In recent years, Malaysia has witnessed an alarming surge in allegations and cases of corruption involving elected officials and politically appointed individuals.
These cases often involve staggering sums of money and other valuables, as was graphically displayed in recently published photographs by the Malaysian Anti-Corruption Commission (MACC).
It is also disturbing to see the number of cases against such officials being discontinued or given discharges not amounting to acquittals (DNAA).
Public trust in governance and the integrity of democratic institutions are at an all-time low.
The Malay proverb “Harapkan pagar, pagar makan padi” strikingly illustrates the current crisis of corruption in this country. The fence, which was supposed to protect the rice crop from pests, ends up devouring the paddy.
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This is a powerful metaphor for the betrayal of trust by those in power. Elected officials are entrusted to safeguard public resources and serve the interests of the people. But many of them abuse their governing position by stealing from public coffers. They trade the powers entrusted to them under the democratic process for personal gain.
This pervasive corruption suggests that many individuals enter politics not to serve the public. Instead, they view their positions as an opportunity to enrich themselves. Even with anti-corruption laws, high-ranking political officials still engage in unethical practices.
Current landscape of corruption
Corruption among elected officials and politically appointed individuals is not a recent phenomenon. But its scale and brazenness have become increasingly alarming.
High-profile cases involving embezzlement, bribery and abuse of power have dominated headlines. They reveal systemic weaknesses in accountability and enforcement. The sheer number of cases involving elected politicians suggests a disturbing trend: those entrusted to govern are blatantly abusing that trust.
This perception is deeply damaging to the democratic process. It undermines the legitimacy of elected officials and perpetuates a culture of impunity.
True, the MACC has made strides in investigating and prosecuting cases. But the existing legal framework often fails to address the root causes of corruption, particularly when it involves political parties.
Political parties, as the primary vehicles for political power, play a central role in shaping governance and policy. However, they are also vulnerable to corruption, often serving as conduits for illicit funds and unethical practices.
The lack of stringent regulations governing political financing and accountability within parties creates an environment where corruption can thrive.
There is, however, a means to address the growing crisis under the main legislation against corruption, the MACC Act 2009.
Understanding Section 17A
Section 17A of the MACC Act 2009, which came into force in June 2020, introduced the concept of corporate strict liability for corruption.
Under this provision, commercial organisations and their top leaders can be held liable for corrupt practices committed by their employees or associates, unless they demonstrate they had adequate procedures in place to prevent such conduct.
This marked a major shift in anti-corruption efforts, as it placed the onus on organisations to proactively combat corruption within their ranks.
However, as it stands, Section 17A applies only to commercial organisations. It excludes political parties from its scope. This is a glaring omission, given the substantial role political parties play in political governance. This makes them vulnerable to corrupt practices.
Applying Section 17A to political parties
Extending Section 17A to political parties would impose a responsibility on their leadership to prevent corrupt practices within their parties.
Currently, Section 17A imposes strict liability on commercial organisations for corrupt acts committed by associated persons, regardless of whether the top management knew about these acts.
If political parties were subjected to Section 17A, their leaders would be held accountable for any corrupt activities undertaken by individuals associated with the party, such as members, employees or affiliates, aimed at benefiting the party.
Accountability under the section would apply regardless of the leaders’ knowledge of such activities. Strict liability for the corrupt acts of their associates would be a strong incentive for political party leaders to implement effective anti-corruption measures to mitigate the risk of liability.
To establish a defence against potential liability, political parties would need to show they have instituted “adequate procedures” designed to prevent corrupt practices.
The Malaysian government has issued guidelines encapsulated in the acronym Trust. These outline the principles of such procedures:
- T: Top-level commitment – Political party leaders must show a clear and visible commitment to anti-corruption efforts. They must set the ethical tone from the top
- R: Risk assessment – Regular evaluations must be conducted. These should identify corruption risks within the party’s operations, including political financing and candidate selection
- U: Undertake control measures – Effective internal controls and policies, such as financial transparency and whistleblower protections, should be implemented to prevent corruption
- S: Systematic review, monitoring and enforcement – Anti-corruption measures must be regularly reviewed, enforced and updated to address evolving risks and ensure compliance
- T: Training and communication – Party members and officials should be educated on anti-corruption laws and best practices, fostering a culture of integrity through ongoing awareness programmes
One of the primary drivers of corruption in political parties is the lack of transparency in political financing. Parties often rely on opaque funding mechanisms, making it difficult to trace their sources of funds and to detect illicit activities.
If Section 17A is extended to political parties, party leaders would be compelled to implement stringent financial controls and transparency measures to avoid liability. This would not only deter corruption but also enhance public trust in the political process.
The government has pledged to eradicate corruption. But meaningful reforms must go beyond rhetoric. Extending Section 17A of the MACC Act to political parties would be a critical step in demonstrating a genuine commitment to this goal.
However, such a move will face strong resistance. The very individuals who stand to be held accountable are also those with the power to oppose these reforms.
Despite this, it is essential to enforce accountability within political parties to break the cycle of corruption. By implementing adequate procedures under the Trust framework, this amendment would not only promote transparency and integrity but also restore public confidence in the political system.
If the government is serious about tackling corruption, it must have the political will to act, despite the likelihood of opposition.
It must stop the pagar (fence) from eating the padi.
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