A Network Perspective and Hidden Corruption

Omoregie Charles Osifo

Abstract


This study examines the hidden aspects of corruption from a network perspective. Through networking, we understand the nature and functioning of hidden corruption, because hidden corruption relates to various acts of corruption that are difficult to observe and prosecute legally. The dimensions to understand hidden corruption are structural and institutional corruption, distorted network, and grey corruption.  Different types of illegal, criminal, or unethical networks are understood through two dimensions (structural and institutional corruption and distorted network) of hidden corruption. Grey corruption is another dimension of hidden corruption, but has no defined network existence. The main types of hidden, unethical and criminal networks that exist around the world are greed-oriented institutional network, old-boy network, and clandestine network. Emphases on digital expertise and reforms targeting attitudinal, cultural, legal, and institutional changes have been identified as ways of addressing the phenomenon of hidden corruption from a contemporary standpoint, because of emerging events/realities.


Full Text:

PDF

References


Abdulhadi, H. (2017). A Profile of the Taliban´s Propaganda Tactics. Huffingtonpost: NY. (Online) Available:

https://www.huffingtonpost.com/abdulhadi-hairan/a-profile-of-the-talibans_b_442857.html (November 2, 2017)

Begley, T. M., Khatri, N., & Tsang, E. W. K. (2010). Networks and Cronyism: A Social Exchange Analysis. Asia Pac J Manag, 27, 281-297. https://doi.org/10.1007/s10490-009-9137-4

Bønsing, S., & Langsted, L. O., (2013). ‟Undue” Gifts for Public Employees: An Administrative and Criminal Law Analysis. European Journal of Criminal Law Analysis, 21, 163-184. https://doi.org/10.1163/15718174-21022025

Caiden, G. E. (2003). The Burden on Our Backs: Corruption in Latin America. VIII Congreso International del CLAD sobre la Reforma del Estado y de la Administraciòn Pŭblica, Panama. (Online) Available:

http://unpan1.un.org/intradoc/groups/public/documents/clad/clad0047701.pd f (October 22, 2017)

Choi, J. (2007). Governance Structure and Administrative Corruption in Japan: An Organizational Network Approach. Public Administration Review, 67(5), 930–942. https://doi.org /10.1111/j.1540-6210.2007.00779.x

Crouch, C. (2016). The Knowledge Corrupters: Hidden Consequences of the Financial Takeover of Public Life. Cambridge: Polity Press

De Graaf, G., & Huberts, L. W. J. C. (2008). Portraying the Nature of Corruption Using an Explorative Case Study Design. Public Administration Review. https://doi.org/10.1111/j.1540-6210.2008.00904.x

Della, P. D., & Vannucci, D. (2012). The Hidden Order of Corruption: An Institutional Approach. Surrey: Ashgate Publishing Limited.

Di Cagno, D., & Sciubba, E. (2010). Trust, Trustworthiness and Social Networks: Playing a Trust Game when Networks are Formed in the Lab. Journal of Economic Behaviour & Organization, 75, 156‒167. https://doi.org/10.1016/j.jebo.2010.04.003

Edevbaro, D. O. (1998). The Political Economy of Corruption and Underdevelopment in Nigeria. Helsinki: Helsingin Yliopistopaino

Eilstrup, S. M., & Jones, C. (2008). Assessing the Dangers of Illicit Networks: Why al-Qaida May Be Less Threatening Than Many Think. International Security, 33(2), 7–44. https://doi.org/10.1162/isec.2008.33.2.7

Eng, T. (2006). An Investigation into the Mediating Role of Cross-Functional Coordination on the Linkage between Organizational Norms and SCM Performance. Industrial Marketing Management, 35, 762‒773. https://doi.org/10.1016/j.indmarman.2005.05.014

English, W. (2013). Institutional Corruption and the Crisis of Liberal Democracy. Edmond J. S. Working Papers, 15. http://dx.doi.org/10.2139/ssrn.2281305

European Police Office. (2017). Serious and Organized Crime Threat Assessment: Crime in the Age of Technology. (Online) Available: https://www.europol.europa.eu (May 2, 2017)

Gagne, D. (2015). The Evolution of Criminal Influence in Colombia´s Local Elections. Insight Crime. (Online) Available: https://www.insightcrime.org/news/analysis/the-evolution-of-criminal-influence-in-colombia-s-local-elections/ (May 30, 2017)

Gamba, M., & Kleiner B. H. (2001). The Boys´ Network Today. International Journal of Sociology and Social Policy, 21(8/9/10), 101-107. https://doi.org/10.1108/01443330110789853

Gelfand, M., Beng, C. J., & Raver, J. L. (2004). Culture and Accountability in Organizations: Variations in Forms of Social Control across Cultures. Human Resources Management Review, 14, 135‒160. https://doi.org/10.1016/j.hrmr.2004.02.007

Gessen, M. (2014). The Myths of the Russian Oligarchs. The New York Times. (Online) Available: https://www.nytimes.com/2014/12/11/opinion/masha-gessen-the-myth-of-the-russian-oligarchs.html (March 1, 2017)

Gorta, A. (2016). Corruption Risk Areas and Corruption Resistance. In C. Sampford, A. Shacklock, C. Connors, & F. Galtung (Eds.) Measuring Corruption, (pp. 203-219). Burlinton: Ashgate

Granvovetter, M. S. (1973). The Strength of Weak Ties. American Journal of Sociology, 78(6), 1360-1380. https://doi.org/10.1086/225469

Greene, F., & Mole, K. (2006). Defining and Measuring the Small Business, in Enterprises and Small Business: Principles, Practice and Policy. England: Pearson Education

Heald, T. (1983). Networks: Who We Know and How We Use Them. London: Hodder & Stoughton.

Hossain, L., & Wu, A. (2009). Communication Network Centrality Correlates to Organizational Coordination. International Journal of Project Management, 27, 795‒811. https://doi.org/10.1016/j.ijproman.2009.02.003

Hyyryläinen, E. (2010). Approaching Ethics and Integrity in Public Administration and Management Research from a Citizen View. In A. Salminen (Ed.) Ethical Governance: A Citizen Perspective, 1-14. Public Management 39. University of Vaasa: Publication Unit.

International Peace Academy. (2001). The Economics of War: The Intersection of Need, Greed and Greed. A Conference Report, Woodrow Wilson International Centre for Scholars. (Online) Available: https://www.ipinst.org/wp-content/uploads/publications/econofwar.pdf (March 22, 2017)

Khan, M. M. (1989). Resistance to Administrative Reform in Bangladesh, 1972-1987. Public Administration and Development, 9(3), 301-314. https://doi.org/10.1002/pad.4230090306

Kingston, C. (2008). Social Structure and Culture of Corruption. Journal of Economic Behavior and Organization, 67(1). https://doi.org/10.1016/j.jebo.2007.06.001

Klijn, E. H., Sierra, V., Ysa, T., Berman, E., Edelenbos, J., & Chen, D. Y. (2016). The Influence of Trust on Network Performance in Taiwan, Spain, and the Netherlands. International Public Management Journal, 29(1), 111-139. https://doi.org/10.1080/10967494.2015.1115790

Kranckhardt, D., & Hanson, J. (1993). Informal Networks: The Company behind the Chart. Harvard Business Review, 104-111

Lehtimäki, H. (1996). Coordination through Social Networks. University of Tampere, Series A1, Studies 43.

Light, D. W. (2013). Strengthening the Theory of Institutional Corruption: Broadening, Clarifying, and Measuring. Edmond J. S. Working Papers, 2. https://doi.org/10.2139/ssrn.2236391

McCormick, G. H., & Owen, G. (2000). Security and Coordination in Clandestine Organization. Mathematical and Computer Modelling, 31(6-7). https://doi.org/10.1016/S0895-7177(00)00050-9

Ministry of Justice. (2009). Corruption and the Prevention of Corruption in Finland. Keili: Vantaa.

Mooney, S. (2008). The Demise of the `Good Old Boy Network´ in Australia and New Zealand Hotels: Facts or Fiction?. CAUTHE 2008 Conference.

Mosher, F. C. (1974). Watergate: Implications for Responsible Government. In J. M. Shafritz, Hyde, A. C., & Parkes, S. J. (Eds.) Classics of Public Administration, (pp. 343–349). Belmont: Wadsworth, a Division of Thomson Learning, Inc.

Mulinge, M. M., & Lesetedi, G. N. (2002). Corruption in Africa: Towards a more Holistic approach. Africa Journal of Political Science, 7(1), 52–74. https://doi.org/10.4314/ajps.v7i1.27324

Mullen, J. (2016). Panama Papers: Rich and Powerful Respond to Claims They Hid Billions Offshore. CNN Money. (Online) Available: http://money.cnn.com/2016/04/04/news/panama-papers-offshore-accounts-investigation/index.html (March 22, 2017)

OECD. (1995). Governance in Transition: Public Management Reforms in OECD Countries. Paris: Publication Unit

OECD. (1999). Italy. In: Public Sector Corruption: An International Survey of Prevention Measures, 62-74. Paris: Publication Unit

Ogrean, C. (2007). From Business Corruption to Business Ethics: New Challenges for the Competitive Strategy of the Firm. Studies in Business and Economics, 49-64

Osifo, O. C. (2012). The Effects of Ethical Governance on Public Trust: A Comparative Analysis of Anti-corruption Policies and Procedures in Nigeria, Ghana, and Cameroon. Finland: Acta Wasaensia 270, Public Management 17, Ph.D. Dissertation, University of Vaasa.

Osifo, O. C. (2013). The Effects of Coordination on Organizational Performance: An Intra and Inter Perspective. Asian Journal of Business and Management, 01(04).

Paul, A. T. (2008). Reciprocity and Statehood in Africa: From Clientelism to Cleptocracy. International Review of Economics, 55(209). https://doi.org/10.1007/s12232-007-0034-1

Põlajeva, T. (2011). Structural Corruption and Its Influence on the Business Environment. Economic and Management, 16.

Preston, H. (2012). The Vatican Leaks Scandal Rumbles On. Top Secrete Writers. (Online) Available: http://www.topsecretwriters.com/2012/07/the-vatican-leaks-scandal-rumbles-on/ (May 7, 2017)

Raitano, M., & Fantozzi, R. (2015). Political Cycle and Reported Labour Incomes in Italy: Quasi-Experimental Evidence on Tax Evasion. European Journal of Political Economy, 39, 269-280. https://doi.org/10.1016/j.ejpoleco.2015.07.001

Rand, S., & Bierema, L. (2009). Exploring the Nature of the “Old Boy´s Network” in the United States: Using Electronic Networks of Practice to Understand Gendered Issues in HRD. Meeting of the University Forum for Human Resource Development: England

Riordan, W. L. (2007). Honest Graft and Dishonest Graft. In W. L. Richter & F. Burke (Eds.) Combating Corruption, Encouraging Ethics: A Practical Guide to Management Ethics Lanham, (p. 89). Maryland: Rowman & Littlefield Publishers.

Rose, A. S. (1999). Corruption and Government: Causes, Consequences, and Reform. Cambridge: Cambridge University Press. https://doi.org/10.1017/CBO9781139175098

Salminen, A. (2013). Control of Corruption: Case of Finland. In Jon Quah (Ed.) Different Paths to Curbing Corruption: Denmark, Finland, Hong Kong, New Zealand and Singapore, 57-77. Research in Public Policy Analysis and Management, 23. United Kingdom: Emerald Group Publishing. https://doi.org/10.1108/S0732-1317(2013)0000023003

Salminen, A., & Mäntysalo, V. (2012). Old-boy Networks and Administrative Corruption: Case of External Election Finance in Finland. Paper presented in European Group of Public Administration Annual Conference: Bergen

Salter, M. S. (2010). Lawful but Corrupt: Gaming and the Problem of Institutional Corruption in the Private Sector. Working Paper 11-060, Harvard Business School. https://doi.org/10.2139/ssrn.1726004

Scott, J. C. (1972). Comparative Political Corruption. Englewood New Jersey: Princeton Hall, Inc.

Shaw, E. (2009). The Consumer and New Labour: The Consumer as King. In M. Powel, S. Doheny, & Greener, I. (Eds.) The Consumer in Public Service: Choice, Values, and Difference, (pp. 19‒38). Bristol: The Policy Press, University of Bristol. https://doi.org/10.1332/policypress/9781847421814.003.0002

Sun, Y. (2004). Corruption and Market in Contemporary China. Cornell University Press: New York.

Taylor, C. R. (2000). The Old-Boy Network and the Young-Gun Effect. International Economic Review, 41(4). https://doi.org/10.1111/1468-2354.00088

Thompson, D. F. (1995). Ethics in Congress: From Individual to Institutional Corruption. Washington D.C.: Brookings Institutional Press.

Tickner, P. (2015). Fraud and Corruption in Public Services. Surrey: Gower Publishing Limited

Tidström, A. (2014). Managing Tensions in Coopetition. Industrial Marketing Management, 43, 261–271. https://doi.org/10.1016/j.indmarman.2013.12.001

Transcrime. (2017). Executive Summary: The Italian Business Crime Survey Rationale. Universita Caltolica del Sacro Cuore. Milano. (Online) Available: http://www.transcrime.it/wp-content/uploads/2014/02/Executive-summary-Report-16.pdf (August 26, 2017)

Transparency International. (2017). Who Doesn´t Know the Cayman Islands is a Great Place to Hide Money? The Cayman Islands. (Online) Available: https://www.transparency.org/news/feature/who_doesnt_know_the_cayman_islands_is_a_great_place_to_hide_money_the_cayma (June 1, 2017)

Tzoumas, V., Amanatidis, C., & Markakis, E. (2012). A Game-Theoretic Analysis of a Competitive Diffusion Process over Social Networks. In P. W. Goldberg (Ed.) Internet and Network Economics, 1‒14. Springer: London. https://doi.org/10.1007/978-3-642-35311-6_1

Ulrike, S. (1985). The `Old Boy´ Network and Government-Business Relationship in Japan. The Journal of Japanese Studies, 21(2), 293-317. https://doi.org/10.2307/133010

University of Cambridge. (2017). Clandestine Networks: How Dangerous are They?. University of Cambridge Research. (Online) Available: http://www.cam.ac.uk/research/news/clandestine-networks-how-dangerous-are-they (April 15, 2017)

Wedeman, A. (1997). Looters, Rent-scrappers, and Dividend-Collectors: Corruption and Growth in Zaire, South Korea, and the Philippines. Journal of Developing Area, 31(4), 457-478

Zain, M., & Ng, S. I. (2006). The Impacts of Network Relationships on SMEs Internationalization Process. Thunderbird International Business Review, 48(2), 183–205. https://doi.org/10.1002/tie.20092

Zimring, F., & Johnson, D. (2005). On the Comparative Study of Corruption. Br J Criminol, 45(6), 793-809. https://doi.org/10.1093/bjc/azi042




DOI: https://doi.org/10.5296/jpag.v8i1.12697

Copyright (c) 2018 O. C. Osifo

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

Journal of Public Administration and Governance  ISSN 2161-7104

Email: jpag@macrothink.org

Copyright © Macrothink Institute

To make sure that you can receive messages from us, please add the 'macrothink.org' domain to your e-mail 'safe list'. If you do not receive e-mail in your 'inbox', check your 'bulk mail' or 'junk mail' folders. 

------------------------------------------------------------------------------------------------------------------------------------------------------