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Is any Invitation corrupt? Transparency International GGGS-Workshop Cyprus December 1, 2012 www.transparency.org


Overview

 What is Corruption?  Conflicts of interest  Undue Advantages  Cases


What is Corruption? Definition Transparency International:  Corruption is the abuse of entrusted power for private gain. Ethical behavior is more than not committing a criminal offence  Any decision shall be based on objective criteria – not on personal interests/advantages


What is Corruption? henomenon  Bribe payer and bribe taker Two different actions and spheres Difficult to detect and to prove  No obvious victim/damage  No sensibility for harm done by corruption  Peccadillo („Kavaliersdelikt“)


What is Corruption? Phenomenon  Slow development  Step by step into dependence  Be aware of risky behavior  Discussion started but in the 90ies  The Siemens case 2006 and  VIP-Tickets World Cup Germany 2006 as example  Perception of „corrupt behaviour“ has changed  Sport organizations have to take that into account


Conflict of Interest Definition:  Conflict between personal interest (material or immaterial) and interest of the organization  Can happen as well between interest of two different organizations represented by the same person  Can happen quite frequently  Even impression can damage reputation  Decisive: Policy to deal with it – Avoid any mixing of interests


Conflict of Interest Guidelines conflicts of interest  Clear regulation re – Transparency – Information (disclosure to whom?) – Documentation – How to deal with decision making (abstain)

 Avoid any impression of undue influence onto decision-making process


Conflict of Interest Guidelines Conflicts of interest  The decision-making process shall be free from any personal /private interests. Even the impression of mixing personal /private interests of volunteers or paid staff with the interests of the „XXX“ can harm the reputation and shall be avoided.  A potential conflict of interest shall be disclosed towards the respective body or the subordinated body/representative.  If a conflict of interest exists the conflicted person cannot take part in the decision including the discussion beforehand.  The handling of a - potential - conflict of interest has to be documented in the minutes/files.


Conflict of Interest Example FIFA:  Joseph Blatter - FIFA-President  Philippe Blatter (Nephew) - CEO Infront Sports & Media AG  FIFA approves contract on TV-rights with Infront  Conflict of interest?  Who?  What is needed?


Undue Advantages Corruption is not just giving/accepting money to influence a decision but  Any advantage that can influence a decision or  At least give the impression of influencing  Even an advantage without any impact or  An advantage just causing a positive opinion or  Accelerating a decision (where one has a right to)  Establishes corrupt behaviour


Undue Advantages Guidelines undue advantages  Clear regulations re – Gifts and invitations – Discounts and others – Non-material advantages

 Limit of value  Distinguish – Representation – Conflict of Interest


Undue Advantages Guidelines undue Advantages To prevent any undue impact , or even the impression thereof, on decisions within as well as outside of „XXX“ caused by the acceptance or offering of advantages the following shall apply:  Invitations, gifts and other – also non-material – advantages in connection with any function in „XXX“ shall only be accepted or offered in a transparent way.  Any gift of money is prohibited.  Gifts, invitations and any - also non-material - advantages linked to a concrete decision are prohibited.


Undue Advantages Guidelines undue Advantages  Gifts and invitations (except for representative duties) shall not exceed a limit of 35 €/year. Discounts have to be rejected unless all members of „XXX“ can profit from such a discount (for example as part of a cooperation contract with a sponsor).  Any immaterial advantage (for example appointment to a body of „XXX“, awarding of an honorary membership) shall only be granted in a transparent way according to clear internal rules (for example election and appointment regulations) and shall not be linked to decisive functions with high importance for „XXX“ (especially public officials, for example from the municipality)


Any Questions? Thank You!


What is corruption  

Presentation by Sylvia Schenk and Christoph Geissler, Transparency International, at GGGS 2nd Workshop, Cyprus November 2012

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