There is nothing that is new in the Transparency International's (TI) report that close ties between the government and private sectors in this country has often led to allegations of political patronage and funding.

It has merely confirmed what has been happening for decades, said ASLI Centre for Policy Studies chairperson Ramon Navaratnam.

He was commenting on TI's global corruption report examining graft in the private sector released two days ago which lays out the facts of a reality in the country.

"Business continues to play a very exposed role as the supplier of corrupt payments to civil servants, members of government and political parties.

"Nearly two in five polled business executives have been asked to pay a bribe when dealing with public institutions. Half estimated that corruption raised project costs by at least 10 percent.

"One in five claimed to have lost business because of bribes by a competitor. More than a third felt that corruption is getting worse," stated the report.

ramon navaratnam interview 071108 01 Navaratnam ( left )pointed out that the cosy relationship between the government and private sector has been going on since former Prime Minister Mahathir Mohamad spearheaded the Malaysia Incorporated Policy in 1983.

Vital need for asset declaration

He said that the policy, which is to enhance co-operation between the two sectors, is open to abuse and hoped for a "new Malaysia Incorporated" version to fight the social ill.

"Instead of for the national good and interest, many co-operated for their own personal gain. This policy has been abused for private benefit," he said.

Calling on those at the top to lead by example, he also expressed disappointment at the government's hesitancy at making compulsory for all parties to make public their assets and liabilities.

"People down the line will follow out of example and fear. It would be a push for agencies such as the police and MACC to do a better job," he said.

He also urged the government to fight corruption in a comprehensive manner without fear or favour and find the courage to haul up those in power as well.

"Corruption cannot be fought in a piecemeal or ad hoc manner. In China, for example, those found guilty of corruption are put to death.

"It is harder to catch a shark as compared to an ikan bilis. Sharks are difficult as they are smarter and faster. We too have to match up with their skills and abilities.

"If we settle only for the small fishes, expect corruption to go up," he said.

Improper project funding by gov't

malaysiakini discussion 050208 khoo kay peng While recognising that modern political parties need the funding, political analyst Khoo Kay Peng ( right ) said that political parties have to account for the money they raise.

"To survive, parties need the funding and we cannot deny them their right to raise funds," he said.

Expressing concern about the thin line that separates the government and ruling party, Khoo said that this opens the door for misallocation and abuse of funds.

"It is very wrong of the government to tap into public funds. For instance, announcing public funded projects in every by-election," he said.

NONE He cited the example of how member of parliament-cum-tycoon Tiong King Sing ( left ) claimed that MCA president Ong Tee Keat had allegedly sought RM10 million from him last year and also used private jets owned by one of his companies.

"There is no donation without terms attached and such terms remain unspoken. It entices politicians," he said.

Stressing that there should be stricter control and discipline in political funding, Khoo suggested that the government introduce a mechanism to limit the number and amount of funding each year.

"Check and balance is important although there is a pressing need for each party to look into their financial management.

"In the United States, it is an offence not to reveal the source of any funding. Our government should introduce this legislation here," he said.