The Sunday Mail
Vision 2030
Allen Choruma
THE objective of Vision 2030 which seeks to radically transform Zimbabwe’s economy and attain an upper middle class status by 2030 can only be achieved if the vices of conflict of interest and corruption are nipped in the bud in all spheres of the Zimbabwean society and at every level.
Conflict of interest and corruption have taken centre stage following the rise in cases of abuse of office which are trending weekly in our courts. This trend if not checked poses a serious threat to the realisation of Vision 2030 whose road map will be achieved through implementation of the five-year National Development Strategies (NDS 1 and 2) running from 2021 to 2025 and 2026 to 2030, respectively.
Research shows that where a conflict of interest exists, this will lead to incidences of corruption. In other words, conflict of interest and corruption reside on the same platform and are correlated. As Zimbabwe works towards attainment of Vision 2030, it is imperative that the vices of conflict of interest, which lead to corruption, be nipped in the bud. Good corporate governance in both the public and private sectors is a critical ingredient for the realisation of our national development and social transformation strategies.
NDS1 realises that good governance is a key enabler for economic development as envisioned under Vision 2030. Corruption however, is a vice that needs to be fought against by any means possible as it threatens the achievement of national development aspirations. Conflict of interest is a driver of corruption and needs further scrutiny.
Conflict of interest
By definition a conflict of interest is more generally defined as a situation in which an office bearer, who could be a director, chief executive officer, senior management or a staff member, is in a position to exploit their official capacity in some way to further their private interest or to improperly further another person’s private interest.
Examples
Conflict of interest usually manifests itself in the following:
Abuse of office (use of office for personal gain).
Self-dealing (manipulating system for self-enrichment).
Influence peddling.
Insider trading.
Use of organisation (employer) property for personal gain.
Obtaining outside employment (during course of official employment).
Non-disclosure of information (prejudicial or harmful to organisation).
Soliciting for gifts, favours and similar benefits.
From the above it can be clearly seen that conflict of interest is an ingredient for corruption. For the courts to successfully convict an official for conflict of interest, say in a criminal prosecution for abuse of office, the conflict should be real and tangible and not hypothetical or abstract.
The following are common examples:
A director, member of management or staff allowing their associate firm (where they have pecuniary interests) to provide professional services (such as legal, accounting, audit) to the organisation they lead.
A director, member of management or staff facilitating their firm or that of their associates to tender on company projects.
A director, member of management or staff facilitating employment of their family members or those of their associates.
Declaration and recusal
Public office bearers or company directors are expected to act without conflict of interest and where a conflict exists, as fiduciaries, they are expected to openly declare the conflict of interest or recuse themselves in situations that involve a conflict of interest. There is a serious misconception when it comes to declaration of a conflict of interest. Many people believe that when they declare a conflict of interest it goes away. Declaring a conflict of interest is only a disclosure and does not remove the conflict of interest.
Avoidance
The best way to prevent a conflict of interest from occurring is for a public office bearer or a company director to avoid acting in situations that involve the conflict. In other words a situation which involves a conflict of interest should be avoided at all costs. Recusal does not eliminate the existence of a conflict of interest. Ethics, conflict of interest and corruption are closely intertwined. In other words the three (ethics, conflict of interest and corruption) lie in series or a continuum. Conflict of interest occurs when there is breach of ethics, which is a cornerstone of good corporate governance. When there is a breach of ethics the end result is corruption, which is an anti-thesis of good corporate governance.
Whistleblowing
Whistle blowing mechanisms are critical in the fight against conflict of interest and corruption. Whistle blowing mechanisms allow employees in an organisation and members of the public to report cases of conflict of interest and corruption without fear of being identified and being intimidated. It is pleasing to note that the Zimbabwe Anti-Corruption Commission (ZACC) has put in place a whistleblowing framework and protection mechanisms for whistleblowers.
These whistleblowing measures adopted by ZACC will go a long way in fighting the scourge of corruption, in both public and private sectors, in Zimbabwe.
Allen Choruma writes in his personal capacity and be contacted on email: [email protected]
