25 January 2007

Civil Servant Trials Are Model for Transparency in Paraguay

Partnership for a Better Life

 
Erwin Kaats
Erwin Kaats, president of the “Commission for Villarrica” citizens’ association that strives to improve local governance. (USAID photo)

In 2003, the municipality of Villarrica, Paraguay, installed a custom-made computerized income information system under the guidance of a project funded by the U.S. Agency for International Development (USAID) to improve local governance. The system standardized and integrated municipal records on properties, property owners and tax collections.

Not long after the system was introduced, local leaders and project consultants discovered that dishonest civil servants had created a network that produced false receipts that enabled them to embezzle public funds; they had siphoned off at least $32,000. Through the local news media, Villarrica's mayor informed the townspeople of what had happened.

Residents were angry and demanded justice. The civil servants involved in the embezzlement scheme were indicted.

It was the first time in Paraguayan history that a municipality had taken individuals accused of corruption at the municipal level to court in a transparent public trial. The indicted civil servants were found guilty and have begun to repay the stolen money.

Although it was unfortunate that the embezzlement scheme was successful, the indictment and public trial of the suspects showed that it was possible for a mayor and the town’s citizens to demand justice and increase transparency.

The trial created a precedent and reminded civil servants of their obligation to be honest when managing government property. It also bolstered citizens’ faith in the justice system and public confidence that mismanagement of public funds can be confronted and corrected.

(Distributed by the Bureau of International Information Programs, U.S. Department of State. Web site: http://usinfo.state.gov)

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