10 th asosai research on fraud money laundering part ii
This presentation is the property of its rightful owner.
Sponsored Links
1 / 17

10 TH ASOSAI RESEARCH ON FRAUD & MONEY LAUNDERING PART II PowerPoint PPT Presentation


  • 57 Views
  • Uploaded on
  • Presentation posted in: General

10 TH ASOSAI RESEARCH ON FRAUD & MONEY LAUNDERING PART II. THE AUDIT BOARD OF INDONESIA. THE RESEARCH. Respondents

Download Presentation

10 TH ASOSAI RESEARCH ON FRAUD & MONEY LAUNDERING PART II

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


10 th asosai research on fraud money laundering part ii

10TH ASOSAI RESEARCH ON FRAUD & MONEY LAUNDERINGPART II

THE AUDIT BOARD OF INDONESIA


The research

THE RESEARCH

  • Respondents

    157 persons from 16 agencies : 8 government agencies, National Police Department, Attorney General Office, Commission for Corruption Eradication, Financial Intelligent Unit, 1 state-owned bank, 3 state owned companies

  • Time

    3 weeks (March to April 2013) : distribution, collection, process


Results findings corruption

Results – FindingsCorruption

  • Level of corruption

    • Respondents thought Corruption was intolerable, very serious, pervasive, and increasingly occurred in recent years;

    • Global Integrity Index and Corruption Perception Index fairly reflected the reality of Corruption in Indonesia ;

    • Corruptions were mostly predictable and It was most likely to happen within public entities.


Results findings corruption1

Results – FindingsCorruption

  • Types of Corruption

    • The most types of corruption based on prevalence were Grand corruption, petty corruption, and corruption at enterprise level.;

    • The most common types of corruption were Abuse of power and Bribery.

    • The highest probability were Petty Corruption and Grand Corruption while the parties most likely involved were employees, supervisors, and high-level management;


Results findings corruption2

Results – FindingsCorruption

  • Sectors vulnerable to Corruption

    • Law enforcement agencies and tax collections were considered the most vulnerable sectors;

    • At government level, areas possessing greatest possibility to occur were procurement contracts and revenue (tax) collection.


Results findings corruption3

Results – FindingsCorruption

  • The use of corruption’s money

    The monies gained from corruption were mostly used to purchase assets.


Results findings corruption4

Results – FindingsCorruption

  • Causes of Corruption

    • The causes of Corruptions were the weak and lack of anti-corruption legal system;

    • The main cause of Grand Corruption was Patronage-Client System,.


Results findings corruption5

Results – FindingsCorruption

  • Causes of Corruption (cont’d)

    c. Weak accounting practices, including lack of timely financial management;

    d. Corruption during budget formulation is primarily grand or political corruption and is influenced by the distribution of budgetary powers between the executive and the legislature.


Results findings corruption6

Results – FindingsCorruption

  • Causes of Corruption (contd)

    • Unchecked and excessive executivediscretion in the budget process;

    • Public Financial Management System weakness during budget formulation.


Results findings corruption7

Results – FindingsCorruption

  • Anti corruption efforts

    • Steps taken by the government were considered weak;

    • The role of whistle blower was important in reporting corruption;

    • It was effective to lodge complaints of corruption.


Results findings corruption8

Results – FindingsCorruption

  • Consequences of Corruption

    Corruption was considered to give serious impact to government’s budget as well as society.


Results findings money laundering

Results – FindingsMoney Laundering

  • The degree of seriousness of money laundering in Indonesia

    • Currently money laundering is in its serious condition.

    • The prevalence rate of money laundering tends to increase and getting more sophisticated over the years.


Results findings money laundering1

Results – FindingsMoney Laundering

  • The main pattern of money laundering in Indonesia

    • Money laundering occurs both in public and private sectors.

    • The most vulnerable sector for money laundering is real estate.


Results findings money laundering2

Results – FindingsMoney Laundering

  • The main pattern of money laundering in Indonesia (contd)

    c. The wealth obtained from corruption is the main source for money laundering, with approximate amount of more than USD 50M.

    d.The most common method used for money laundering is by using real estate, business and cash transactions.


Results findings money laundering3

Results – FindingsMoney Laundering

  • Causes of money laundering

    The main factors causing money laundering in Indonesia areInsufficientsupervision/control system and the insufficient legal system for anti money laundering.


Results findings money laundering4

Results – FindingsMoney Laundering

  • Negative consequences of money laundering

    • Increase the number of crime and corruption

    • Reduce the amount of government’s tax revenue and weaken the government’s control over the economy.

    • Very seriously impact economic and social condition, national security, Indonesia’s international reputation, and economic reform.


10 th asosai research on fraud money laundering part ii

Thank You..


  • Login