1. GOVERNMENT DEFENCE ANTI-CORRUPTION INDEX Results and application Mark Pyman, Director, Defence & Security Programme Transparency International UK PRIO, Oslo April 15th, 2013 1

2. TIs defence workArmed Forces, Defence MinistriesArms transfersInterior MinistriesIndexes, Research Preventive Training Civil Society CapacityDefence companiesPoliceFragile states Peacekeeping 3. DEFENCE Corruption - The problem DANGEROUS It undermines military effectivenessPoor equipment risks the lives of troops DIVISIVEWASTEFULIt destroys citizens trust in the armed forces Factional control risks; can trigger arms races The defence sector is worth $1.6 trillion ayear The waste from corruption is in billions of dollars3 4. CORRUPTION RISKS IN DEFENCE4 5. methodology 77 questions, based on the TI typology. Scored on a 5-point scale Model answers to show good practice and guide assessors responses Questionnaire completed by independent assessor. Reviewed by two independent peer reviewers; TI National Chapter review, TI-DSP review Government involvement requested, comments on drafts requested Reasoned assumptions acceptable where information is lacking All info publicly available: One page summary, 30-50 pp country detail 6. THE GLOBAL RESULTS6 7. RESULTS by region REGIONAL RESULTS | SUB-SAHARAN AFRICA 8. EXAMPLE country summary RESULTSKENYA - BAND D+ POLITICALFINANCIALPERSONNEL39%39%67%OPERATIONS25%PROCUREMENT32%+ Standing orders forbid military involvement in natural resources + Robust and transparent payment systems for personnel + Separation between chains of command and chains of payment + Complaint mechanisms in place for suppliers 9. KENYA - WEAK AREAS POLITICAL39%-Little CSO involvement in helping improve standards Little budget transparency-Percentage of secret spending not disclosed-Poor whistleblowing processes and protections Lack of transparency surrounding prosecution of corrupt personnel-Lack of military doctrine recognising corruption on operations Lack of operational training on corruption issues-Little transparency of procurement cycle or financing packages No evidence of controls on subcontractors / subsidiariesFINANCE39% PERSONNEL67% OPERATIONS25% PROCUREMENT32% 10. REGIONAL RESULTS | SUB SAHARAN AFRICA 11. REGIONAL RESULTS | SUB SAHARAN AFRICA 12. Defence INDEX vs cpiSUB SAHARAN AFRICAOver-perform relative to CPIUnder-perform relative to CPI 13. Afghanistan RESULTSAFGHANISTAN - BAND E POLITICALFINANCIALPERSONNEL39%22%34%+ + + + + +OPERATIONS35%PROCUREMENT17%Inspector General system of control in operation A Military Anti-Corruption unit inside the MOD is in operation No indication of corruption concerning military-owned businesses No indications of corruption concerning natural resource links. Personnel and soldier pay rates are published Ghost soldiers controlled 14. Afghanistan WEAK AREAS POLITICAL39% FINANCE22% PERSONNEL34% OPERATIONS35% PROCUREMENT17%- Unclear responsibility for approving security policy - Indications of criminal penetration into the military - No scrutiny of secret spending. - No information on off-budget spending - Non-objective recruitment and promotions - Private Military Contractors need better controls - Procurement processes are weak 15. Afghanistan Comparison with post-conflict nations 16. Afghanistan Comparison with NEIGHBOURING nations 17. CONTROL OF CORRUPTION: WGI DATA +VE TRENDSWorld Bank control of corruption indicators, www.govindicators.org 18. MENA THE REGION: RESULTS BY COUNTRYLEBANON - BAND D+ POLITICAL40% + + + + -FINANCIALPERSONNEL41%63%Defence budget is reasonably transparent Secret budget proportion below 1% Competition in defence procurement No military involvement in business Very limited political oversight Asset disposals seem to be politically influenced No external audits No external controls on intelligence servicesOPERATIONS35%PROCUREMENT39% 19. GI MENA v CPIOver-perform relative to the CPIUnder-perform relative to the CPI 20. Proposals 1 | PRESIDENT/ MOD/ Forces President and Cabinet Insist that the military and Ministry of Defence be pro-active in anti-corruption measures. Do not permit special treatmentDefence leaders 1. Build common understanding of corruption across your leadership. 2. Analyse the corruption risks in your defence context; develop a plan. 3. Set up an a-c unit with a senior Director/Officer 4. Put in place a robust Code of Conduct; implement anti-corruption training 5. Improve your whistle-blowing systems for personnel 6. Be open with the public in what you are doing: work with civil society 21 21. PROPOSALS 2 | African Union, ECOWAS 1. Encourage leadership dialogue on preventing corruption: use the typology 2. Sponsor corruption prevention training in all national MODs and forces 3. Develop a Centre of Excellence in defence anti-corruption 4. Provide a common approach for MODs to asses the corruption risks 5. Implement corruption prevention training in peacekeeping training centres 6. Include defence corruption risks in country peer review mechanisms 7. Support whistle-blowing systems for defence and MOD personnel 22 22. PROPOSALS 3 | research 1. Analyse corruption as cause of West African military weakness 2. Bring W. African military leadership together to review army governance 3. Apply TIs Defence Index methodology to all AU Member States 4. Create an Africanised version of TIs Defence Integrity and corruption prevention handbook 5. Compare and contrast the Defence Budget detail for AU member states 6. Develop two training modules: One for Colonel level officers and officials on preventing corruption. One for General officers in leadership courses. 23 23. PRACTICAL REFORMS - MOD AND ARMIES 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11.Engage the leadership, build confidence Analyse and understand the risks Use good diagnostic tools Use surveys and metrics Develop a counter-corruption plan Serious training on counter-corruption Clear conduct standards for officials, officers Procurement reforms; use of monitors Engage media, civil society Work with the defence and security contractors Establish a counter-corruption Director and unit 24 24. BUILDING DEFENCE LEADERSHIP UNDERSTANDING Militaries and MOD leadership almost never discuss corruption Our approach: One day workshop with MOD and military leadership Review the 29 corruption risks Identify priorities Outline counter-corruption plan Repeat six months later 25. Peacekeeping corruption risks typology 26. DEFENCE COUNTER-CORRUPTION PLAN+Polish experience Awareness of corruption and schemes within the MoD and military Many organisations involved in anticorruption activity: Control Department (MoD) Audit Bureau (MoD) =Military Police Military Prosecutors OfficeMilitary CounterintelligenceSupreme Chamber of ControlNo coordinationLack of a prevention bodyVery few system changesLack of an integrity policyNo integrity building, inefficient anticorruption measures Inefficiency of procurement process: buying arms - not capabilities; focusing on spending money - not on value for money 27. DEFENCE COUNTER-CORRUPTION PLAN+Polish experience Awareness of corruption and schemes within the MoD and military Many organisations involved in anticorruption activity: Control Department (MoD) Audit Bureau (MoD) =Military Police Military Prosecutors OfficeMilitary CounterintelligenceSupreme Chamber of ControlNo coordinationLack of a prevention bodyVery few system changesLack of an integrity policyNo integrity building, inefficient anticorruption measures Inefficiency of procurement process: buying arms - not capabilities; focusing on spending money - not on value for money 28. CORRUPTION PREVENTION TRAINING 5 day counter-corruption course OF5 level officers, MOD officials Focus on personal integrity and on corruption prevention Given 15-20 times to date; well received All materials available free Nations, military academies make own version and give the training 29. www.ti-defence.org www.defenceindex.org mark.pyman@transparency.org.uk