Tanzanian Public Leaders Must Avoid Using Office for Personal Gain

Curbing Corruption and Fraud in the Public Sector

The Government of Tanzania has issued guidelines on conduct and prohibitions for public leaders to curb corruption and fraud in the public sector. These guidelines are aimed at ensuring transparency and accountability in the use of public resources.

Prohibitions on Using Office for Personal Gain

According to the guidelines, public leaders are prohibited from using their office for personal gain, including engaging in activities such as:

• Theft
• Corruption
• Conspiracy
• Embezzlement
• Money laundering
• Bribery
• Extortion

Fraud is defined as any intentional act or omission designed to deceive others, resulting in a loss and/or gain. It involves activities such as:

• Asset misappropriation
• Fraudulent financial statements
• Corruption

The Three Key Reasons for Committing Fraud

The guidelines highlight three key reasons why individuals commit fraud:

• Motivation: Based on selfishness, desire for wealth, or need.
• Opportunity: Arises when there are weak internal controls, poor security over organizational property, little fear of exposure, and likelihood of detection.
• Rationalization: Occurs when individuals justify their actions by saying “if others are doing it, why not me.”

Removing Opportunity as a Key Element in Fraud Deterrence

The guidelines emphasize the importance of removing opportunity as a key element in fraud deterrence. This can be achieved through effective internal control systems that ensure transparency and accountability.

Roles and Responsibilities

• The Permanent Secretary-Treasury has been mandated to issue directions and instructions from time to time to ensure safe and efficient use of public resources.
• The Internal Auditor General is responsible for issuing guidelines and ensuring the effectiveness of risk management in public sector entities, including fraud risk management.

Developing Guidelines for Fraud Risk Management

The need for developing and implementing guidelines for fraud risk management in public sector entities is crucial. The guidelines provide a framework for public sector entities to:

• Identify fraud risks
• Assess fraud risks
• Mitigate fraud risks

They also outline the roles and responsibilities of stakeholders, including:

• Management
• Internal auditors
• External auditors

Conclusion

The guidelines issued by the Government of Tanzania are a significant step towards promoting transparency, accountability, and integrity in the public sector. Public leaders must adhere to these guidelines and ensure that they do not use their office for personal gain or engage in any fraudulent activities.