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Corruption Case Study in the Philippines

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244 views17 pages

Corruption Case Study in the Philippines

case study

Uploaded by

espinosawindell
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
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CORRUPTION IN

THE PHILIPPINES
A Case Study Analysis

in

SOC. SCI. 4
1ST Semester S.Y. 2024 - 2025

Submitted by:

1/C ESPINOSA, Windell Irish C.


1st Class MarE

Submitted to:

MR. LEO C. PEPITO


Instructor
Introduction

Corruption is dishonest behavior by those in positions of power, such as business managers or


government officials. Examples of corruption in the Philippines include graft, bribery, cronyism,
nepotism, impunity, embezzlement, extortion, racketeering, fraud, tax evasion, vote buying, lack of
transparency, lack of sufficient enforcement of laws and government policies, and consistent lack of
support for human rights.

This study used a descriptive and qualitative research design. It exposed the anti-corruption laws
and the cases decided by the various Philippine courts. It found out that even with the existence of laws
as well as the removal or the conviction of several government officials and employees, corrupt
practices seem to be undeterred

This study also tackled about the padrino system, one gains favor, promotion, or political
appointment through family affiliation (nepotism) or friendship (cronyism), as opposed to one's merit.
The padrino system has been the source of many controversies and corruption in the Philippines. The
Philippine political arena is mainly arranged and operated by families or alliances of families, rather
than organized around the voting for political parties.

This paperwork is used to examine how and why the dominant types of corruption in the
Philippines have evolved from nepotism, to smuggling to public works contracts, to debt-financed
schemes asset - privatizations until the recent descent into underworld-related activities. the ultimate
factors are those affecting social cohesion the economic strategies pursued by the government, the
political system, the extent of market transactions and the rate sources of economic growth. It is these
factors that determine the credibility of the formal institutional constraints on the behavior of public
officials and private agents alike.
The Cause

The analysis much of existing literature focuses on explicit corrupt actions like bribery and
embezzlement, endemic in poor countries. For "money in politics," the causes are very different and
largely ignored in conventional literature. In the real world, it turned out, important economic outcomes
are often the consequences of political forces. During 2010, people within regulatory bodies told me
privately that false and misleading claims were affecting key policy decisions... I saw confusion, willful
blindness, political forces, various and sometimes subtle forms of corruption, and moral disengagement,
first hand.

The analysis identifies low salaries, red tape, low risk of detection and punishment for corrupt
offenses, the importance of family and cultural values, and lack of political will as the five major causes
of rampant corruption in the Philippines. Corruption can take many forms, and can include behaviors
like public servants demanding or taking money or favors in exchange for services, politicians misusing
public money or granting public jobs or contracts to their sponsors, friends and families, corporations
bribing officials to get lucrative deals.

Furthermore, the conclusion saying no to corruption is not just a moral duty, but also necessary
for the well-being of society. Corruption hinders democracy and emotional growth, erodes societal trust,
and harms the environment. I hope that from now on every individual will strictly oppose and prevent
corrupt activities from occurring anywhere around us. Thus, this will ensure the complete socio-
economic and political development of our society and country at large.
Proof/s

Source:
[Link]

An ongoing investigation into Alice Guo, the mayor of a small city in Luzon, has prompted
increased scrutiny of online gambling operations – and their possible links to Chinese espionage. the
issue has further gained attention since the recent raid of several Philippine Offshore Gaming Operators,
or POGOs, by authorities in the municipality of Bamban. The raid yielded evidence of organized crime,
including the involvement of several Chinese nationals.

Source: [Link]

In its 396-page decision, the anti-graft court’s Fifth Division however convicted Estrada of bribery
charges arising from the transfer of Estrada’s Priority Development Assistance Fund (PDAF) or pork
barrel to bogus non-government organizations owned by Napoles. Estrada was found guilty of one count
of direct bribery and sentenced to eight to nine years imprisonment.
Source:
[Link]

Since its debut in 2003, the Global Corruption Barometer has surveyed the experiences of
everyday people confronting corruption around the world. Through our barometer, tens of thousands of
people around the globe are asked about their views and experiences, making it the only worldwide
public opinion survey on corruption. Score 34/100 and Rank 115/180.

Source:[Link]
index-but-score-remains-low/

Based on the 2022 Corruption Perceptions Index (CPI), Manila ranked 116th out of 180
countries, up one spot from its worst-ever showing of 117th place in the previous year. The Philippines
ranked 115th in 2020, 113th in 2019, and 99th in 2018.
Source: [Link]
The Effects

Corruption hampers the attainment of the United Nations Sustainable Development Goals
(SDGs). The SDGs are comprehensive and their susceptibility to be undermined by corruption is
unsurprising: it is entirely conceivable that "a better and more sustainable future for all" often runs
counter to the interests of a few and can be derailed through many forms of corruption. Although
obtaining exact figures on the economic costs of corruption is difficult, a 2016 report from the
International Monetary Fund (IMF) estimated the cost of bribery alone to be between $1.5 to $2 trillion
per year. This represents a total economic loss of approximately 2% of global GDP. And yet it does not
take into account the economic cost of all other forms of corruption. Corruption is generally not the
weapon of the weak. In Nigeria, famous bribery case, involving the international oil company Shell,
deprived Nigerian people of over $1.1 billion as the money went to corrupt officials instead of to the
national budget (Global Witness, 2017). Meanwhile, according to the World Bank (2019), more than
50% of the population of the oil-rich country live in extreme poverty. The cumulative effect of
individual corrupt acts is dysfunctionality. Whether offered by the public or private sectors, the quality
of goods and services decrease, and the process of obtaining them becomes more expensive, time
consuming and unfair. What is described as dysfunctional above is actually functional and profitable for
corrupt actors. Whether falling under the label of political cronyism, crony capitalism, political party
cartels, oligarchy, plutocracy and even kleptocracy, widespread patterns of private and public corruption
construct social systems that are rigged in the private interest.

The analysis effects of corruption mentioned above can be categorized along the following lines:
economic, political, moral or psychological, humanitarian, ecological, security-related, and so on. To
help us gain a better understanding of corruption, the following section discusses some of the deeper
meanings of the corruption.

The cumulative effect of individual corrupt acts is dysfunctionality. Whether offered by the
public or private sectors, the quality of goods and services decrease, and the process of obtaining them
becomes more expensive, time consuming and unfair
Proof/s

Source:[Link]
gad_source=1&gclid=EAIaIQobChMI6ez66tL3iAMVZ18PAh290BC1EAAYASAAEgLa-fD_BwE

Teenage pregnancy affects about 6% of Filipino girls. It may sound like a small number but it is
the second highest rate in Southeast Asia based on Save the Children’s Global Childhood Report from
2019. An estimated 538 babies are born to Filipino teenage mothers EVERY SINGLE DAY, according
to the Philippine Statistical Authority from 2017.

Source: [Link]
gad_source=1&gclid=EAIaIQobChMI6ez66tL3iAMVZ18PAh290BC1EAAYASAAEgLa-fD_BwE

Widespread corruption in Filipino politics and business prevents social mobility and growth.
Power is concentrated among influential families and connected individuals, leaving poor people with
few opportunities to better themselves.
Source: [Link]
gad_source=1&gclid=EAIaIQobChMI6ez66tL3iAMVZ18PAh290BC1EAAYASAAEgLa-
fD_BwE

The Philippines is located along the Ring of Fire or typhoon belt. Because of this, the
country has suffered from deadly typhoons, earthquakes, volcano eruptions, and other natural
disasters.

Source: [Link]
gad_source=1&gclid=EAIaIQobChMI6ez66tL3iAMVZ18PAh290BC1EAAYASAAEgLa-
fD_BwE
The Philippines’ Department of Education, Culture and Sports’ mission is to provide quality,
basic education that is equitably accessible to all…” And yet, CNN Philippines reported not too
long ago that six in ten families in 2016 and five in ten families in 2017 lacked access to basic
education.

Source: [Link]
Solution/s

There are many studies concerning corruption, which tells us that it is a common phenomenon
globally. Finding a solution to corruption in the Philippines will undoubtedly take time and it will take
both institutional and cultural changes to enact it well. However, on a micro-level, staying morally
upright is one of the best ways to combat the ever-growing corruption. Barriers to participation in the
economic life of a society must be removed. Corruption has its losers—the population at large and those
who are denied participation in economic activity. When those who are hurt by corruption are allowed to
voice their discontent, the chances of a decline in corruption increase.

Successful leaders in the government and the private sector must set a good example. As
mentioned above, the key to fighting corruption are better systems that provide better incentives for
imperfect human beings to perform in the public interest—and to avoid corruption. Enhancing
accountability means many things, and creative leaders in the government and the private sector use a
remarkable variety of methods. One way to improve accountability is to improve the measurement of
performance. Another method is listening and learning from businesses and from citizens. This includes
mechanisms for public complaints, but it goes beyond the reporting of individual instances of abuse of
corrupt systems.

Accountability is also increased by inviting outsiders to audit, monitor and evaluate. This is
exactly the reason we created Integrity Circles as one of the main avenues to address accountability,
transparency and integrity. We did this in the Integrity for Jobs (I4J) project, a project co-funded by the
European Commission and the Konrad Adenauer Foundation. We started with nine LGUs and are happy
to announce that 60 LGUs are now part of this endeavor. Allow me to add that Integrity Circles are
composed of people working in the LGU, being involved in business, and representing civil society (in
many cases the Church). But let’s not forget the press; the media can be and should be an important
source of accountability.
Source:
[Link]

Mayor Sotto talking with a senior citizen. He believes in leadership by consultation.

Source: [Link]
[Link]

United Nations Convention against Corruption.

This activity was funded by the Ministry of Justice of the Republic of Korea (KMOJ) in its support to
further UNCAC implementation in the Southeast Asian region.
Source:
[Link]
[Link]

Manila (Philippines), 29-30 August 2023 - In a significant move toward enhancing transparency
and accountability in the Philippines, the United Nations Office on Drugs and Crime (UNODC) and
Open Ownership (OO), in collaboration with the Securities and Exchange Commission (SEC),
conducted a training workshop on Beneficial Ownership Data for Law Enforcement Authorities

Source:
[Link]

The government plans to repurpose the illegal Philippine offshore gaming operator (Pogo) hubs
once forfeited in favor of the government, the Presidential Anti-Organized Crime Commission
(PAOCC) said.
Analysis

What about ethics and morality? Corruption has always been linked to dishonesty and
“dirtiness”. In fact, one of the most prevalent effects of corruption in the Philippines is giving fuel to the
belief that politics is inherently dirty. Often it is said that corruption is unavoidable, that it is common
practice, that those who refuse are ridiculed as “religious” or “scrupulous” or “holier than thou.” As
many give in to it, a state of permissiveness arises. Integrity becomes harder to fulfill, especially when
one is confronted with issues like career advancement, breaks in life, and earning of income, unless one
is firmly rooted on solid principles and has been nurtured in an upright manner.

Corruption cannot be tackled without a strong civic society. The population must have powers to
challenge politicians, bureaucrats and erring company managers. Governments must agree to introduce
transparency in their operations and allow information to flow freely. The Right to Information Act in
India that allows citizens to demand information from bureaucrats has given much hope to activists in
India. In the Philippines the Freedom of Information bills are not moving in Congress. Additionally,
corruption will direct talent away from productive activities toward rent-seeking activities. More
important, while corruption affects the whole economy, it seems to target the poor. It hurts the poor as it
introduces costs and benefits that create a bias against the poor; corruption can causally be linked to the
worsening of income distribution.
Recommendation/s

The question of how to prevent corruption in the Philippines is always present, but the best way
to answer it is by understanding its root causes. Corruption flourishes when someone has monopoly
power over a product or service and has discretion to decide how much to receive, and where
accountability and transparency are weak. Incompetence and corruption are also closely linked together.
So, to fight corruption, we and that includes all of us must reduce monopoly power, reduce discretion
and increase accountability in many ways. Enhancing accountability means many things, and creative
leaders in the government and the private sector use a remarkable variety of methods. One way to
improve accountability is to improve the measurement of performance. Another method is listening and
learning from businesses and from citizens. This includes mechanisms for public complaints, but it goes
beyond the reporting of individual instances of abuse of corrupt systems. Accountability is also
increased by inviting outsiders to audit, monitor and evaluate. This is exactly the reason we created
Integrity Circles as one of the main avenues to address accountability, transparency and integrity. We
did this in the Integrity for Jobs (I4J) project, a project co-funded by the European Commission and the
Konrad Adenauer Foundation. We started with nine LGUs and are happy to announce that 60 LGUs are
now part of this endeavor. Allow me to add that Integrity Circles are composed of people working in the
LGU, being involved in business, and representing civil society (in many cases the Church). But let’s
not forget the press; the media can be and should be an important source of accountability.
Reference link

1. [Link] By Felix Iglesias July 08, 2024


Credit Philippine National Police Anti-Cybercrime Group via AP, File

2. [Link] By Benjamin Pulta January 19, 2024, 12:45 pm


Updated on January 19, 2024, 1:21 pm

3. [Link]

4. [Link]
index-but-score-remains-low/ By Kyle Aristophere T. Atienza, Reporter February 1, 2023 | 12:32 am

5. [Link]

6. [Link]
gad_source=1&gclid=EAIaIQobChMI6ez66tL3iAMVZ18PAh290BC1EAAYASAAEgLa-fD_BwE

7. [Link]

8. [Link] BY: PABLO TARIMAN,


Reporter July 3, 2020

9. [Link]
MANILA, PHILIPPINES (10 NOVEMBER 2023)

10. [Link]
[Link] Manila (Philippines), 29-30 August 2023

11. [Link] By:


Jown Manalo - Reporter / @jownmanaloINQPhilippine Daily Inquirer / 05:34 AM October 11, 2024

Common questions

Powered by AI

Despite the presence of anti-corruption laws, combating corruption in the Philippines is challenging due to several factors: low political will, lack of enforcement, cultural and social norms like the padrino system, and vested interests within political and economic elites. Furthermore, low salaries and high economic disparity increase the temptation for corrupt practices among public officials. Additionally, mechanisms for transparency and accountability are often weak, and there is limited political incentive to implement reforms that could disrupt entrenched power structures .

Strengthening the Right to Information Act in the Philippines can significantly bolster anti-corruption efforts by enhancing transparency and accountability. By mandating public access to government information, it allows citizens, journalists, and watchdog organizations to scrutinize government actions, uncover corrupt activities, and hold officials accountable. This transparency can act as a deterrent to corrupt practices, as increased public oversight makes it more challenging for corrupt activities to remain hidden. Moreover, it empowers citizens to participate more actively in governance, fostering a culture of accountability and openness essential for effective anti-corruption measures .

Integrity Circles are designed to combat corruption at the local government level by enhancing accountability and transparency. Composed of representatives from local government units (LGUs), businesses, and civil society, they foster collaborative efforts to promote ethical governance and monitor anti-corruption initiatives. While these Circles have expanded their reach to 60 LGUs, their effectiveness varies with local context and is contingent on active participation and commitment from all stakeholders involved. Their success is partially dependent on the willingness of the LGUs to implement and adhere to the recommendations made, underscoring the need for genuine political will .

The international community supports anti-corruption initiatives in the Philippines through various means, such as providing technical assistance, promoting transparency measures, and funding initiatives like the United Nations Convention against Corruption (UNCAC). These programs, often funded by foreign governments or international organizations, help enhance local capacities for transparency and accountability, such as training law enforcement in beneficial ownership data collection. Such external support aims to strengthen institutional frameworks and reinforce local efforts against corruption .

Corruption negatively affects the investment climate and business operations in the Philippines by increasing the cost of doing business, creating uncertainty, and deterring both domestic and foreign investors. Businesses often face demands for bribes in exchange for permits and contracts, which increases operational costs and complicates business processes. Moreover, the lack of transparency and unstable regulatory frameworks further discourage investment by creating an unpredictable business environment. This environment is less attractive to potential investors who seek stable and fair conditions for business operations .

The padrino system contributes to corruption in the Philippines by promoting favoritism through family ties (nepotism) or friendships (cronyism), rather than merit-based promotion or appointments. This results in a political structure dominated by familial or allied networks instead of robust political parties, thereby undermining democratic institutions and leading to inefficiency and corruption. The resultant governance systems tend to cater to personal interests over national interests, perpetuating a cycle where political and economic power remains concentrated within certain elite families or alliances, which further obstructs political reform and economic mobility .

Political cronyism, wherein friends or allies are given positions of power irrespective of merit, severely undermines the effectiveness of governance in the Philippines. It leads to a lack of accountability, reduced operational efficiency, and a diminished capacity to implement policies effectively. This kind of nepotism ensures that key positions are filled by those loyal to ruling elites rather than individuals best suited for the roles. Consequently, public trust is eroded, and governance becomes self-serving, focusing on maintaining power through networks of allegiance rather than genuinely addressing public needs .

If corruption persists unchecked, the Philippines could face severe socio-economic consequences, including increased poverty levels due to misallocation of resources, stunted economic growth, and widening inequalities. The pervasive culture of corruption could further incapacitate public institutions, hinder the delivery of essential services, and erode the rule of law. Social trust would decrease, leading to potential unrest and unstable political environments. Prolonged corruption also deters foreign investment, weakening economic potential and hampering job creation, thus leaving the most vulnerable populations without the means to improve their living conditions .

Widespread corruption significantly hampers the attainment of the United Nations Sustainable Development Goals in the Philippines by diverting resources away from essential public services and infrastructure projects that are critical for sustainable development. Corruption undermines efforts toward poverty reduction, quality education, and health improvements, which are fundamental to achieving the SDGs. It results in inefficient use of funds intended for development, causing delays and increased costs for critical projects. As a result, the overall progress towards a sustainable future as envisioned by the SDGs is severely compromised .

Corruption affects economic outcomes by directing public funds away from development and into the hands of a few individuals, leading to inefficient public service delivery, increased costs, and reduced quality of public goods. This exacerbates poverty and income inequality as resources meant for public welfare are diverted for private gain. It also limits economic opportunities for the poor as power remains concentrated among the influential, hindering social mobility and worsening income distribution .

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