Tuesday, July 20, 2010

Corruption and other Crimes

The biggest obstacle for political change in Russia is corruption at all levels of government. Taking bribes and skimming the cream off the budget are the norms, not the exceptions. Government corruption has its roots in the Soviet Union beginning in the 1970s as the wheels began coming off. Soviet elites wanted to improve their situation as consumer goods became more scarce. Until corruption is reigned in, democratic  progress for the lower and emerging middle class is not going to happen.

Here are three stories in the July 20 edition of the Moscow Times. These are all published the SAME day.

Police-initiated Crime

Police resist change despite growing public distrust: A state-run polling agency conducted a poll with Russians. 82% believe that police officers are ready to break the law. That's one point higher than last year.

32% believe they commit crimes on a regular basis.

Some towns have to use police to police the police.

By the way, it is against the law to "insult" a public official, including police officers. A fine of $1000 or several months of forced labor.

Today's Learning Objective: Demonstrate creativity in making money.
Moscow's Education Department spent 9.35 million rubles ($306K) to lease 7 cars for 12 months. It could have purchased them outright for 8.75 rubles ($287K). An obvious case of fraudlent activity, which runs rampent in government.

Guys: It is always great to give gifts to your wife, unless it's against the public interest.
Moscow's head of the department of bridge and road construction is being investigated for giving 48 different contracts to companies headed by his wife or where she has financial interest.
When questioned about her ownership, he didn't deny it.

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