ACCESSION NUMBER:00000 FILE ID:96092616.LAR DATE:09/26/96 TITLE:26-09-96 ACCOUNTABILITY CALLED KEY TO FIGHTING CORRUPTION TEXT: (USAID's Schneider tells seminar) (630) By Michael Greenwald USIA Staff Writer WASHINGTON -- Accountability in all its forms -- political, financial and legal -- must be increased to aid the fight against corruption in Latin America, according to a senior official of the U.S. Agency for International Development (USAID). Speaking at a Sept. 25-26 seminar at the Woodrow Wilson International Center on "Anti-Corruption Strategies in Latin America," Mark Schneider, USAID assistant administrator for Latin America and the Caribbean, gave the following formula to discourage corruption and develop the expectation of good government in Latin American countries: "dispersed power plus transparency plus accountability equals good government." The seminar gathered government officials, development bankers, academics, journalists, and business executives to discuss anti-corruption strategies in the wake of the Inter-American Convention Against Corruption, adopted in Caracas last March and now signed by 23 hemispheric countries, including the United States. There was a clear consensus among seminar presenters that momentum in Latin America is building in support of the fight against corruption. As evidence, Schneider reminded participants that in the past three years the presidents of Brazil and Venezuela, the vice president of Ecuador, and the head of military intelligence in Guatemala all were removed from their jobs amid allegations of corruption. Stephen Quick, manager for strategic planning at the Inter-American Development Bank (IDB), said that corruption interferes with the consolidation of democracy by undermining citizen confidence in government and slowing the growth of democratic institutions, and that as a tax on the whole society it interferes with economic development as well. Brazilian Culture Minister Francisco Weffort added that many Latin American countries find themselves in a fight between corruption and democracy. The widespread existence of corruption threatens the process of democratic transition that has taken place in the region over the past 15 years, he said. Alfonso Valdivieso, Colombia's first attorney general since that office was established last year, said his office's stance against corruption has given average Colombians the means, for the first time in 15 years, to respect those who follow the law and have contempt for those who act illegally. He cautioned, however, that the government can only do so much to fight corruption; society, he said, must also contribute by changing attitudes and the conduct of ordinary citizens through education and a new public ethic. A representative of Mexico's Ministry of Controlorship said his government is fighting corruption by strengthening accountability mechanisms and establishing public education programs. The presenters recommended many strategies to fight corruption. Ibrahim Shihata, general counsel of the World Bank, said that "corruption has become a major issue of international development policy because its distributional effects discriminate against the poor, it turns the rule of law to a rule of individuals pursuing their private interests, and it disrupts public confidence in government." The World Bank, he added, "is working out a general policy toward corruption that will go far toward helping borrowing countries in their efforts to reduce corruption." Fernando Carrillo, senior adviser of the IDB, said the bank funds projects in the region to further economic reforms, modernize the state and update the judicial system as means to fight corruption. James Wesberry, principal adviser to the World Bank, suggested that donor agencies support regional non-governmental organizations in their efforts to create citizen pressure on governments. Schneider cited a survey of Latin American government and private sector officials showing the four highest priorities in combating corruption are transparent financial management systems, educational programs, mechanisms that allow individuals to report corrupt acts, and prosecution of corrupt civil servants. The Woodrow Wilson International Center and Inter-American Development Bank cosponsored the seminar with USAID support. NNNN