(Assignment 1) SYNDROME OF CORRUPTION: OLIGARCHS AND CLANS - Ashish

In this essay I’ll be looking at few corruption cases in Pakistan, examine its patterns and relate it to the syndrome of “oligarchs and clans”.

In Pakistan corruption is rampant. Owing to high corruption, Pakistan has always maintained a low score in the ranking of Transparency International, with its latest rank being 126 out of 174 countries (2014). Some of the popular corruption cases in Pakistan are:

Firstly, corruption during nationalisation of economic process. To revitalise the stagnant economy, Zulfikar Ali Bhutto introduced a planned economic system. The nationalisation programme brought entire private industrial corporations under the government control. This opened the door for corrupt political practices to penetrate into the nation’s economic planning process. Few powerful groups and individuals hijacked the major industries and tried to accumulate wealth by redistributing favours to their allies.

Secondly, after failed attempt of nationalisation Pakistan switched to denationalisation. During denationalisation process, current PM Nawaz Sharif made undue gains. It is often alleged that Sharif was favoured because of his close relationship with the military dictator at the helm. His conglomerate Ittefaq Group of Industries was one among the very few industries that was decentralised and returned to its owners. 

Third, the Rental Power Project Scam. In 2006, several cases of bribery were reported in the Rental Power Projects (RPP) where top level ministers were involved. Allegations were also levied against former prime minister Raja Pervez Ashraf which earned him the nickname “Raja Rental”.

The above 3 cases of corruption fits well in the syndrome of “oligarchs and clans” in its perpetuation of corruption. Pakistan’s governance resembles plutocracy where the top position is often occupied by the wealthy elite.  This gives unfair advantage to the few elite to establish control on the government and extract personal gains. Adding to this, highly unstable regime in Pakistan provides further breeding ground for exploitation by the vested interests. Thus, few powerful oligarchs and clans contend over major stakes, grant favour and get benefit in return.

Pakistan is also plagued by weak and unpredictable institutions which is characteristic of oligarchs and clans. Corruption runs high in institutions like the judiciary, police and army. As a result there is trust deficit in these institutions. Weakness of institutions and law enforcement agencies further contributes to violence and corruption.

In a situation like this, relatively vocal and powerful media played an active role in exposing corruption. However, characteristic of oligarchs and clans, people who try to expose corruption often risk their life. Death of many parliamentarians, journalists and whistle blowers in Pakistan confirms this feature.

Therefore, corruption in Pakistan is a good example of oligarchs and clans where corruption is deeply entrenched among the few elites, marked by weak institutions, lack of public trust and threat to life of whistle blowers. 

REFRENCES

·      https://www.transparency.org/

·      Mohiuddin (2007): The Economy of Pakistan, "The Nationalization and Authoritarian Populism Under Zulfikar Ali Bhutto; 1971-1977"

·      Abbasi, Ansar. "US starts probe into rental power projects scam". The News International

·      Johnston, Michael (2005): Syndromes of Corruption (Cambridge University Press)