Fri, 27 Sep 2013 04:30:00 GMT | By Jennifer Gomez; The Malaysian Insider

Malaysia one of the most corrupt nations, survey shows

Malaysia, along with China, has the highest levels of bribery and corruption anywhere in the world, according to the latest report, Asia-Pacific Fraud Survey Report Series 2013.


Malaysia has been ranked as one of the most corrupt nations and listed as a country which is most likely to take shortcuts to meet targets when economic times are tough, according to a recent survey by Ernst & Young, signalling that the government's Performance Management and Delivery Unit (Pemandu) has failed in its role to transform the economy.

Malaysia, along with China, has the highest levels of bribery and corruption anywhere in the world, according to the latest report, Asia-Pacific Fraud Survey Report Series 2013.

This year's survey polled 681 executives in China, Singapore, Australia, New Zealand, Indonesia, Vietnam, Malaysia and South Korea.

About half of the 681 executives polled on their perception of fraud felt that China, Indonesia, Malaysia and Vietnam were the worst in bribery and corruption.

Those polled were employed at corporations with a turnover in excess of US$500m, ranging from the industrial sector to financial services, retail and natural resources.

"Fraudulent practices are on the rise, and there is a disconnect between the policies that are in place and how they are applied in practice," said Chris Fordham, EY Fraud Investigation & Dispute Services Managing Partner of Asia-Pacific, in the report.

About 39% of respondents said that bribery or corrupt practices happened widely in Malaysia, a figure which is nearly double the Asia-Pacific average of 21%.

In addition, 29% of respondents said that bribery or corrupt practices here have increased due to tough economic times and increased competition, which is the third highest among the countries surveyed.

The report also revealed that respondents felt that while some countries in Asia had strong anti-bribery and corruption policies, they did not work in practice.

Around 40% of respondents said their companies have anti-bribery polices or codes of conduct in place and 35% confirmed that their senior management has communicated its commitment to these principles.

E&Y also found that the risk of fraud, bribery and corruption were greater in growth markets.

"This may be due to a weak control environment that results in policies and procedures being implemented differently from global compliance frameworks.

"Companies operating in local markets may also feel compelled to operate in line with local business culture, resulting in conflicts with global compliance regimes," the report noted.

E&Y found 4% of the respondents "agreed" or "strongly agreed" that it was all right to offer cash payments to win business.

"It should be zero, because companies have a policy of zero tolerance towards bribery," said Torsten Duwenhorst, an E&Y partner.

Prime Minister Datuk Seri Najib Razak has staked his premiership on six National Key Result Areas (NKRA), of which “Reducing Corruption” was one of the most important.

Najib and his team have taken great pains to point out to Malaysians and foreigners the “efforts” and “successes” in achieving the key performance indicators (KPIs) of the NKRA.

In 2011, Pemandu boasted that the initiatives taken have shown tremendous results in eradicating corruption.

The government also pointed out that “the effectiveness of the actions taken is being slowly felt and acknowledged by the general public”.

34Comments
Sep 26, 2013 11:19PM
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The survey says that "About half of the 681 executives polled on their perception of fraud felt that China, Indonesia, Malaysia and Vietnam were the worst in bribery and corruption."  Well this doesn't come as a surprise to me.

However, there are still some well educated rakyat who still refuses to accept the fact that Malaysia scored top marks for being one of the most corrupted countries in the world.  They still insist  that the opposition is out there lying and trying to accuse and portray the ruling government as being corrupt to gain political mileage

WAKE UP and check it out yourself!

Sep 26, 2013 11:54PM
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People up there are untouchable by laws even they were found to commit serious corruption. Worst still some committed evil crimes, abusing power and cheating were untouchable by laws and were protected by high court! 

If people up there already crooked and are untouchable by laws what do you expect to eradicate corruption and criminal acts at those who are from the lower level?
Sep 26, 2013 11:40PM
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For the time being is only one of them, i will not be surprise that Malaysia will be rank TOP3 in world ranking SOON .
Sep 26, 2013 11:14PM
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OI PM!  You read the report.  Your PEMANDU has failed in its role to transform the e****my.  What ashamed to have been surveyed as such.  Balik from where you come from.
Sep 27, 2013 12:20AM
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Not surprising when you read that a 20+ son of a minster can buy a RM 7.5 million house and a mentri besar sent over RM 10 million overseas. The transformation scheme are just schemes to take out more money. RM 20 miiilion for education consultancy job and many many more........
Sep 27, 2013 12:37AM
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Corrupt leadership breeds corrupt nation. Sadly it also breeds a corrupt police force that wouldn't help reducing crime rate and instead, increasingly misuse their authority by abusing and extorting from innocent citizens.
Sep 26, 2013 11:25PM
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not suprise... no corruption in the future konon...
Sep 27, 2013 12:27AM
Sep 27, 2013 12:34AM
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The public is telling you

Your Asian neighbours are telling you

Now the international communities are telling you

 

Who else do you need to tell you as we are running out of candidates. You want God/Allah to drop in a divine reminder?

 

Even educated ones are stubborn to listen to others. A pity despite all the education you have but no conscience to it

Reality is ugly, but you still need to live with this ugly truth, not to deny it.

 

I bet this report won't show up in the mainstream media. And anything not own by BN will be deemed fake as usual by those dumb fools

Sep 27, 2013 12:51AM
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It starts with the giving of money to the rakyat when they win the election. Najib has promoted the 1brim scheme of giving the rural poor the rakyat money before the election, and has topped up the money again for the voters who vote them into [power. ALL the big contracts in Malaysia were givem to their cronoies or to MNC or Puiblic listed co. but, there is a kickbacb for the deal, and they call it Umno party political fund!!!THe NEP  policy is a big corruption scam, where the GOvt. hookwink the non Malay citizens to believe that the money is allocated for the rural poor Malays and to raise their eliminate poverty, raise standard of education for them, give them more business opportunities in business, but, it is infact, taking the ppl.s money and giving it free , to their cronies. IT is like suck9ing the blood of the Non Malays and give them to the rich and powerful elites.Therefore, the NEP is a big corrution deed, and how can the Govt. under Umno be clean of corruption ??? No wonder, the survey place Malaysia on the top list for corruption.
Sep 27, 2013 1:26AM
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I feel very sad for my beloved country going in this direction!
Sep 27, 2013 1:22AM
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corruption runs wild in governmental and their related office.

governmental contracts with kickbacks worth millions. and all these money are included in the contract being approved.

 

just at the door step the KLIA2 cost escalation, where literary you can built another KLIA2 extension.

and the funny things is no question asked - WHY because it's government related and many become rich out of the escalation.

 

they have the right to delay payment and approved things makes them vulnerable prone to corruption.

 

you want contract you pay, you want early and prompt payment you pay - thats how it works in malaysia. allah is secondary, no fear of god at all.

Sep 27, 2013 1:35AM
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The rakyat joint forces must be strong enough to change the government, including the corrupted election committee !
Sep 27, 2013 2:57AM
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No  surprise really when thieves, cheats and murderers running the country. Whistle blowers are prosecuted. Cattle thief running for Wanita Chief ........bla bla bla ............. Yang ada duit $$$ cepat belar.

Sep 27, 2013 1:57AM
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cantik!! no matter what the report says or the world says... we are "still" holding strong to our moto "Malaysia Boleh!" ...1Malaysia Boleh!!! i'm not surprised with all these report... I guess its a known fact.
Sep 27, 2013 2:57AM
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Believe me, many more "MALAYSIA BOLEH" record and report is coming on the way if the present parties rule the  country..

 

Sep 27, 2013 3:49AM
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Confirming what we already know for a long, long time.
Sep 27, 2013 3:11AM
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Malaysia Boleh !! Boleh Land......Boleh!!
Sep 27, 2013 7:33AM
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What Malaysian government care about.? They don't feel a shame as all their former premier are doing so. Even being investigate by Macc nothing can prove them wrong. Worst still...still can advise rakyat how to behave and cinta..lah tanah airku..... For the sake of curiosity, can anyone just name which ministry or minister are not corrupted?

 

Sep 27, 2013 7:42AM
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NEP aka Najib Extorting the People.
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