http://www.adb.org/news/adb-toughens-anti-corruption-drive MANILA,
PHILIPPINES – The Asian Development Bank (ADB) toughened measures to battle
fraud and corruption in 2012, as complaints reached a new annual high.
"At
a time when many donors are implementing austerity measures, those entrusted
with development mandates have an obligation to use a steadily declining pool
of development funds. When development funds are diverted or misused, people
with real needs are deprived of basic services, rights, and opportunities,”
said Clare Wee, Head of ADB’s Office of Anticorruption and Integrity (OAI).
In its Annual
Report released today, OAI reported a record 240 complaints in 2012, and
the opening of 114 new investigations. Sanctions were imposed on a total of 42
firms and 38 individuals. The bulk of the complaints involved fraudulent
misrepresentations about qualifications, experience, and technical capabilities
of consulting firms, contractors and individuals seeking work from ADB.
In addition, a total of
57 firms and 51 individuals were barred from seeking ADB-financed contracts as
part of a cross debarment agreement forged between ADB and four other
multilateral development banks.
ADB has zero tolerance
for corruption. OAI continued to inform and empower staff, civil society and
the private sector with tools to fight fraud and corruption and prevent abuse
of funds. The report notes numerous positive developments, including
several major international firms working on ADB-assisted projects who voluntarily
reported suspected integrity violations to OAI after internal company audits.
In 2012, OAI piloted
project procurement-related spot reviews aimed at strengthening project
monitoring and compliance. The reviews provide hands-on support and skills
transfers to ADB’s operations departments to improve project supervision and
ensure projects fully deliver their intended development outcomes. Lessons from
similar reviews over the last 10 years have been developed into toolkits that
are shared and used by other international financial institutions.
To prevent fraud and
corruption in ADB projects, OAI provides substantial support and advice to
management and project teams on issues relating to integrity, money laundering,
and financing of terrorism risks, particularly for its public and private
sector projects.
For 2013, OAI will
continue to channel its work to ADB’s front line, to maximize opportunities for
ensuring ADB’s development funds are used with regard to value for money, for
their intended purposes, and not usurped through fraudulent or corrupt
practices. It will adopt and continue measures such as increased support for
Resident Mission staff, customized project procurement related reviews, and
enhanced capacity for due diligence advice.
Advice from ADB
