Mission

Transparency International-USA works at home and abroad to combat corruption and promote transparency and integrity in government, business and development assistance.

 

Challenge

Over $1 trillion in bribes are paid annually, with $1.5 trillion in public purchasing tainted by bribery, fraud, collusion and other forms of corruption.  Every year, billions of dollars in illicit assets – equivalent to almost half of all development assistance funds – flows out of countries desperately in need.  

Corruption impedes investment, undermines economic growth, diverts humanitarian assistance and reduces market opportunities for legitimate business.  When government is for sale, it destroys public trust in democratic institutions and denies citizens, businesses, taxpayers, and consumers the benefit of open markets and fair competition.  Corruption disproportionately burdens the poor, diverting scarce resources that could otherwise help lift millions out of poverty.  It raises the costs of education, nutrition, clean water, and health care, often denying citizens of these essential public services.  Corruption can destabilize societies and suborn protective measures with serious implications for security worldwide.

History

Since its inception in 1993, TI-USA has contributed to securing:

  • agreement of most major exporting nations to prohibit transnational bribery, tax deductibility of bribes and export credit for deals secured through bribery;
  • government commitments to prohibit extortion, increase fiscal and investment transparency, reduce bank secrecy and cooperate in mutual legal assistance;
  • development of private sector integrity programs and greater global adherence to them, through industry-sector initiatives and collaboration with major business organizations; and
  • action by the multilateral development banks and bilateral donor agencies to address corruption risk in their own operations and in the countries where they operate.

Milestones in the Anti-Corruption Movement

1994

  • Organization for Economic Cooperation and Development (OECD) members adopt recommendation to criminalize foreign bribery; the United States is the only country with such a law, since 1977.
  • Prototype TI "Integrity Pact" developed and tested on refinery rehabilitation project in Ecuador. TI Integrity Pacts have since been used in numerous projects around the world.
  • Summit of the Americas puts corruption on the public agenda and calls for hemispheric approach.

 

1995

  • TI publishes first "Corruption Perception Index," raising public awareness around the world and triggering competition to improve country rankings.

 

1996

  • OECD adopts Recommendation on Tax Deductibility of Bribes to Foreign Public Officials, urging member countries to consider denying the tax deductibility of bribes.
  • "TI Source Book" published, with ground-breaking systemic and holistic guidance on fighting corruption.

1997

  • Members of the Organization of American States (OAS) adopt the Inter-American Convention Against Corruption (IACAC), the first regional anti-corruption convention.
  • United States and 33 other countries adopt OECD Convention on Combating Bribery of Foreign Public Officials in International Business Transactions (OECD Anti-Bribery Convention), committing to enact and enforce laws prohibiting bribery of foreign officials.

 

1998 

  • United States ratifies the OECD Anti-Bribery Convention with conforming amendments to the Foreign Corrupt Practices Act (FCPA).

1999  

  • OECD Anti-Bribery Convention enters into force with countries accounting for almost 80% of world trade, criminalizing foreign bribery and ending the tax deductibility of bribes.
  • TI publishes first “Bribe Payers Index,” ranking countries by propensity of their companies to pay bribes abroad.
  • Council of Europe concludes the Civil Law Convention on Corruption and the Criminal Law Convention on Corruption.


2000  

  • TI facilitates joint anti-corruption initiative by major international banks, leading to the adoption of “Wolfsberg Anti-Money Laundering Principles."

2001 

 

  • TI releases first annual “Global Corruption Report,” exploring corruption around the world in 12 regional reports and examining global issues. Reports have since focused on corruption in the construction, health care and water sectors, in politics and judicial systems and on access to information.
  • TI publishes "Corruption Fighter’s Toolkit," chronicling successful anti-corruption experience and providing practical tools for fighting corruption.

2002  

  • TI publishes model "Business Principles for Countering Bribery," setting benchmark for corporate anti-bribery programs.
  • TI awarded Carl Bertelsmann Prize for innovative coalition-building, and the Media Tenor Agenda-Setting Award for focusing international media attention on corruption.

2003

  • The United Nations Convention against Corruption (UNCAC), signed by 140 countries, provides a globally agreed, comprehensive blueprint of reform.
  • TI publishes first “Global Corruption Barometer,” reflecting how corruption affects everyday lives in 48 countries.
  • Extractive Industry Transparency Initiative (EITI) launched, establishing multi-stakeholder program for increasing revenue transparency in energy and mining sectors.
  • Asia Pacific Economic Cooperation (APEC) leaders endorse “Transparency Standards” for eight specific areas relating to trade and investment to be implemented by 2005.

 

2004

  • United Nations declares December 9 as International Anti-Corruption Day.
  • United States establishes the Millennium Challenge Corporation, linking country assistance to anti-corruption criteria.
  • UN Global Compact adds "Businesses should work against corruption in all its forms, including extortion and bribery" as a tenth principle.
  • United States adopts “No Safe Haven” policy, barring entry into the U.S. for individuals involved in public corruption that has a serious adverse effect on U.S. interests.
  • TI facilitates development of Partnering Against Corruption Initiative (PACI) Principles by World Economic Forum anti-corruption task force.  Chief executive officers of more than 125 major multinational companies have since agreed to a zero tolerance policy and the principles.
  • The World Bank agrees to first mandatory anti-bribery bidder certification requirement for large-scale projects.

  • APEC leaders issue the APEC Course of Action on Fighting Corruption and Ensuring Transparency, and a ninth “Transparency Standard” relating to government procurement.

2005

  • The United Nations Convention against Corruption (UNCAC) enters into force.
  • TI publishes first "Progress Report on Enforcement of the OECD Anti-Bribery Convention," highlighting the need for vigorous and consistent enforcement.

 

2006

  • The World Bank adopts the Voluntary Disclosure Program, encouraging Bank-funded contractors to disclose misconduct in exchange for non-debarment.
  • The United States ratifies the United Nations Convention against Corruption (UNCAC).
  • The OECD Council adopts and the U.S. Export-Import Bank implements the Recommendation on Bribery in Export Credit Supported Business Transactions to reduce bribery by the private sector by strengthening due diligence and anti-bribery requirements for companies applying for export credit support.
  • The African Union Convention on Preventing and Combating Corruption and Related Offenses enters into force.

  • The United States adopts the National Strategy to Internationalize Efforts Against Kleptocracy, building on the “No Safe Haven” policy adopted in 2004.  The National Strategy integrates the U.S. policy of denying safe haven to corrupt public officials with its efforts to seize, freeze and repatriate illicitly obtained assets.


2007

  • The World Bank adopts its Governance and Anti-Corruption Strategy.
  • The World Bank and the United Nations launch the Stolen Assets Recovery Initiative (StAR), to help developing countries locate and repatriate stolen assets.
  • The Asia-Pacific Economic Cooperation (APEC) agrees to model anti-corruption codes for business and public officials.
  • TI issues the G8 Progress Report, assessing G8 implementation of their commitments to anti-corruption and good governance and calling for the G8 to report on their progress.

2008

  • The Group of Eight (G8) issues an Accountability Report: Implementation Review of G8 on Anti-corruption Committments, assessing progress on anti-corruption commitments, and commits to report annually.

2009

  • President Obama committs to make "Transparency and the rule of law... the touchstones of [his] presidency," and issues multiple Executive Orders and Memoranda.
  • The Troubled Asset Relief Program (TARP) and the American Recovery and Reinvestment Act (ARRA) are enacted with enhanced transparency, oversight and accountability provisions.