
Transparency and opacity in the capitalist logic of anti-corruption

introduction
The traditional notion of corruption as decadence and destruction, as something out of place, has been shared by political thinkers of all kinds, from Aristotle to Machiavelli2. Currently, the academic literature on this issue is extensive3. Authors such as Lee & Oh (2007) define it as “the abuse of a position or the resources associated with it by officials for private profit, either through bribery, nepotism4, obtaining or arbitrarily granting advantages political or economic, influence peddling, or the illegal financing of parties or electoral campaigns, among other methods5». At the international level, efforts have been multiplied to adopt binding treaties and conventions (such as the one on Laundering, Detection, Apprehension and Confiscation of the Proceeds of Organized Crime of 1990, although not only6) that define the criteria on which to base the unlawful nature of these activities, obliging each signatory State to typify it in their respective Penal Codes according to standards and values that seek to be universally accepted78.
II. How does Marxism understand corruption?
Its effects, according to Busuncian (2018), range from the loss of legitimacy of governments, credibility of institutions, and efficiency of the administration, to the threat to the democratic system, national security (certainly, clear links have been found between the corruption and organized crime, the internal destabilizing factor par excellence), and general welfare (at least insofar as there is no equitable distribution of wealth, which means that trillions of euros often end up in the hands of a minority at the expense of the majority), which is why it is considered that the level of social exclusion that it stimulates would not have been reached in other circumstances, constituting, therefore, a serious violation of human rights9. This narrative has made it possible to establish a clear differentiation between what kind of private interests can be considered normal/legitimate or pathological/corrupt in the political and economic spheres, ultimately contributing to normalize the omnipresence of all those agreements, instruments, and measures that are convenient for the capitalist class as long as they are done following a series of procedures or formalities previously prescribed by it.
According to Bratsis (2014), Marxist theory can help us understand the ideological biases that the supposedly impartial and neutral mechanisms of the bourgeois State entail when conceiving and regulating the fight against corruption in our societies10. If it has become a key issue for the international community11 in recent years, it is precisely due to the insistence of transnational capital to reduce the costs of its transactions and calculate more accurately the benefits that can be derived from certain investments, very line with Max Weber's concept regarding forms of government that alludes to instrumental rationality, basic to achieve a consistent, intelligible and predictable application and interpretation of the law, devoid of informalities and potential confusion12. Simultaneously, the aim is to increase the autonomy of state bureaucracies with respect to national interests and their local elites, in order to act against the will of the people, on the one hand, and the wishes of domestic capitalists, on the other, but always in favor of their particular class interests, although for this they must also use, as a reinforcing complement, the resort to police violence, austerity plans, the threat of economic sanctions, and legal battles. In any case, according to this author, this phenomenon is perfectly illustrated by the rise of the European Union and its role as decision-maker of the most relevant fiscal and monetary policies, now outside the direct control of any democratically elected representative in each one. of the member countries; hence, for example, the gradual privatization of most public companies or the massive elimination of agricultural subsidies13. This would be achieving, no more and no less, that the initiatives that may affect transnational capital are much more predictable and transparent for foreign companies, while the barriers prior to the globalization process are collapsing at a faster rate.
On the other hand, thanks to this fixation on corruption, it is possible to offer an interpretation of global inequalities in terms of development that does not challenge the current imperialist order at all, by framing them as the natural product of the relative inferiority of ethical standards and frameworks. political or legal characteristics of certain regions, thus serving as a justification for the normative supremacy enjoyed by the advanced countries of the northern hemisphere. Thus, we know that, since the founding of Transparency International in 1993, there have been several anti-corruption campaigns led by USAID, the World Bank14, the UN, the OECD, the IMF, and the Open Society Foundations, among other institutions15, which have problematized it fundamentally in its bureaucratic aspect, judging that this would only constitute a deviation from the principle of indifference —whose absence in countries such as the People's Republic of China, Venezuela, or Vietnam seems to be equivalent in their eyes to a potential volatility that prevents achieving the expected rationality by transnational capital, being that in the so-called clientelism and populism, for example, institutional mediations practically disappear, since the bond between the decision-makers of the policies and those affected by them are much closer16— in the application of the law and the policies by officials (for example, the police or tax inspectors) closest to the c citizenship) because of bribes and personal connections. On the other hand, political corruption would concern above all the process of elaborating public policies, generally far from the life of the common citizen, since those involved usually run into few limitations17 as it is practically impossible to subject private motivations and interests to any control. (which often include those of the institutions cited above) that affect or underlie it18.
In the era of globalization, the bourgeoisie has set out to reassert its hegemony by taking moral and intellectual leadership by popularizing a particular conception of corruption (that is, as opacity) and trying to modify the various forms of corruption to its liking. of State around the world under the pretext of protecting the public interests of the majority. However, as we can see, the ideal of transparency is not directed at citizens —who generally only have the information provided by the corporate media—, but rather at businessmen in inter-capitalist competition19. In fact, interest in fighting this scourge initially arose as a result of complaints from US politicians and exporters who did not consider it fair to compete with OECD countries in a position of advantage due to the existing legal vacuum regarding bribes to foreign officials. and its tax relief. It is no coincidence, on the other hand, that there are studies on this problem aimed at examining the degrees of arbitrariness and prevalence of corruption in certain countries with the ultimate goal of giving those who head private businesses a clearer idea of the real possibility of encountering a request for a bribe, first, and receiving the preferential treatment promised at the beginning of the transaction, later, because it is only from such uncertainty that real losses can derive. Thus, the more ubiquitous —and, therefore, visible— corruption is, the easier it will be to identify it and decide in advance whether it is worth actively incurring in illicit conduct in order to catch up with said competition. As we will see later when we examine the case of South Korea, the plurality of actors with discretionary power is always associated with greater ambiguity regarding the nature of the results and costs that may derive from these bribes, at least to the extent that an official could inadvertently raise the price of favored treatment or even be uncoordinated with other corrupt government agents and lack sufficient authority to make certain decisions in a given area21.
Although we plan to address this issue in greater detail in the following sections, it is convenient to point out that from the Marxist analysis the importance of the transnationalization of work and capital is repaired as a necessary condition of the process of reproduction of the exploitation typical of the present mode of production, being imperialism, in the opinion of Bratsis (2014), consubstantial to the modern nation to the extent that the formal separation of the political and economic struggles that characterizes the autonomous bourgeois State must materialize in all the societies integrated in the circuit. international capital (now characterized by its superior scale and speed)22. Thus, the homogenization of political and legal forms throughout the world, beyond regional or local particularities, together with the strengthening of institutional capacities (especially judicial ones), would help guarantee the effectiveness of the principle of indifference to individual interests to which we alluded, this being an essential requirement to maintain the mechanisms and relations of domination of one class over another at a global level23. Be that as it may, from these campaigns it is often argued that the main reason why we must fight corruption is identified with the optimization of the material conditions of the most vulnerable and impoverished territories. Official reports insist on the idea that this phenomenon is an impediment to economic development, hence, for example, the political turmoil in Western Asia, the humanitarian failure in countries like Haiti, and other crises in whose genesis it denies convenience the crucial role of Western imperialism. Such a point of view, representing nothing more than a conceptual tool of ideological manipulation, fails miserably when it comes to explaining the real causes of North-South inequality, since it pretends to imply that, in reality, this is only part of a deficiency of character or nature of those disadvantaged peoples. Your arguments? They are not entirely civilized, they lack self-control, they are incapable of defer short-term gains, its rules or institutions are not rational enough…25 The goal here is to push the narrative that since the market can do anything, it is counterproductive to try to steer it in any way; poverty is nothing but a direct result of the lack of faith in the miraculous nature of liberalization by the ruling heretics of the third world. The main weakness of this approach, however, is that it ignores the fact that high rates of private profit are not usually accompanied by social prosperity, rather the opposite; the faster a country heads towards ruin, the greater the profits made by the capitalist class. In the words of Bratsis (2014):
[It is absurd] that anyone should try to answer such questions today without taking into account the history of colonial wars and imperial power (or, to use Rosa Luxemburg's term, "accumulation by dispossession"), or current patterns of property ownership. of natural resources […], as if poverty in resource-rich countries had nothing to do with the use of military power, fraud, and the oppression exerted by the states of the capitalist epicenter26.
An example of this same exercise in neoliberal myopia can be found in the debt crisis in Greece, which, despite having affected a wide range of countries at the same time (each with its respective corruption index), its causes were blamed to what some perceived as a corrupt, hedonistic, lazy and undisciplined culture of southerners, apparently endowed with overly generous salaries and pensions and excessive public spending27 (reasoning that reminds others of Russia's communist past, Russia's corporatist heritage Latin America, or the tradition of a strong and interventionist state in Turkey28). Again, similar approaches prevent us from understanding the structural and systemic causes that led to such a disaster, since their intention is none other than to justify the intervention of external control instances in a threat of subtracting agency from certain countries by virtue of their alleged vices. undemocratic29, when concrete advances are not required in the structural reforms imposed in exchange for financial aid (donations, foreign investments...) to avoid obtaining the —clearly unfair— status of a kleptocratic regime30. If we take into account that the average Corruption Perceptions Index (CPI) in 69% of the 176 countries analyzed was less than 50 on a scale of 0 (very corrupt) to 100 (not at all corrupt), and that, In general, the application of external monitoring and verification mechanisms is proposed as a solution to this problem - since, apparently, the possibility that observers is not trusted independent nationals without any affiliation can investigate impartially and without fear of reprisal31—it should not be too difficult to reach an accurate conclusion about the main beneficiaries of the design and implementation of such a system32.
III. The case of South Korea
The truth is that we know of multiple cases of societies (such as those that were affected by the 1997 financial crisis) in which either the impact of corruption on the economy has been relatively insignificant as shown by the empirical data collected33 (despite from which this argument continues to be used to imply that it is only by virtue of a deviation from the correct implementation of the IMF's neoliberal recipes that the markets are exposed to great risks, thus avoiding any criticism34), or else it has been possible to perfectly reconcile vitiated practices that, considered in some cases as lubricants of the system35, bring immediate benefits to immoral individuals or corporations, and economic development36. For example, the Democratic Republican Party of South Korea, under the extreme right-wing regime of Park Chung-Hee, demanded (to the point of acquiring semi-tax status, since non-payment brought dire consequences) donations of all kinds. of companies (including large conglomerates or chaebols) in exchange for licenses to import products (in a context in which the primary objective was export-oriented industrialization), low-interest loans, and other favors, in order to amass wealth and dedicating a small part to gaining local popularity, for example by paying for the formation of community organizations (which, like the New Village Movement, were engaged in embezzlement) and the celebration of various festivities. However, with the establishment of liberal democracy, corruption is decentralized and, if before building a factory required a large envelope full of money, now it cost more than a hundred; In addition, as political competition multiplied, the costs associated with bribery also increased. Without going any further, the founder of Hyundai, Chung Jo-Yung, revealed in 1992 that during the third republic he had to pay around one trillion won annually, five trillion towards the fifth, and ten during the sixth; It goes without saying that, although the regulation concerning corporate management stood out for its copious volume at that stage, the tycoons rarely complied with it, since they always had the option of financing their impunity indefinitely37.
IV. Structural adjustment reforms and underdevelopment of the Global South
In the cases in which we can attribute the causes of underdevelopment in the global South to corruption, we know that it is a natural correlate of the bureaucratic apparatus and the intensification of world trade put in place at the behest and in favor of the West, in general. , and the structural adjustment reforms promoted by the IMF38, in particular, among other factors. Said policies, which imply the granting of loans in times of crisis subject to a series of conditions and terms39, have opted since the 1990s to force the limitation of the scope and importance of the States, either through fiscal austerity, economic deregulation (often under the false pretext that the higher the public spending, more opportunities for civil servants to abuse the prerogatives inherent to positions with discretion to sign procurement contracts and authorize or inspect activities subject to the legal system, in addition to engaging in rent-seeking behavior), the repeal of laws related to the collection of taxes or the pension system, and the privatization of public resources and assets, also eliminating tariffs and restrictions imposed on the importation of products and the introduction of foreign banking entities, as well as subsidies for strategic industries, any type of useful measure to protect domestic producers from international competition, and the possibility of providing state services at prices not subject to the logic of supply and demand. Of course, all of this operates to the detriment of both civil society and certain interest groups (for example, the business sector, the army, or the public administration), who, witnessing a decrease in their labor remuneration or the threat to their benefits or privileges, they may seek other ways to preserve the material conditions they previously enjoyed, in a context where the State has fewer powers to detect illegal practices within itself. Reinsberg et al. (2021) put it this way:
In short, the structural conditions attached to IMF loans provide incentives for key economic, bureaucratic, and political actors to be more corrupt. First, some companies fear losing protection. Given that they have previously invested in the regulated sector (and moving to other sectors is often expensive), they are willing to pay to maintain this situation. Second, public officials with some discretion over implementing the reforms will be more susceptible to bribery because, while the conditions that require cuts in wages, pensions, and social security also put their own privileges at risk, such Exchanges can serve to selectively delay the application of certain adjustments or to design new mechanisms for redistributing income to the active subjects of each transaction. Third, governments find greater incentives to tolerate corruption insofar as their own political survival depends on the support of key groups, such as business sectors or even other public sector employees.
At the regional level, these structural adjustment programs result in a general precariousness of labor relations, by contemplating the validity of contracts that infringe the collective rights of workers by facilitating dismissals and including excessively flexible and, therefore, abusive clauses, in addition to enable greater commodification of essential elements of life in society and even survival, such as land, health, education, drinking water, etc.40 Another consequence would be the inequitable distribution of wealth and the buying and selling of companies — previously public—in auctions where local actors are totally unable to compete with transnational entities41. In short, the Eurocentric anti-corruption agenda does nothing but reproduce pre-existing power relations and inequalities, preventing the countries of the periphery from finding a solution to said problem that is suited to their particular circumstances and forcing them to assume general standards and frameworks whose definition, neither their political representatives nor the institutions that emerged from their respective civil societies have participated. The West, as usual, believes it is several steps ahead of the rest of the world, unilaterally depriving developing countries of the opportunity to determine the contours of their political authority, on the one hand, and the distinctions between public and private interests that more are adjusted to their contexts, on the other, under the pretext that globalization requires a certain degree of harmonization of regulations in all continents, without the majority of liberals even having the idea that the order Capitalism is inherently corrupt, anti-democratic, and has traditionally depended on non-economic forms of appropriation of surplus value such as the legalization of genocide, looting, and military incursions disguised as humanitarian interventions or the fight against terrorism, as the case may be42.
V. Conclusions
As we have seen, the goals of the fight against corruption are not as noble as they might seem at first glance. In addition to the myths that we have tried to dismantle, we can add that, in practice, this crusade against opacity serves, if anything, to promote illusion —now that it is impossible to ignore the magnitude of the problem in the countries of the Global North, whose political model has enjoyed unparalleled prestige in the history of civilizations, given the absolute idealization of the modernization process that should be exported to the rest of the world or, at least, be imitated by all—that a few politicians and greedy and corrupt businessmen (the exception) are truly responsible for the cyclical crises of the capitalist system43, instead of attributing its causes to the contradictions that are inherent to it, as happened in 2008 with the bankruptcy of the Yankee financial institutions, which led to a disaster that our generation knows all too well. On the other hand, despite the alleged apolitical nature of this cause, some of its most recent applications range from the justification of violations of international criminal law (eternally at the service of the elites) instrumentalized against the enemies of the US ( whose main terrorist organization —that is, the CIA— acts as if it had jurisdiction over all of humanity) after launching false accusations of money laundering, drug trafficking, and other serious crimes (as has happened in the case of the diplomat Alex Saab, kidnapped in Cape Verde by order of the North American regime), to the systematic destruction and looting of entire countries (see Iraq and the back-door justice applied to Saddam Hussein, for example). In short, it is essential to emphasize the need to create a broader definition of corruption, which is oriented towards social and labor justice and assumes the class struggle as the main axis, recognizing the exploitative and parasitic nature of capitalist production relations, without worrying only about formally legitimizing the anti-worker, patriarchal, and imperialist measures imposed by the bourgeoisie in pursuit of a pro-neoliberal hegemonic normality44.
Footnotes
¹ Bratsis, P. (2014). Political corruption in the age of transnational capitalism: from the relative autonomy of the state to the White Man's Burden. Historical Materialism, 22(1), p. 124.
² Bratsis, P. (2014), op. cit., p. 107.
³ In fact, a quick Google Scholar search returns 734,000 results in 0.03 seconds.
⁴ Lee, SH, & Oh, KK (2007). Corruption in Asia: Pervasiveness and arbitrariness. Asia Pacific Journal of Management, 24(1), p. 99.
⁵ Busuncian, T. (2018). Corruption–a major threat to national and international security. Eastern Europe Regional Studies, 3(3), p. one.
⁶ In addition to the United Nations Convention against Corruption, done in New York on October 31, 2003, the United Nations Convention against Transnational Organized Crime, done in New York on November 15, 2000, the Convention on the United Nations Against Transnational Organized Crime, done in New York on November 15, 2000, the OECD Convention for Combating Bribery of Foreign Public Officials in International Business Transactions, done in Paris on December 17, 1997, the Council of Europe Criminal Law Convention on Corruption (Convention number 173 of the Council of Europe), done in Strasbourg on January 27, 1999, the Additional Protocol to the Council of Europe Criminal Law Convention on Corruption, done in Strasbourg on May 15, 2003, and the Council of Europe Civil Convention on Corruption (Convention number 174 of the Council of Europe), done in Strasbourg on November 4, 1 999. Source: International conventions | Anti-Fraud Office of Catalonia
⁷ Drozd, V., Chornous, Y., & Havryliuk, L. (2021). Cooperation in Countering Corruption as a Condition for National Security: International Legal Framework. In International Conference on Business, Accounting, Management, Banking, Economic Security and Legal Regulation Research (BAMBEL 2021) (pp. 160-165). Atlantis Press, pp. 161-162.
⁸ To learn more about international cooperation in this regard, we recommend reading the aforementioned article.
⁹ Busuncian, T. (2018), op. cit., p. 1-2.
¹⁰ Bratsis, P. (2014), op. cit., p. 106.
¹¹ Bratsis, P. (2014), op. cit., p. 107.
¹² Bratsis, P. (2014), op. cit., p. 112-113.
¹³ Bratsis, P. (2014), op. cit., p. 115-116.
¹⁴ Bratsis, P. (2014), op. cit., p. 108.
¹⁵ Bratsis, P. (2014), op. cit., p. 109.
¹⁶ Bratsis, P. (2014), op. cit., p. 115-116.
¹⁷ Bratsis, P. (2014), op. cit., p. 110.
¹⁸ Bratsis, P. (2014), op. cit., p. 111.
¹⁹ Bratsis, P. (2014), op. cit., p. 114.
²⁰ Bedirhanoğlu, P. (2016). Corruption of anti-corruption: Deconstructing neoliberal good governance. New rules for global justice: Structural redistribution in the global political economy, p. 60.
²¹ Lee, SH, & Oh, KK (2007), op. cit., p. 99-100.
²² Bratsis, P. (2014), op. cit., p. 116.
²³ Bratsis, P. (2014), op. cit., p. 117.
²⁴ Bratsis, P. (2014), op. cit., p. 118-119.
²⁵ Bratsis, P. (2014), op. cit., p. 120.
²⁶ Bratsis, P. (2014), op. cit., p. 122.
²⁷ Bratsis, P. (2014), op. cit., p. 123.
²⁸ Bedirhanoğlu, P. (2016), op. cit., p. 62.
²⁹ Bratsis, P. (2014), op. cit., p. 124.
³⁰ Wescott, C. (2003). Combating Corruption in Southeast Asia. Fighting corruption in Asia: Causes, effects and remedies, p. 237.
³¹Quah, JS (2018). Combating Corruption in Asian Countries: Learning from Success & Failure. Daedalus, 147(3), p. 212.
³²Busuncian, T. (2018), op. cit., p. two.
³³Huang, CJ (2016). Is corruption bad for economic growth? Evidence from Asia-Pacific countries. The North American Journal of Economics and Finance, 35, p. 255.
³⁴ Bedirhanoğlu, P. (2016), op. cit., p. 61.
³⁵ Wescott, C. (2003), op. cit., p. 238.
³⁶ Lee, SH, & Oh, KK (2007), op. cit., p. 97-98.
³⁷ Campbell, N., & Saha, S. (2013). Corruption, democracy and Asia-Pacific countries. Journal of the Asia Pacific Economy, 18(2), p. 292-294.
³⁸ As shown by the experience of Carlos Menem in Argentina, Fernando Collor de Mello in Brazil, Carlos Andrés Pérez Rodríguez in Venezuela, Turgut Özal in Turkey, and Boris Yeltsin in Russia.
³⁹ Reinsberg, B., Kentikelenis, A., & Stubbs, T. (2021), “Once countries have entered IMF programs, why couldn't public officials simply choose to block or delay implementation? of reforms that would harm their well-being, instead of resorting to risky bribes? The explanation here relates to the iterative nature of IMF loans: they are not one-off deals, but involve staggered disbursements of loan tranches. This means that when implementation stops, the IMF refuses to approve tranche transfers, which also has further implications for economic activity and the government's reputation. In these circumstances, corruption, at least among some actors, could be tolerated by governments that wish to maintain the support of some key sectors, such as companies or public officials. Creating crony capitalism: neoliberal globalization and the fueling of corruption. Socio-Economic Review, 19(2), p. 613.
⁴⁰ Bedirhanoğlu, P. (2016), op. cit., p. 69.
⁴¹ Reinsberg, B., Kentikelenis, A., & Stubbs, T. (2021), op. cit., p. 608-612.
⁴² Bedirhanoğlu, P. (2016), op. cit., p. 57-60.
⁴³ Bedirhanoğlu, P. (2016), op. cit., p. 62.
⁴⁴ Bedirhanoğlu, P. (2016), op. cit., p. 65-66.
Bibliographic references
Bedirhanoglu, P. (2016). Corruption of anti-corruption: Deconstructing neoliberal good governance. New rules for global justice: Structural redistribution in the global political economy, 57-70.
Bratsis, P. (2014). Political corruption in the age of transnational capitalism: from the relative autonomy of the state to the White Man's Burden. Historical Materialism, 22(1), 105-128.
Busuncian, T. (2018). Corruption–a major threat to national and international security. Eastern Europe Regional Studies, 3(3).
Campbell, N., & Saha, S. (2013). Corruption, democracy and Asia-Pacific countries. Journal of the Asia Pacific Economy, 18(2), 290-303.
Drozd, V., Chornous, Y., & Havryliuk, L. (2021). Cooperation in Countering Corruption as a Condition for National Security: International Legal Framework. In International Conference on Business, Accounting, Management, Banking, Economic Security and Legal Regulation Research (BAMBEL 2021) (pp. 160-165). Atlantis Press.
Huang, C.J. (2016). Is corruption bad for economic growth? Evidence from Asia-Pacific countries. The North American Journal of Economics and Finance, 35, 247-256.
Lee, S.H., & Oh, K.K. (2007). Corruption in Asia: Pervasiveness and arbitrariness. Asia Pacific Journal of Management, 24(1).
Quah, J.S. (2018). Combating Corruption in Asian Countries: Learning from Success & Failure. Daedalus, 147(3), 202-215.
Reinsberg, B., Kentikelenis, A., & Stubbs, T. (2021). Creating crony capitalism: neoliberal globalization and the fueling of corruption. Socio-Economic Review, 19(2), 607-634.
Westcott, C. (2003). Combating Corruption in Southeast Asia. Fighting corruption in Asia: Causes, effects and remedies, 237-269.