Essay On Financial Corruption

Finances, Corporations and Corruption

Introduction

This document has been drafted in order to understand the methods and recent history of financial corruption and how this affects not only the citizens of a country but every single human being. Despite of the fact that countries fight corruption at all levels, there are still ways for unscrupulous individuals to get away with the proceeds of embezzlement, bribery, extortion and others, with the help of bankers, lawyers and firms. In recent years many empirical studies have studied the causes and consequences of financial corruption and fraud. These evaluations are put together by private rating agencies in order to assess a country’s risk. Other studies are just general surveys of the general public and are thus

The figure represents one year of government spending and just one tenth of it would provide basic education for 5.5 million girls who are missing one.

- The amount of money laundered every year according to the UN Office on Drugs and Crime is between 800 billion and 2 trillion dollars.

- In the UK, the banking regulator found that 75% of banks were not doing enough to prevent money laundering.

And all this takes place because there are financial advisors, CFOs, bank managers who help or turn a blind eye on these problems.

Costs of Financial Corruption

Financial corruption is a crime that causes victims. Its human costs is heavy. As FIFA money disappear, it hinders social grassroots programs of funding, theft of state funds cause many to endure poverty for years. Rich countries are victims too as financial corruption thwarts competition and innovation, adds to the cost of doing business around the world which in turn undermines the global economy and is equivalent to a 20% tax on foreign