DATE=10/27/1999
TYPE=CORRESPONDENT REPORT
TITLE=LATAM/CORRUPTION STUDY(L-O)
NUMBER=2-255529
BYLINE=BILL RODGERS
DATELINE=RIO DE JANIERO
INTERNET=YES
CONTENT=
VOICED AT:


INTRO:  An international non-governmental group that 
measures corruption world-wide says there has been 
little improvement during the past year in Latin 
America.  V-O-A's Bill Rodgers in Rio de Janeiro 
reports the assessment, from the group Transparency 
International, says the region continues to suffer 
from widespread corruption.

TEXT:  Transparency International says Chile was the 
only Latin-American country to be ranked among the 
world's 20 countries perceived to be the least 
corrupt.  Chile placed 19th in the group's 1999-index 
that ranks 99-nations.

The study by Transparency International, which was 
released Tuesday, is based on surveys with multi-
national companies, government officials, and the 
general public.  These surveys measure the extent to 
which bribery is perceived to be a common practice.  
The index also is based on corruption assessments made 
by firms that measure investment risk in nations.

The study indicates poverty is one of the factors 
contributing to wide-spread corruption -- and the 
index shows developed nations tend to be ranked among 
the least corrupt.  In general, Latin American 
countries fell in the middle of the 99-nation index.  

Brazil, for example, is in 45th place -- with more 
corruption than Chile, Costa Rica, Peru, and Uruguay - 
but the survey says far less than Venezuela or 
Bolivia.  Still, the head of Transparency 
International in Brazil, David Fleischer, says 
Brazil's score means that investors have to be wary.

            /// FLEISCHER ACT ///

      It is a sign that investors have to look 
      carefully at Brazil before they invest, in terms 
      of whether in their sector corruption is an 
      extra transaction cost of doing business in 
      Brazil.

            /// END ACT ///

// OPT //  Mr. Fleischer notes the information used to 
determine Brazil's ranking did not include revelations 
earlier this year from various investigations into 
corruption.  Because of this, he believes next year's 
index will put Brazil in a worse position.

            /// FLEISCHER ACT ///

      The surveys were done in 1997 and `98.  This 
      means they were done before what Brazilians call 
      `our boom of corruption', with all the 
      investigating committees in Congress and in the 
      municipal governments really hit the fan in 
      April, May and June.  So we expect next year, in 
      the year 2000, that what is going on in Brazil 
      now will have quite an impact on the survey done 
      in 1999 and probably Brazil will end up worse 
      with more perception of corruption in the index 
      done in the year 2000.

            /// END ACT & OPT ///

Paraguay, ranked 90th, and Honduras, at 94, had the 
lowest scores among Latin American nations in this 
year's Transparency International index.  
Transparency-Brazil head, David Fleischer, says the 
index's results should be a wake-up call for countries 
to strengthen their institutions so they can crack 
down on corruption.   (SIGNED)

NEB/WFR/RAE 



27-Oct-1999 13:04 PM EDT (27-Oct-1999 1704 UTC)
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Source: Voice of America
.