Role of IT Professionals in Corruption Prevention

1. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Role of IT Professionals inCorruption Prevention

2. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Contents • Corruption scene of Hong Kong • IT – a double-edged sword • Legal and ethics issues • ICAC’s services

3. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Corruption in Hong Kong • Under control

4. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Corruption in Hong Kong • Challenges– professionalised– insider’s dishonesty– cross boundary– IT advancement

5. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 IT : Double–edged Sword • Constructive? • Destructive?

6. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 The Invisible Stealing Hands • A computer operator of a bank • Transferred the “non-recorded” interest from 20 inactive deposit accounts to his personal account • Stole $500,000

7. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 ICAC File • Add value transaction of Octopus card • 4 station officers tampered with e-ticketing system  no trace of – $ value added – $ proceeds registered • Embezzled $200,000

8. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 ICAC File • IT experts breaking the safeguards? • Syndicated corruption in the workforce? • Unreliable vendor?

9. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 A Simple Trick of“Click-Click” • Double click to disable the system from recording the transaction

10. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Constructive Use of IT • Honest people • Reliable system • Best practices • Ethics culture

11. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Integrity Risks • Digital information/money • Procurement • IT security

12. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Corruption An act of abuse of trust

13. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Prevention of Bribery Ordinance • Both offer and recipient of a bribe are guilty • Government • Public bodies • Private sector

14. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Prevention of Bribery Ordinance • Prevent breach of trust • Protect interest of stakeholders • Ensure fair-play

15. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Prevention of Bribery Ordinance • Agent (employee) • Accepts/solicits advantages • An act in relation to principal’s (employer’s) business • Without principal’s consent

16. Prevention of Bribery Ordinance Advantage Gift, loan, fee, reward or commission Employment or contract Payment, release or discharge of loan or liability Service or favour (except entertainment) The exercise of any right or power

17. Prevention of Bribery Ordinance Entertainment It refers to food or drink for immediate consumptionon any occasion.

18. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Prevention of Bribery Ordinance • Agent (employee) • Accepts/solicits advantages • An act in relation to principal’s (employer’s) business • Without principal’s consent

19. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Code of Conduct • Legal status • Management tool

20. 非常衝突

21. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Corruption in Hong Kong • Soft corruption– conflicts of interest– wine & dine– indebtedness

22. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Conflict of Interest • Outside employment • Clients’/Business associates’ investment in a company in which you have a financial interest • Diverting company business to personal business/business of close friends or relatives

23. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 The Dos • Declare to the employer • Follow the “doubt” principle • Don’t place yourself in a position of obligation – frequent & excessive entertainment – indebtedness

24. 三思而後行

25. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 PLUS Standards P rofessional/Trade-related/ Company code of conduct egal requirements ncompromising self values unshine test L U S

26. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 The Dos • Know the anti-corruption laws • Follow company’s policy • Properly handle conflict of interest • Be self controlled – wine & dine, indebtedness, etc

27. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Use of IT inEthics Management • Timely • Paperless • Open door

28. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 ICAC’s Services • Law enforcement • Prevention • Education

29. Reports / Enquiries ICAC Report Centre or 8 Regional Offices 25 266 366 (24hrs) GPO Box 1000, HK

30. For Preventive Services, Enquiry & Report Regional Office (Kowloon West) Community Relations Department ICAC ADD: G/F Nathan Commercial Building, 434-436 Nathan Road, Kowloon TEL: 2780 8080

31. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 ICAC’s Services • Law enforcement • Prevention • Education

32. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 ethics@work a guide for business managersinthe use of IT

33. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 ethics@work • Integrity risks • Laws – Prevention of Bribery Ordinance, etc • Ethical decision making • Basics of ethical management • Sample code of conduct • Directory of services

34. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 HK Ethics Development Centre Website www.icac.org.hk/hkedc

35. C o m m u n i t y R e l a t i o n s D e p a r t m e n t 社 區 關 係 處 Thank You!