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Corruption prevention not on the radar for public sector agencies

Corruption and its prevention is generally not on the radar of Victorian public sector (VPS) agencies, new research has found.

Commissioned by the Independent Broad-based Anti-corruption Commission, Australian National University researchers surveyed 36 randomly selected VPS agencies on how they detect and prevent corruption.

Independent Broad-based Anti-corruption Commission (IBAC) CEO Alistair Maclean said the survey highlighted the need for public sector agencies to review their systems, processes and policies for detecting and preventing corruption.

“Very few agencies had specific processes or strategies in place to prevent corruption, and instead concentrated on financial, audit and fraud risks. This creates vulnerabilities for agencies which could expose them to corruption,” he said.

“Corruption can take many forms, such as abuse of power and misusing information for personal gain, and all ultimately cost the community. Detecting and preventing corruption means having in place strategies which look at these vulnerabilities across all aspects of operations from policy and planning through to service delivery. Without adequate controls in place, agencies can become vulnerable to corrupt individuals and practices.”

The Review of integrity frameworks in Victorian public sector agencies revealed:

  • the controls agencies had in place generally related to fraud and did not focus on corruption specifically
  • there was little evidence of explicit involvement of senior management in managing or overseeing anti-corruption measures
  • few agencies had specific education or training programs for staff about corruption risks
  • across portfolio departments, there was a disconnect around who was responsible for corruption prevention making it easier for individuals to exploit gaps
  • most agencies were aware of their obligations under the Protected Disclosure Act 2012 and had dedicated positions protected disclosures, but the mechanisms for reporting corruption were less clear.

ANU researcher and co-author Kym Kelly said the survey results revealed gaps in risk assessment and corruption prevention frameworks across the Victorian public sector. 

“Strong leadership and management is integral in helping to build a culture that ensures honest behaviour and fair decisions,and encourages staff to speak out if they’re concerned about corrupt activities,” Mr Kelly said.

“In some cases, the research showed gaps in the oversight of corruption prevention measures in agencies. There were examples of portfolio departments and the agencies within them abrogating responsibility for corruption prevention frameworks to each other. 

“If exploited, these weaknesses could result in a waste of taxpayer funds through corruption and a loss of public credibility for the agency and government.” 

The research results will help guide IBAC’s work with the Victorian public sector to prevent corruption.