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Improving the Normalized Anti-corruption Mechanism for State-owned Enterprises(No.45, 2016)


By Wang Huaiyu, Research Team on “Prominent Conflicts and Countermeasures for Deepening SOEs’ Reform”, Enterprise Research Institute, DRC

Research Report No.45, 2016 (Total 4928)2016-04-06

Abstract: The current anti-corruption mechanism of state-owned enterprises (SOEs) is playing a crucial role, whereas there exist prominent problems such as poor effects of normal anti-corruption practice. The critical reason of such poor effects lies in the exclusive feature of SOEs’ anti-corruption mechanism. People holding key posts within the exclusive system may collude with each other and there may be private relationships between the supervision department and problematic staff, which would twist the function of the anti-corruption mechanism, and such distortion is hard to be discovered and corrected due to the exclusive feature of the system. To break SOEs’ exclusive anti-corruption mechanism and improve the normalized anti-corruption outcome, it is necessary to promote the diversified equity reform and strengthen the building of the board of directors. Efforts should be made in expanding information sources of social supervision, enriching approaches of social supervision and strengthening social supervision through sufficient protection. Specifically, first, we should improve the information disclosure system for SOEs; second, we should establish the litigation mechanism for stakeholders; third, we should improve the protection system for informers.

Keywords: anti-corruption of state-owned enterprises, social supervision, information disclosure, protection of informers, litigation by stakeholders