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Which is bigger evil - Corporate corruption or Civil Corruption

Corruption is defined as the malpractice conducted by an authority or a formidable party that are illegitimate, immoral, and unethical in seek of personal enrichment. This often results from patronage and is associated with bribery. This is the serious issue which is pervasive all over the countries in the world that adversely affects their own economy. Corruption is inversely related to economic growth, entrepreneurship and innovations in the society. The competitive environment and permissive culture are adding up for the future bribery scandals.

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Causes of Corruption are:

  1. Excessive regulations
  2. Complicated taxes and licensing systems
  3. Several governments with opaque bureaucracy
  4. Lack of transparent laws and processes to the public
  5. Numerous organization controlled by a monopoly
  6. Red tapism followed by several individuals who are in public authority.

Corruption may be basically divided into two categories:

  1. Corporate corruption
  2. Civil corruption

Corporate corruption: It is described as offences and illegal activities committed by a corporation or by an individual recognised under a firm, for fulfilling their corporate activities in time, for their fame and respect and in gaining profit. The types of corporate corruption are:

  1. Bribery - It is the common practice in which the activities are done by accepting money
  2. Extortion - It involves illegally using power or authority to perform a task
  3. Embezzlement - It explains the activity of taking company money for personal use

Corporate corruption will be huge in amounts and may operate nationally and internationally. Mainly in trading sector also corruption is high.

Civil Corruption: Briefly civil society involves networks, associations, groups, movements that are independent from the government and voluntary organizations formed by people. Traditionally it includes certain businesses such as media, private schools etc. Basically civil groups are not profit making, non-violence organizations and non government organizations (NGOs).

Corruption in civil society begins from a single citizen to all groups of individuals. Example: (i) A student is bribing organization or in seek of selected job. (ii) A traffic police accepts money illegally during an accident and culprits will be released.

Some of the major scandals in India are:

  • 2G spectrum scandal
  • Common wealth games scam
  • Telgi scam - printing fraud stamps
  • Hawala scam
  • Satyam scam
  • The scams are found even in existing schemes also like Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), National Rural Urban mission etc.

Impact of Corporate and civil corruptions on the society are loss of trust, loss of motivation, unofficial taxation, undesirable partners in the corporation, loss of credibility, economic loss, loss of fame and respect, total erosion of public confidence in bureaucratic objectives.

The investigating agencies which are trying to mitigate corruption are also backed off by non-cooperation at levels and legal constraints. So the remedies to be followed are:

  1. Public vigilance along with media will result greatly
  2. Government should also include chapters in the text books about corruption and its dangerous consequences. So that everyone can exercise that courageously with the information.
  3. Being a citizen, every individual must start up and speak out with responsibility about the illegal activities happening around.
  4. A strong youth movement in the country also fixes this issue and deter their activities.

Finally I conclude that both are the biggest evils, with the proportion of amount of money the corporate corruption takes the place and with proportion of population the civil corruption occupies the place.

- Raj Bharath