Unveiling Public Procurement Corruption Trends in Indonesia
Public procurement in Indonesia faces significant corruption risks, with a substantial portion of the state budget allocated to the sector. Opentender.net provides valuable insights into fraud analysis and trends, highlighting the importance of monitoring and improving the procurement process to bridge the gap between public needs and government provisions. Through detailed methodology and analysis, the platform sheds light on corruption suspects, modus operandi, and the need for enhanced oversight in infrastructure projects.
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Presentation Transcript
Opentender.net : Public Procurement Fraud Analysis Indonesia Corruption Watch
An Overview Why is public procurement always matter? The evolution of PP monitoring strategy Introduction to opentender.net The opportunities and challenges of opentender.net What can be done in the future
Public Procurement? A huge allocation of state budget goes to PP Corruption-prone sector (40% globally, 30-40% domestically and 30-40% in the private sector procurement) KPK (2019) says 80% of corruption cases related to PP LSI survey (2018) finds that infrastructure project is vulnerable to bribery (in all stages) PP is too important to ignore (Public procurement = Public need) There is a gap between what the people need and what the government provides
The evolution 2018 2015 Developmen t of opentender. net into version 2 2006 opentender. net 2004 Corruption Verdict Trend Analysis Corruption Trend Analysis Investigation of public procurement corruption / policy advocacy to improve a public procurement environment / capacity building 2019
What we do for corruption and corruption verdict trend analysis? Methodology Sources of information Classification of Information Sector Actor Modus Operandi/Pattern State loss Punishment Asset recovery Getting the information Data tabulation Data process Data comparison Descriptive analysis Printed mass media Online media (reputation) Press release Court verdict
What we get from corruption and corruption verdict trend analysis? Public servant Businessmen Parliament Member Local leader 375 235 127 37 Corruption Suspects Note: Semester 1 2018
Modus Operandi Overprice Bribery Direct appointment Gratuity Favouritism Document falsification Fictitious project Not completed project
External Dynamics More comprehend legal framework on PP The establishment of an Independent PP agency The establishment of electronic procurement services unit in each government entity PP reform is the priority of anti corruption agenda under National Strategy on Corruption Prevention International support to enhance the PP reform
What opentender.net is? opentender.net is a web-based instrument used to assess indications of fraud in government (electronic) procurement of goods and services. The indication of fraud was assessed from 5 predetermined criteria.
How was this developed? LKPP Data availability Indicators development MoU opentender.net LPSE General plan of PP Numbers of package Numbers of contract Amount of money Companies Good or service Own estimate vs contract Total amount of contract Total bidder Distribution of winner Quarter Each indicator has an equal score (5) 20 reflects the highest risk of fraud
Company name Project name Market price Regulation Name of person Address/Pic Company rival website Network
Social network/Political network/Life Style
Important info Bidding process Bidders Complaint/Refutation Time Frequent of company win the bidding Who is the owner of the company Is there any mark up How much in total Validity of company address Someone can be interviewed
What can we do with opentender.net? Investigation Academic research Capacity building for inspectorate general office, journalist, and CSOs Student exercises Baseline for tax office Investigative Journalist Club
What could be done in the future? Develop a new version (user friendly) Enhance the fraud indicators Expand the scope of PP that should be monitored Extent the collaboration Public spending trend analysis Connect the planning stage and implementation Equip the instrument with BO
Challenges Data reliability rely on LPSE Data access depends on LKPP Expand and extend the user The criminalisation against citizen journalism Open contract
Thank You Further information visit: www.antikorupsi.org
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