Killing corruption to aid nation
Killing corruption to aid nation
The allegation of corruption in the Ministry of Transportation has made recent headlines. Law expert Charles Himawan looks at the issue from a broader perspective.
JAKARTA (JP): Cynical observers have described Indonesia's progress as "development with an envelope", stuffed with money, or "devlope", short for development hand in hand with corruption.
In an unprecedented move, President Soeharto recently called on the Minister of Transportation to be introspective. This most refined reproach was made in the wake of a leaked report that the minister has amassed a mountain of wealth in the past year from 392 violations involving 18 state enterprises.
This means more than one violation, a euphemism for corruption, per day. Much like a staple food, the "violations" were a daily necessity. A proper investigation in accordance with Indonesia's constitution is currently underway, but corruption is always difficult to prove.
In the first place, few subordinates are willing to point the finger at a government official on the take, especially those whose livelihood is at stake. Leaders of the business community must eradicate this type of "devlope", where hidden costs are simply passed on to the consumer. This is only possible if they base their decision making process on the 1945 Constitution, which aims for a clean government. Labor unions must also strive to eradicate "devlope". This will make it possible for employers to transfer the invisible costs of corruption to the visible costs of higher salaries.
Secondly, all accusations must be supported by evidence. Minister Moerdiono rightly warns us to uphold the principle of "innocent until proven guilty" in our quest for a clean government.
Most are reluctant to take legal action in the face of corruption due to little legal certainty. Perhaps this reluctance could be minimized if the judiciary had the reputation of the judicial system in Singapore, which is ranked first among ASEAN countries in terms of legal satisfaction. Failing this, Malaysia's judiciary system, which is ranked second -- though perhaps unjustifiably -- could also be used as an example.
Employers and employees must make their demands for a clean government. If they do not, they will continue to face unreasonably high production costs and unreasonably low labor wages. Higher wages will help stimulate workers to be more efficient, making the goods produced more competitive on the market.
A clean government will have a direct effect on Indonesia's success within the Asia Pacific Economic Cooperation business environment. The President has already restructured the cabinet by combining the ministries of trade and industry into one ministry, a model similar to the Japanese ministry of trade and industry, or MITI. Less bureaucracy means less possibility of corruption.
Indonesia's export performance, a possible indicator of a nation's prosperity, in the last two decades may be a cause for concern, especially compared to Malaysia and Thailand. In 1985, Indonesia's export revenues amounted to US$18.5 billion compared to Malaysia's $15.4 billion and Thailand's $7.1 billion. In 1995 the two neighboring countries are far ahead of Indonesia's $40.1 billion, particularly Malaysia ($65.2 billion).
Eradicating violations in the export sector would allow the judiciary to prove itself, its ability and its commitment to a clean government. The Supreme Court has already started in the right direction in the case of Tamin Sukardi.
For, as the Austrian satirist Karl Kraus (1874--1936) once said, "Corruption is worse than prostitution. The latter might endanger the morals of an individual, but the former invariably endanger the morals of an entire country."
The writer is a professor of law and economics at the University of Indonesia and a member of the National Commission on Human Rights.