Saying NO to Corruption Preventing Fraud and Corruption

Saying NO to Corruption Preventing Fraud and Corruption in ADB and its Projects Clare Wee, Director Office of Anticorruption and Integrity (OAI)

OVERVIEW Ø ADB’s anticorruption framework, systems and procedures Ø Recent initiatives

ADB’s Anticorruption Policy Hi gh E St th es an ica t da l rd s Zero Tole ranc e Ø Ø For all parties engaging with ADB to observe For all ADB projects, activities, and staff to adhere to

ADB’s internal preventive systems Remediation Measures: Investigation Risk-Mitigating Procedures Monitoring Procedure Implementation & Effectiveness

RISK-MITIGATING PROCEDURES Ø Policies and controls Ø Anticorruption risk assessment Ø Project-Related Procurement Reviews Ø Awareness-raising Ø Anticorruption due diligence

MONITORING IMPLEMENTATION AND EFFECTIVENESS OF PROCEDURES • • Periodic review of policies & procedures Gap analysis Data analytics Staff surveys

REMEDIATION • Investigations • Control enhancement

Integrity Violations Mi sco ct t i l nf res o C nte I of nd uct Corruption Coercion Fraud Collusion ive t c stru tice b O rac P Abu se MDB harmonized definitions

ADB remedial actions against proven integrity violations Entities/ Individuals Entities Individuals • Warning or caution • Reprimand • Debarment: ineligibility to engage in ADB projects • From 1 to 20 years maximum • Debarment • From 1 year to indefinite MDB harmonized sanctioning guidelines

ADB’s Sanctions List v Available for the general public on www. adb. org v Access to password-protected website by ADB Staff ADB Board of Directors Other parties with a “need to know”: International organizations, bilateral and Government partners

Recent Initiatives Office of Anticorruption and Integrity (OAI)

Cross-Debarment Agreement (2010) v Pursuant to 2006 Uniform Framework for Preventing and Combating Fraud and Corruption (the “IFI Framework”) v 9 April 2010: Heads of MDBs signed Agreement in Luxembourg v First global enforcement mechanism of sanctions by multiple MDBs

Harmonized Sanctioning Guidelines (2011) Harmonization by MDBs of sanctioning Aggravating circumstances guidelines to ensure debarment period consistent treatment Baseline Three (3) years of individuals and Mitigating firms circumstances v

MDB harmonized principles of treatment of corporate groups (2012) v Common standards for incorporation into each institution’s sanctioning policies Various corporate groups and other forms of business organizations Levels of culpability/responsibility determine type/severity of sanction

If you have any questions Contact OAI Website: E-mail: www. adb. org/integrity anticorruption@adb. org integrity@adb. org Telephone: Fax: +63 -2 -632 5004 +63 -2 -636 2152