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Corruption and Reform in Democratic South Africa

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Corruption and Reform in Democratic South Africa CORRUPTION AND REFORM IN DEMOCRATIC SOUTH AFRICA Marianne Irene Camerer A thesis submitted to the Faculty of Political Studies at the University of the Witwatersrand, Johannesburg, in fulfilment of the requirements for the degree of Doctor of Philosophy. Durban, March 2009 ABSTRACT This thesis evaluates the effectiveness of public sector anti-corruption reform efforts in democratic South Africa. These reforms are contextualized within the international theory, literature and policy debate that has emerged over the past decade on the control of corruption within the context of democratic governance. To evaluate the effectiveness of anti-corruption reforms the thesis first covers a number of broad themes including: conceptions, causes and consequences of corruption; main theoretical approaches underpinning anti-corruption reforms; and methodologies to evaluate the effectiveness and seriousness of anti-corruption efforts. Specifically focusing on South Africa, the thesis looks at the nature and extent of corruption both pre and post 1994; recent legislative, institutional, and policy interventions to control public sector corruption; and, as an illustrative case study of grand corruption, an in-depth analysis of the government’s handling of allegations of corruption in the Strategic Defense Procurement Package or “arms deal.” The findings of the thesis are mixed: I argue that democracy is a necessary albeit insufficient condition for effectively fighting corruption. Although South Africa has an impressive array of institutions, laws and policies to counter public sector corruption, the most important ingredient for successful reforms, namely an indication of sustained political will, is not yet fully in evidence. The government’s mishandling of allegations of corruption in the arms deal is a case in point, suggesting chronic weaknesses on the part of institutions such as parliament to safeguard the public interest. Lack of regulation in the funding of political parties remains the “Achilles heel” of anti-corruption reform efforts. So far as concerns further theoretical framing of corruption studies I conclude that a focus on social empowerment (Johnston) in the context of democratic consolidation, including an active civil society and vigilant media, is crucial for the effective fight against corruption in new democracies such as South Africa. Keywords: Arms Deal, Corruption, Democracy, Governance, Integrity, South Africa. i DECLARATION I declare that this dissertation/thesis is my own unaided work. It is submitted for the degree of Doctor of Philosophy in the University of the Witwatersrand, Johannesburg. It has not been submitted before for any other degree or examination in any other university. Marianne Irene Camerer__________________________________________ (Name of candidate) _____________ day of _______________ 2009 ii For a remarkable woman, my maternal grandmother Diana May Durrant iii PREFACE My objective in writing this thesis is to position an analysis of the South African government’s handling of allegations of corruption in the arms deal within the broader context of anti-corruption reforms occurring both in South Africa and internationally. The arms deal has been described as the “litmus test” of democratic accountability and as such this watershed event in South Africa’s democratic consolidation needs to be documented, contextualised and critically analysed to see what lessons can be learned for those serious about understanding and sustaining the fight against corruption in new democracies. Having had unique access to many of the key players shaping the first decade of the anti-corruption reform agenda in South Africa, I believe I am equipped to write authoritatively about the topic of “Corruption and Reform in Democratic South Africa.” Over the main period covered by this thesis (1995–2007), I worked as an applied policy researcher responsible for corruption and governance research at the Institute for Security Studies (ISS) in South Africa, a consultant for the United Nations Global Program Against Corruption (in South Africa) and, from 2005 as the co-founder and international director of Global Integrity (www.globalintegrity.org) an international NGO based in Washington DC that gathers independent information on corruption and governance by examining the existence and effectiveness of anti-corruption mechanisms and reforms around the world, including South Africa. I was intimately involved in the anti-corruption policy process in South Africa. Whilst working at ISS, I interviewed many of the key institutional role-players both before and after the initial arms deal investigation concluded by the Joint Investigating Team (JIT). In May 2001 I was commissioned by the Public Service Commission to conduct a comprehensive review of the various agencies in South Africa with an anti- corruption mandate. Over a year later, in September 2002, as part of Transparency International’s National Integrity System study on South Africa, I conducted further iv interviews with key role-players in the anti-corruption arena, asking specifically what lessons had been learned from the arms deal probe. During 2001 I worked alongside a United Nations/South African Government team as the lead consultant on the Country Assessment Report. Based in the ISS’s Cape Town offices from December 1999, I spent months observing the decline of non-partisanship and increasingly strained relations in the Standing Committee on Public Accounts (SCOPA), Parliament’s most important oversight committee. During this time I was exposed to the way individual politicians and office bearers responded to events around the arms deal investigation and got to know some of the key role-players personally. Drawing on this rich tapestry of anti-corruption resources the thesis attempts to illustrate the credibility of good governance reforms in South Africa over the past decade when tested against allegations of serious corruption, such as those surrounding the arms deal. The case study approach demonstrates the very real impact that political context and culture has on both the interpretation and functioning in practice of policies, laws and institutions ostensibly designed to protect the public interest. While my perspective is that of an independent policy analyst, being the daughter and grand-daughter of politicians has unwittingly provided me with a personal and intimate understanding of the political process, the compromises and sacrifices often required by public life, as well as the purposes motivating many political actors to serve the public good through taking up public office. Growing up in apartheid South Africa and yet coming of age as South Africa shed its abusive past to become a new and proud democracy, has undoubtedly provided further existential material for exploring this topic. Marianne Camerer Durban, South Africa May 2008 v ACKNOWLEDGEMENTS I am extraordinarily grateful to a number of individuals and organizations that have patiently, generously and enthusiastically supported my research over the past several years: My supervisor, Tom Lodge, former head of Politics at the University of Witwatersrand, now Professor of Peace and Conflict Studies at the University of Limerick, Ireland. Yale University, both the World Fellows Program and the African Studies Council of the Macmillan Center for International and Area Studies, that provided me with office space and a stipend from August 2005 to April 2006. Colleagues at Global Integrity in Washington, in particular Charles Lewis and Nathaniel Heller. Colleagues at the Institute for Security Studies in Pretoria and Cape Town, in particular the head of the Corruption and Governance Program, Hennie van Vuuren. Colleagues and M.Phil. students at the University of Stellenbosch (Department of Philosophy). The University of KwaZulu Natal, Howard College (School of Philosophy and Ethics). My entire family, especially my gracious twin sister, Melissa Sutherland, and my maternal grandmother, Diana May Durrant, to whom this thesis is dedicated. To all the friends, colleagues and individuals who have given me moral support and encouragement along the way, including: Heribert Adam, Eve Agee, Reuben Brigety, Richard Calland, Alix Clark, Susannah Cowen, Joanne Donovan, Erica Esser, Andrew Feinstein, Annabel Hughes, Michael Isimbabi, Robert Klitgaard, Steven Kull, Hennie Lotter, Leanne Meyer, Mike Morris, Gerardo Munck, Nicoli Nattrass, Hina Nazar, Jonathan Schell, Laura Neuman, Lungisile Ntsebeza, Sara Pienaar, Mamphela Ramphele, Liesel Scott, Leanne Seeliger, Ian Shapiro, Joe Siegle, Alison Squires, the late Barry Streek, Raenette Taljaard, Stefanie Teggemann, Gavin Woods and Ugi Zvekic. Finally, Patrick Giddy, for his patience, love and support. vi PAGE OF CONTENTS Pages Abstract i Declaration ii Dedication iii Preface iv Acknowledgements vi Acronyms vii Page of Contents viii INTRODUCTION 1 Chapter One: Context and Outline 1 1.1 Introduction 1 1.2 International Context 1 1.3 International Leadership 3 1.4 The Corruption Challenge 5 1.5 Thesis Propositions 6 1.6 Thesis Structure 7 1.7 Research Methods and Sources 8 PART ONE: THEORIES OF CORRUPTION AND CONTROL 11 Chapter Two: Definitions and Conceptions of Corruption 11 2.1 Introduction 11 2.2 Defining Corruption 11 2.2.1 Universal or Relative 12 2.2.2 A Working Definition 13 2.3 Forms of Corruption 14 2.4 Understanding Political Corruption 17 2.5 LeVine’s Model 19 2.5.1 The Core Process 20 2.5.2 The Extended Process 21 2.6 Conclusion 23 Chapter Three: Conditions
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