There are three broad classifications of corruption, which are however not

mutually exclusive:
Petty and Grand corruption
-Petty Corruption:
Practiced on a smaller scale. Defined as the use of public office for private benefit in the course
of delivering a pubic service. Usually involves relatively small amounts of money, including
bribery (grease money or speed payments) The public servant abuses his/her position by
accepting a benefit for what is a routine transaction or approval. The direct victim of this abuse
of power is the citizen.
-Grand Corruption:
The most dangerous and covert type of corruption. Instances where policy making, its design
and implementation are compromised by corrupt practices. Found where public officers in high
positions (such as councilors), in the process of making decisions of significant economic value,
routinely demand bribes or kickbacks for ensuring that tenders or contracts are awarded to
specific contractors. Occurs at financial, political and administrative centres of power.

Political and Business corruption:

-Business Corruption
Often not regarded as a crime, rather as a means to accelerate business processes. Proponents
claim that the end result is not affected; the mechanisms used to achieve the result are simply
accelerated; In essence, bureaucracy is bypassed and time is utilised. Includes bribery, insider
trading, money laundering, embezzlement, tax evasion and accounting irregularities.
-Political Corruption
Occurs predominantly in developing and less developed countries.
Usually associated with the electoral process.
Includes:

voting irregularities

nepotism and cronyism

rule of a few

false political promises

paying journalists for favourable coverage of candidates and parties

influencing voters by the distribution of money, food and/or drink

holding on to power against the will of the people.

Chaotic and Organised corruption

-Organised Corruption
A well-organised system of corruption in which there is a clear idea:
of whom to bribe;
how much should be offered
and are confident that they will receive the favour in return.
Organised corruption is often perpetrated by crime gangs and syndicates and includes whitecollar crime and identity theft.
-Chaotic Corruption
A disorganised system where there is no clarity regarding whom to bribe and how much
payment should be offered.
There is:
no guarantee that further bribes will not have to be paid to other officials;
no reasonable assurance that the favour will be delivered;
no coordination between the recipients of benefits, with the result
that the price of corruption is often inflated
All these distinctions have no value: no form of corruption is better or worse than another.

1 Forms of corruption
1.1 Bribery
Bribery is arguably the most common form of corruption. It entails beneficiaries using
extralegal means of payment to acquire government favours and resource allocations.
This can involve contracts, tax exemptions, timeframes and technical standards for
complying with procurement rules and licences, public information being
monopolised, or getting the government to turn a blind eye to illegal activities.
1.2 Theft and fraud
Some officials steal state assets under their jurisdiction or made accessible to them as
a function of their positions in government. Acquiring publicly owned assets through
illegal transactions and fraud constitutes the most extensive form of such corruption.
1.3 Institutional corruption
Both the political and bureaucratic components of government could become sources
and targets of corruption. A common occurrence of such political and bureaucratic
corruption is where conflicts of interest are not managed, so that potential
beneficiaries of projects or resource allocations are directly able to control or
influence decisions about those projects or allocations. Institutional corruption is often
- perhaps most commonly - associated with cases where processes of decision-making
are misused by those who have the power to waive rules.
2 Types of corruption
2.1 Grand corruption
This type of corruption is defined as corruption that involves heads of state, ministers,
or other senior government officials and serves the interests of a narrow group of
business people and politicians as criminal elements.
2.2 Political corruption
Political corruption involves lawmakers, such as monarchs, dictators, and legislators.
Such officials engage in corruption when they seek bribes or other rewards for their
own political or personal benefit in return for political favours to their supporters at
the expense of the public interest.
2.3 Corporate corruption
This occurs in relationships between private business corporations and the suppliers or
clients. It also occurs within corporations, when corporate officials use the corporation
resources for private gain, at the expense of the shareholders.

2.4 Administrative corruption

Administrative corruption includes the use of bribery and favouritism to allow certain
individual businesses to lower their taxes, escape regulations, or win low-level
procurement contracts.
2.5 Petty corruption
This type of corruption involves the payment of comparatively small amounts of
money to facilitate official transactions, such as customs clearance or the issuing of
building permits.
2.6 Systemic corruption
This type of corruption is that type of corruption that is prevalent throughout all levels
of society.
3 Causes of corruption
The causes of corruption are varied and would have to be understood in specific
contexts. Corruption is closely, but not solely linked to officials' discretion over rents
and the degree of accountability in executing such discretion.
3.1 Ambiguous laws and regulations
A lack of clear rules governing the public sector and its procedures creates loopholes
for persons or firms to receive a government benefit to which they might not be
entitled. In South Africa the Corruption Act 140 of 1992 and the Prevention of
corruption and Related Practices Act 12 of 2004 are vaguely formulated and this give
people the leeway to avoid prosecution.
3.2 Poor enforcement of property rights and the rule of law
Weak enforcement of law and order in relation to property businesses encourage
corruption. Corruption is also more likely to take place when bureaucratic red tape is
excessive.
3.3 The overall culture of governance also plays an important role in corruption
If political leaders and top bureaucrats set an example of self-enrichment or ambiguity
over public ethics, lower level officials and members of the public might follow suit.
Hence, bribery and corruption may become the norm, even in the face of formal rules
intended to support clean governance. Because of government's major role in most
developing economies, opportunities for corruption are often more numerous.
4 Consequences of corruption

Corruption undermines economic development

Corruption undermines political stability and government legitimacy

Corruption undermines the fabric itself
Corruption jeopardizes the allocation of resources to sectors crucial for
development
Corruption encourages and perpetuates other illegal opportunities