel) |
Business is becoming more aware of the need to fight corruption: some 100 companies have signed up to the World Economic Forum’s Partnering Against Corruption Initiative. |
Transparency International's major achievements
From national governments to international organisations to business groups to citizens, Transparency International has played an important role in changing the way people think about their world. As the dangers and devastation of corruption and unethical behaviour become more apparent, people are increasingly less tolerant. By raising awareness, undertaking research to demonstrate the nature of corruption and providing practical tools to address it, TI made a real difference in 2005.
- TI chapters in Romania and Bulgaria used the EU accession process and national-level advocacy strategies to achieve wide-ranging anti-corruption reforms. PAGE 13
- Chapters in the Broader Middle East and North Africa region formed partnerships with G8 nations to combat corruption in health, education and financial management. PAGE 10
- The Business Principles for Countering Bribery were launched in China. PAGE 12
- Nine water pipe manufacturers, representing 80 percent of the market, signed the first Business Sector Transparency Agreement in Argentina. PAGE 11
- More countries than ever were included in the Corruption Perceptions Index, up from 91 in 2001 to 159 in 2005. PAGE 16
- Nigeria and Cameroon committed to publishing their oil revenues under the Extractive Industries Transparency Initiative. PAGE 10
- TI issued Minimum Standards for Public Contracting, a tool to tackle corruption in the building and engineering industries. PAGE 14
- TI led the international response to prevent corruption in aid and reconstruction for countries affected by the Indian Ocean tsunami. PAGE 8
- Integrity Pacts were signed to prevent corruption in procurement and construction of Germany’s new international Schönefeld airport and in Paraguay’s national oil company PETROPAR. PAGE 5
- TI expanded its Advocacy and Legal Advice Centre programme in Eastern Europe, bringing the total to 11 centres in seven countries. PAGE 13
Table of contents of the 2005 annual report
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Forewords |
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Our Global Priorities
Rooting Out Corruption in Politics 4
Curbing Corruption in Public Contracting 5
Enhancing Standards in the Private Sector 6
Establishing and Implementing International Conventions 7
Other Global Programmes
Preventing Corruption in Aid and Development 8
Corruption and Education 9
Improving Access to Information 9
Our Regional Work
Africa and the Middle East 10
Americas 11
Asia Pacific 12
Europe and Central Asia 13
Our Policy and Research Work
Policy and Research Work 14
Corruption Perceptions Index 16
A Growing Global Movement 18
Integrity Awards 20
Financial Report 21
Support 22
National Contacts 24
Board of Directors 28
Advisory Council and Secretariat Staff 29
Media contacts
Jesse Garcia
Gypsy Guillén Kaiser
Sarah Tyler
Tel:+49 30 34 38 20-662
Fax: +49 30 34 70 39 12
press@transparency.org
