COEB422: ENGINEERS IN SOCIETY

SECTION 01
HAJI MOKHTAR BIN MAJID
Bribery in Malaysia:
Engineers Dilemma
Introduction
Bribery is an act of giving money or gift giving that
alters the behavior of the recipient.


Bribery constitutes a crime and is defined
by Black's Law Dictionary as the offering,
giving, receiving, or soliciting of any
item of value to influence the actions of
an official or other person in charge of a
public or legal duty.

Introduction
Based on surveys conducted by Ernst & Young, Malaysia
have been declared as one of the most corrupt nations
in Asia Pacific region. This is not a small issue anymore
because it always involves on professional profession such
as engineer, a huge amount of money and a big scale of
project.

CASE STUDY
CASE STUDY 2 CASE STUDY 3
CASE STUDY 1
Case Study 1:
Bribery of a Senior Manager
In this article, this man was charged because taking a brine of RM
200,000 over a contract for three barges worth USD 134.2 mil in
2008.
He was accused of obtaining the money from MLC Shipbuildings
Sdn Bhd owner as a reward for proposing a contract to build and
sell the barges at MLC Ship buildings office in Kuala Lumpur.

Source : Saturday, July 6, 2013 (malaysiabreakingnewsblogpspot)

Case Study 2:
Bribery of a Senior PETRONAS Manager
This case study shows that 2 Senior Officer were charged with a
bribery of RM 403,000 and RM 23,000 respectively.

This bribe is received by Idris M. Shuhud, 47, from Penaga Orbit and
Genius Response director Kemaruddin Mohd Daud in return for
approving Technical Bids Evaluation, Commercial Bids Evaluation and
Service Completion Certificates.

He faces up to RM5 million in fine, a five year jail term or both upon
conviction under Section 4(1)(a) of the Anti-Money Laundering and
Anti-Terrorism Financing Act 2001.

Source : Monday, December 20, 2010(malaysiabreakingnewsblogspot)


Case Study 3: Corruption case involving 69-year-old
man is first of its kind in Malaysia
A chartered arbitrator charged with corruption for the first time in Malaysia.
An arbitrator is akin to a judge in a civil litigation and the disputes. They are
expected to be charged under Section 16(a) A of the MACC Act.
The arbitrator, who has permanent residence in Malaysia, charged for
corruptly soliciting or receiving a bribe.
The managing director is expected to be charged with abetting the arbitrator.
The arbitrating disputes in several countries involving sums of up to
US$200mil (RM637mil), and the well-known arbitrator has also been involved
in dispute resolutions in Bangladesh, Nepal, the Philippines, Qatar, Sri Lanka
and Taiwan.
According to sources, the arbitrator was much sought after amongst lawyers
as an arbitrator for disputes involving engineering and building and
construction contracts.
Source : The Star News

Issues
Case Study 1 : They charge under Section 11(a) of the
Anti-Corruption Act 1997 carries a jail term
Case Study 2: Charged for corruptly or receiving bribe,
charged under Section 16(a) A of the MACC act.
Case Study 3: He was charged under Section 17(a) of the
Malaysian Anti-Corruption Commission Act (MACC) 2009
which is punishable by up to 20 years in prison and a fine
of five times the bribe or RM10,000 whichever is higher.

Solutions
Develop a series of training (Nigerias Economic and
Financial Crimes Commission: Tackling Bribery and
Corruption in Economic and Financial Crimes Commission
(EFCC)
Bribes to officials either at home or abroad are treated as
criminal offences. (Source from anticorruption homepage
,Ireland )
Big awareness to public in bribery and also corruption
Personal integrity
Engineering ethic

Data Analysis Based
On
Survey Questions
QUESTION 1
What is your opinion on the
occurrences of bribery in the
engineering profession in
Malaysia?

88%
12%
Critical
issue
Not critical
issue
The highest
percentage is 88%
where people said
occurrence of
bribery in
engineering
profession is
critical issue in
Malaysia.
People worried
about the issue of
corruption so
widespread that
there is no
solution.

QUESTION 2
How would you rate rampant corruption in the
engineering profession in Malaysia?

47%
43%
22%
High
Medium
Low
Highest percentage
is 47% where
people said that
bribery occurs very
high in Malaysia

People agreed that
there were many
bribery cases
happened and still
happening in
Malaysia

QUESTION 3
What is the reason person in engineering profession
involved in bribery?

16%
28%
42%
14%
Dont know how to
differentiate between
gift and bribery
Low salary
Greed
Enviromental
influences factor
Cost of living in the
city is getting higher
and it increases rapidly
Environment such as
company management
practices bribe in
appointing an
employee for a higher
position.
Causes a negative
environment to the
workers to get involve
in bribery and the
talented ones will not
be given a chance.
QUESTION 4
Do bribery effects the engineering profession in
Malaysia?

93%
7%
Yes
No
Aware with the
disadvantages of
bribery and how it will
affect the economy and
development of the
country
Yet still support bribe


QUESTION 5
In Malaysia we have Anti-Corruption
Commission (MACC), is the MACC effective in
preventing bribery cases in Malaysia?

23%
34%
Yes
No
Malaysian Anti-Corruption
Commission (MACC) is not
active in preventing the
bribery cases in Malaysia.

Prominent steps should be
taken

QUESTION 6
When a boss give his worker an expensive
holiday package after working so hard on a
project. Gift or Bribe?

89%
11%
Gift
Bribe
89% of the people agreed
that this action is not a
bribery action and it is an act
of encouragement.

11% of the people agreed that
is an act of bribery but this
also depends if the boss want
something in return from the
worker.

QUESTION 7
When you receive a new laptop from your boss
without any reason and after that you were ask to
settle a secret job. Gift or Bribe?

21%
79%
Gift
Bribe
79% of the people agreed that
the act of giving expensive
gifts to the worker without
any reason is an act of giving
bribery and there is also 21%
who believes that it is normal
for the boss to give a gift to
the worker even though
without reasons.
QUESTION 8
When a manager use the company's money and
buy expensive watch for all the workers in the
office. Gift or Bribe?

57%
43%
Gift
Bribe
57% agreed that this act
is considered as giving
gift while 43% point out
this is an act of giving
bribe.
QUESTION 9
If you get a company car that would be over your
wage. Gift or bribe?

56%
44%
Gift
Bribe
56% people agreed
that this an act of
giving gift to the
workers and at the
same as a favour for
the worker when
they dont have
transportation to go
work. However
there are 44%
believed that this is
a bribery act.
QUESTION 10
When your boss gets expensive bakery for the
break room and wants you to stay for an hour
more. Gift or bribe?


49%
51%
Gift
Bribe
51% people believes that
this act is an act of
bribery but 49% agreed
that this is just a gift
from a boss to his/her
workers.
Recommendation
A federal freedom of information act (Act 88) is needed
and without obstruction by the Official Secrets Act.
Regulations in the political arena are needed to reduce
monetisation of politics.
Do research for counter measure used in other country
such as Singapore (Rank 5), United Kingdom (Rank 14)
etc.
Implement the system in Malaysia (Rank 53).
Conclusion
Most Malaysian do know what is going on exactly.
Change perception towards engineers.
Differentiate between bribe and gift.
Human nature to be appreciate/ to gain benefit.
Law enforcement & educate society

Q & A
Thank You