‘It is difficult to tackle consensual bribery and bribe supplier goes scot-free’
Prime Minister Manmohan Singh on Wednesday said the government was mulling over incorporating provisions in the Prevention of Corruption Act to penalise bribe-givers as well, besides giving the law more teeth to tackle corporates indulging in corrupt practices.
The amended law would give honest public servants more protection, he said, addressing the 19th Conference of the CBI and State Anti-Corruption Bureaux here.
“We are considering amendments to the Act not only in view of the judicial rulings on its provisions but also with the purpose of filling certain gaps in the legislation and bringing it in line with the current international practice.”
Elaborating, the Prime Minister said: “A clear and unambiguous definition of the term ‘corruption’, covering both supply and demand sides, is being sought to be provided. Experience has shown that in a vast majority of cases, it is difficult to tackle consensual bribery and the supplier of the bribe goes scot-free by taking recourse to the provisions of the Act. This would be taken care of in the proposed amendments.”
Pointing out that big-ticket corruption was mostly related to operations by large commercial entities, he said: “It is, therefore, also proposed to include corporate failure to prevent bribery as a new offence on the supply-side. We are also examining how the Act can be amended to protect honest public servants more effectively.”
The Prime Minister, however, cautioned that a “mindless atmosphere of negativity and pessimism” over the issue of corruption was damaging the nation’s image and affecting the morale of the executive. “We need to ensure that even while the corrupt are relentlessly pursued and brought to book, the innocent are not harassed. The importance of making a distinction between bona fide mistakes and a colourable exercise of power in investigation of corruption cases cannot be overemphasised.”
Referring to challenges faced by law enforcement agencies, Dr. Singh said newer modi operandi were being adopted for corrupt activities as faster economic growth over the last two decades had led to newer opportunities for corruption.
“Different sectors of economy follow development models that are increasingly becoming more and more sophisticated. Therefore, in many cases, it would be difficult for the investigating agencies to reach the right conclusions without a firm grasp of the complexities involved in the formulation and implementation of economic policy… I would urge the CBI and other anti-corruption agencies to feel free to engage professionals who have the expertise which can assist them in conducting an impartial enquiry in complex cases.”

‘Mindless negativity damaging image’

NEW DELHI, Oct 10, 2012, DHNS:
In a veiled attack on anti-graft campaigner Arvind Kejriwal, Prime Minister Manmohan Singh on Wednesday said mindless negativity and pessimism will damage the country’s image.
“The mindless atmosphere of negativity and pessimism that is sought to be created over the issue of corruption can do us no good,” Singh said at the 19th annual conference of the CBI and the anti-corruption bureaus here.

Asserting that his “government stands firm in its commitment to do everything possible to ensure probity, transparency and accountability in the work of public authorities,” the prime minister said such an atmosphere “can only damage our nation’s image and hit the morale of the executive.”

The prime minister’s assertions have come at a time when the Congress-led UPA government appears to be cornered by the opposition parties and the civil society on graft charges. Reacting to the prime minister’s remarks, BJP leader Murli Manohar Joshi said: “The mindful application of the government machinery and the legal system to promote corruption will certainly lead us to disaster.”
Kejriwal and lawyer Prashant Bhushan stirred up a hornet’s nest with their allegations of quid pro quo deals between Robert Vadra, son-in-law of Congress president Sonia 
Gandhi and real eastate giant DLF.

In a press conference here on October 5, the anti-graft campaigners alleged that Vadra had secured interest-free loan of Rs 65 crore from DLF. The money was allegedly used to acquire properties worth several crores from the same company, below the market price. 
While Vadra brushed off the allegations as “utterly baseless,” the Congress, coming in defence of the 42-year-old businessman, described the charges as “absurd.”

Replying to queries on why Vadra has not come out with detailed point-by-point explanation to defend himself, Congress spokesperson Renuka Chowdhury said: “Unless the allegations are substantiated, we cannot come out to clarify anyone and everyone’s absurd allegations.”

Meanwhile, Kejriwal has demanded resignation of Union Law Minister Salman Khurshid citing financial irregularities in the NGO run by his wife.

Companies failing to stop bribery will be punished, says PM Manmohan Singh

NEW DELHI: Senior executives of a company could find themselves facing criminal charges for failing to prevent bribery as the government proposes to amend the Prevention of Corruption Act to make such failures an offence.

"Experience has also shown that big-ticket corruption is mostly related to operations by large commercial entities. It is, therefore, also proposed to include corporate failure to prevent bribery as a new offence on the supply side," Prime Minister Manmohan Singh told a gathering of police officers from CBI and state-level anti-corruption bureaus.

At the same time, the prime minister deplored what he described as the "mindless atmosphere of negativity and pessimism that is sought to be created over the issue of corruption", and stressed that investigative agencies needed to distinguish between genuine mistakes and acts of malfeasance.

"We are also examining how the Act can be amended to protect honest public servants more effectively... We need to ensure that even while the corrupt are relentlessly pursued and brought to book, the innocent are not harassed. The importance of making a distinction between bona fide mistakes and colourable exercise of power in investigation of corruption cases cannot be over-emphasised," Singh said.

"I share the view of the prime minister, some people in industry may not. The corporate should also be made responsible where a top official of the company gives bribe to get undue benefits. However, small bribes by individuals to get their work done, which are legitimate (driving licence, birth certificate, death certificate), may not be... there only takers should be punished, so that the anti-corruption agencies will be able to focus on big cases," said Rahul Bajaj, chairman of Bajaj Auto.

Walk the talk, says opposition

The prime minister's statement on tackling corruption comes even as the Congress party is battling hard to douse fresh attacks against Robert Vadra, Congress President Sonia Gandhi's son-in-law, who is accused of having used his family connections to amass wealth by investing in the real estate sector.

The second term of the Congress-led UPA government has been blighted by allegations of corruption in a number of sectors, notably telecom and mining.

Predictably, Singh's statement was criticised by Opposition parties and anti-corruption campaigners.

"The prime minister needs to walk the talk first. Such speeches sound hollow as they are not matched by action. The government has not acted in most of the scams that have come out in the open over the last few months.