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Lessons from Operation Car Wash (COMBATE À CORRUPÇÃO E CONLUIO NAS CONTRATAÇÕES PÚBLICAS: Lições da Operação Lava Jato)

Authors: Alison Jones; Caio Mario da Silva Pereira Neto;

Lessons from Operation Car Wash (COMBATE À CORRUPÇÃO E CONLUIO NAS CONTRATAÇÕES PÚBLICAS: Lições da Operação Lava Jato)

Abstract

English Abstract: This paper examines the question of how a nation can combat corruption and collusion and prevent these practices from plaguing and undermining public procurement processes. This matter is especially important to Brazil where Operation Car Wash (Operacao Lava Jato) exposed widespread corruption and collusion affecting public procurement. Although focusing on Brazil, this paper reflects an academic and policy debate as to how a nation can escape from a “high-corruption” equilibrium, especially one strengthened by its interaction with supplier collusion. In particular, whether endemic corruption can be combatted through an invigorated law enforcement push accompanied by strategies of incremental change, or whether some “big bang” approach, with complete institutional overhaul, is required to establish a new equilibrium. The paper notes that the Brazilian experience provides support for the hypothesis that where corruption is endemic, better laws, and law enforcement, may be insufficient on their own to break a cycle and to remove the incentives and opportunities for corruption and collusion that exist. It also recognises, however, that, for many jurisdictions, wholesale big bang reform is unlikely to be feasible. It thus proposes a multipronged, and self-reinforcing, set of reforms to trigger change, concentrated on weaknesses diagnosed in the system. In particular, it suggests that where corruption affects public procurement, beyond specific adjustments to procurement, competition and anti-corruption laws, procurers, anti-corruption and competition enforcement agencies need to work closely together to coordinate policies and achieve synergies, and to combat incentives and opportunities for corruption and collusion within procurement processes. Such reforms must be combined with measures to tackle broader factors contributing to systemic corruption. Although inspired by the Brazilian case study, the diagnosis and proposed reform strategy provides a workable model for use in other jurisdictions. Portuguese Abstract: Este artigo examina a questao de como uma nacao pode combater a corrupcao, o conluio e prevenir que essas praticas afetem e minem processos de contratacoes publicas. Este assunto e especialmente importante para o Brasil, onde a Operacao Lava a Jato expos a ampla corrupcao e conluio que afetam as contratacoes publicas. Embora focado no Brasil, esse artigo reflete um debate academico e politico sobre como uma nacao pode escapar de um equilibrio de “alta corrupcao”, especialmente fortalecido pela sua interacao com um fornecedor de conluio. Em particular, ou a corrupcao endemica pode ser combatida atraves de um fortalecimento da aplicacao da lei, acompanhado de estrategias de mudanca incremental, ou uma especie de “big bang” se aproxima, com completa revisao institucional, sendo necessario para estabelecer um novo equilibrio. O artigo nota que a experiencia brasileira oferece suporte para a hipotese de que, onde a corrupcao e endemica, melhores leis e o fortalecimento da aplicacao destas leis, talvez sejam insuficientes para quebrar um ciclo e remover os incentivos e oportunidades para a corrupcao e o conluio que existem. Ainda reconhece, no entanto, que para muitas jurisdicoes, a venda em atacado da reforma do big bang e improvavel de ser exequivel. Assim, propoe um conjunto multifacetado e auto-reforcado de reformas para desencadear mudancas, concentradas nas fragilidades diagnosticadas no sistema. O artigo sugere que, onde a corrupcao afeta as contratacoes publicas, alem de ajustes especificos para contratacoes, leis de concorrencia e anticorrupcao, compradores, agencias anticorrupcao e de fiscalizacao da concorrencia, precisam trabalhar em conjunto para coordenar politicas, obter sinergias e combater incentivos e oportunidades de corrupcao e conluio nos processos de aquisicao. Essas reformas devem ser combinadas com medidas para enfrentar os fatores mais amplos que contribuem para a corrupcao sistemica. Embora inspirado no estudo de caso brasileiro, o diagnostico e a estrategia de reforma proposta fornecem um modelo viavel para uso em outras jurisdicoes.

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selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
0
Average
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