The effect of corruption on government institutions.

THE EFFECT OF CORRUPTION ON GOVERNMENT INSTITUTIONS IN
MOGADISHU-SOMALIA: A CASE STUDY FEDERAL INSTITUTIONS.
BY
ABDUWALI MOHAMED SALAD
ABDULKADIR WARSAME HASSAN
THIS IS A THESIS BOOK SUBMITTED IN A PARTIAL FULFILMENT FOR THE
REQUIREMENT OF BACHELOR DEGREE OF ECONOMICS AND MANAGEMENT
AT BENADIR UNIVERSITY.
Mogadishu-Somalia
JULY
2019

ii
COPYRIGHT
Copyright© 2019
Abduwali Mohamed Salad
Abdulkadir Warsame Hassan
All rights reserved. This research project cannot be copied, replaced, recorded or transmitted by
any electronic or mechanical means without the consent of the copyright.

iii
EXAMNING PANEL APPROVAL
This senior project entitled "The effect of corruption on Government institutions case study
Federal institutions" prepared and submitted by: Abduwali Mohamed Salad and Abdulkadir
Warsame Hassan.
A project is submitted in Partial fulfillment of the requirement for the award of Bachelor degree
of Economic has been examined and accepted by examining panel.
Name and Signature of Chairman of Examining Panel
_________________________________________________________________
Name and Signature of Panelist
_________________________________________________________________
Name and Signature of Dean Faculty of Economic and Management
______________________________________
Dr. Ahmed Mohamed Dahir (Ahmed Tall)
Date: _________ /______ / _________
Academic Year 2018–2019

iv
DECLARATION (A)
We are hereby declare that this graduation project is from own work and effort, and that has not
been submitted anywhere for any award. All other sources of information used have been
acknowledged.
Name of the Candidate: Abduwali Mohamed Salad
Signature: _________________________
Date: / / 2019
Name of the Candidate: Abdulkadir Warsame Hassan
Signature: _________________________
Date: / / 2019

v
DECLARATION (B)
We confirm that, the graduation project the effect of corruption on government institutions carried
out prepared under our direct Supervision. We hereby also confirm that graduation project was
conducted in accordance with degree regulations and University Project Manual (RPM)
Name of the Supervisor
Mr. Said Gure Osman
Signature: _________________________
Date: / / 2019

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DEDICATION
To our divinely Parents
We dedicate this thesis to our loved parents who have always taught us to trust in Allah, believe
in hard work that so much could be done with little.
To our respected teachers
Teachers are always a great source of inspiration and motivation for us. Our teachers remained a
beacon of light for us. They are sincere guidance and prudent leadership guide our way clearly not
only to excel in achieving this dissertation but also a definite direction for a professional career
too.
To our sweet friends
Our friends mean the world to us. We are proud to mention their cooperation, collaboration, and
teamwork. We would not be able to achieve this target easily. We are thankful to all for their
support and encouragement during the time we needed them most.

vii
ACKNOWLEDGEMENTS
First of all, thanks to ALLAH S.W.T by begin and end, who allowed for us to prepare and write
this book.
Secondly, we thank to our faculty, Faculty Economics and Management Science specially the dean
of the faculty Dr. Ahmed Mohamed Dahir and whole teachers who learnt and encourage for us
to prepare and write this book.
Thirdly, we also thank our dear lecturer Said Gure Osman.
Lecturer Gure was always happy and willing to help us solving the confusions and direct us
approach the final result of the thesis book.
On top of that, lecturer Gure is an easy-going and open-minded person, whom is also a good friend
to us. Without his encouragement we will not finish this final work in our thesis book.
Thank you very much Gure.
Lastly, we are fully indebted to our friends for their moral, spiritual and financial support during
our period study. Without continued support, this may have not been achieved. Our love for them
endures of a life time.
Special thanks must also be extended to our classmates who have provided valuable expertise and
assistance.

viii
Table of Contents
TITLE ...........................................................................................................................................................i
COPYRIGHT..............................................................................................................................................ii
EXAMNING PANEL APPROVAL .........................................................................................................iii
DECLARATION (A).................................................................................................................................iv
DECLARATION (B) ..................................................................................................................................v
DEDICATION............................................................................................................................................vi
ACKNOWLEDGEMENTS .....................................................................................................................vii
LIST OF ABBREVIATION......................................................................................................................xi
ABSTRACT...............................................................................................................................................xii
CHAPTER ONE .........................................................................................................................................1
1.0 Introduction.............................................................................................................................................1
1.1 Background of the study .........................................................................................................................1
1.2 Statement of the Problem........................................................................................................................4
1.3 Purpose of the study................................................................................................................................5
1.4 Specific Objectives .................................................................................................................................5
1.5 Research Questions.................................................................................................................................5
1.6 Hypothesis...............................................................................................................................................5
1.7 Scope of the study...................................................................................................................................6
1.8 Significance of the study.........................................................................................................................6
1.9 Operation and Definition of key terms ...................................................................................................7
1.10 Conceptual frame work.........................................................................................................................8
CHAPTER TWO ........................................................................................................................................9
2.0 Introduction.............................................................................................................................................9
2.1 The impact of corruption on the judicial system.....................................................................................9
2.1.1 Poverty...............................................................................................................................................11
2.1.2 Unemployment...................................................................................................................................12
2.1.3 Retarded Business..............................................................................................................................12
2.1.4 National Insecurity.............................................................................................................................12
2.1.5 Government Instability ......................................................................................................................13
2.1.6 Theft of government financial resources............................................................................................13
2.2 The impact of corruption on the Police and security forces..................................................................14
2.3 The influence of corruption on the tax authority ..................................................................................16

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CHAPTER THREE..................................................................................................................................22
3.0 Introduction...........................................................................................................................................22
3.1 Research Design....................................................................................................................................22
3.2 Research Population..............................................................................................................................22
3.3 Sample Size...........................................................................................................................................22
3.4 Sampling Procedure..............................................................................................................................23
3.5 Research Instruments............................................................................................................................24
3.6 Validity and reliability of the instrument..............................................................................................24
3.7 Data Gathering Procedures ...................................................................................................................26
3.8 Data Analysis........................................................................................................................................26
3.9 Ethical Considerations ..........................................................................................................................27
3.10 Limitations of the Study......................................................................................................................27
CHAPTER FOUR.....................................................................................................................................28
4.0 Introduction...........................................................................................................................................28
4.1 Demographic information of the respondents.......................................................................................28
4.1.1 Gender of the respodents...................................................................................................................28
4.1.2 Age of the respodents........................................................................................................................28
4.1.3 Marital status......................................................................................................................................29
4.1.4 Educational Level ..............................................................................................................................30
4.1.5 Occupation of the respondents..........................................................................................................30
4.1.6 There is a mass corruption in the Somali judicial system..................................................................31
4.1.7 Judiciary serves those who grease their palms instead of serving the ...............................................32
4.1.8 Judiciary is the most corrupted sector of all government institution .................................................32
4.1.9 Corruption has a grave impact on the decisions of judiciary.............................................................33
4.1.10 Corruption in the judiciary led current justice crisis in our country. ...............................................34
4.1.11 Because of corruption in police department, police are incapable of managing security................34
4.1.12 People have accustomed (adapted) to the corruption in the police department...............................35
4.1.13 Corruption in the police department caused that criminals are to be released from jails.................36
4.1.14 Corruption in police brought about the people does not complain to them. ....................................36
4.1.15 Corruption in police brought about distrust from the population towards the police. .....................37
4.1.16 Tax income is not directed to the government office concerned because of corruption..................38
4.1.17 Some people are exempted from tax................................................................................................38
4.1.18 There is no right tax collection because of corruption.....................................................................39
4.1.19 Tax authority is the most corrupted departments.............................................................................40
4.1.20 Tax collectors’ authorities facilitate corruption. ..............................................................................41

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4.2 Discussion of the findings.....................................................................................................................42
4.2.1 Characteristics of the Research Respondents.....................................................................................42
4.2.2 Objectives ..........................................................................................................................................42
CHAPTER FIVE ......................................................................................................................................46
5.0 Introduction...........................................................................................................................................46
5.1 Conclusion ............................................................................................................................................46
5.3 Recommendations.................................................................................................................................47
REFERENCES..........................................................................................................................................49
APPENDIX................................................................................................................................................51

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LIST OF ABBREVIATION
GPD: Gross Domestic Product
DFIP: Department for International Development
EFCC: Economic and Financial Crime Commission
SSS: State Security Service
TI: Transparency International
UNCAC: United Nation Convention Against Corruption
NBS: National Bureau of Statistics
EACC: Ethics and Anti-Corruption Commission
TIK: Transparency International Kenya
IPOA: Independent Police Oversight Authority
NPSC: National Police Service Commission
NTSA: National Transport and Safety Security
VAT: Value Added Tax
MOF: Ministry of Finance
CVI: Content Validity Index
CHDR: Collage of Higher Degrees and Research

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ABSTRACT
The purpose of this study examined the impact of corruption on Government institutions in
Mogadishu, Somalia. This study was conducted quantitatively through descriptive research design;
target population of 80 participants was adopted, and sample size of 67 respondents selected from
target population using Slovene’s equation. The data collected from Mogadishu area, using
questionnaires as a tool for data collection. The data analysis was done by using the statistical
package SPSS version 20. The researchers found that the corruption is a major problem in
Government institutions, and not only in developing countries but all around the world. It impedes
economic growth, weakens the rule of law and undermines the legitimacy of institutions. Although
it has been studied at national level from different perspectives, there is a recent growing body of
research on local corruption. As far as we know, this thesis book focused on the effect of corruption
on government institutions. The findings of the study shown in tabular and graphical forms, shows
that the most of the participants 58.2% were male, 41.8% were female. Therefore, the majority of
the voters were male. The above table and below chart indicate that age of the most participants
59.7% were aged between 20-30 years, while 34.3% were aged between 30-40 years, 6.0% were
aged more than 40. This indicates that the most participants of the questionnaires were aged
between 20-30 years. The above table and below chart indicate that the majority of the participants
67.2% were single, whereas 32.8% were married. The above table and below chart indicate that
the majority of the votes 52.2% were Bachelor, 22.4% of them are Secondary, 14.9% of them are
Master, while 10.4% of them are Others. The table above and chart below indicates that 62.1%%
were operational staff, 17.9% were senior management, 20.9% were Chief Office.

1
CHAPTER ONE
1.0 Introduction
This chapter consists of ten points: it presents background of the study, explains the problem
statement, purpose of the study, specific objectives, research questions, hypothesis indicates the
scope of the study, highlights significance of the study, Operations and definition terms and views
conceptual framework.
1.1 Background of the study
As early as 1960s various schools of thought had attempted to explain the precise effect of
corruption on people’s well-being. The classical school viewed corruption as an instrument for
tackling problems in service delivery occasioned by the existence of cumbersome regulations,
excessive bureaucracy or market restrictions. However, they went further to note that even in cases
where corruption can be perceived to be good for the economy, certain negative externalities
remained. While underscoring the existence of these externalities, this school of thought did not
evaluate the influences of corruption on the economy especially, those economies which had
undertaken aggressive reforms and removed bureaucracies and cumbersome regulations. These
were the main arguments that informed the general understanding that reforms are better for the
economy. Most governments have, therefore, in the last decade pursued aggressive public sector
reforms as a means of tackling corruption (Chetwynd et al, 2003). (Elisabeth Nduku, 2014,
Corruption in Africa: A Threat to Justice and Sustainable Peace)
Conceptually, it is believed that higher levels of globalization lead to reduced levels of corruption.
As pointed out some experts growing interdependence amongst states, both politically through
international organizations and socially through media should have an impact on spreading better
quality of governments and anticorruption norms. Some empirical studies by many scholars found
that this relationship to be true. The studies made in many parts of the world about corruption,
found that the lower the degree of integration in the world economy, the higher the levels of
corruption. This relationship in countries of low income, in a study that uses cross-sectional data
for 127 countries from the year 2006, no linear relationship is found between corruption and

2
globalization for poor countries. However, when using an unbalanced panel of 102 countries over
the period 1995–2005, another study found that globalization was in fact the only variable which
can reduce corruption particularly in developing countries. Corruption is worse than prostitution.
The prostitution might endanger the morals of only one person; but the corruption may be
invariably deteriorates the moral of an entire country. (Dimant & Tosato, 2017)
Corruption is worse than prostitution. The latter might endanger the morals of an individual; the
former invariably endangers the morals of an entire country. Corruption is presently one of the
major problems facing the human race. In the whole world corruption is increasingly being seen
as a threat to human existence to the extent that some commentators have called for it to be
recognized as a ‘crime against humanity. Indeed, corruption has been identified as the main
obstacles to the realization of good governance, sustainable development and future development
goals. It has monumental effects on the political, economic, social and cultural well-being of
societies. In Africa, for instance, the Commission for Africa identified corruption as a central
concern which negatively affects governance and development on the continent. (Elisabeth Nduku,
2014, Corruption in Africa A Threat to Justice and Sustainable Peace).
Some commentators and practitioners have long considered corruption a ‘victimless’ crime that
affected no particular individual. This view has, however, changed the following empirical and
non-empirical studies on the relationship between corruption and economic and human
development. Corruption affects investments, increases and distorts the allocation of resources and
expenditure on basic needs such as infrastructure, education and health care. In addition to that it
reduces productivity of public investment and infrastructure through misallocation of talent and
other resources. It also undermines good governance, democracy and a country’s competitiveness
and revenue base.(Elisabeth Nduku, 2014)
According to Dreher and Herzfeld, the effect of corruption on Gross Domestic Product (GDP)
growth is so huge such that ‘an increase of corruption by about one index point reduces GDP
growth by 0.13 percentage points and GDP per capita by US$ 425. In Africa, the African
Development Bank estimates that the continent losses in excess of US$300 billion annually
through corruption, an amount that is 25% of its GDP and higher than donor and aid inflows.
Corruption is the most neglected human rights violation of our time. It fuels injustice, inequality
and deprivation, and is a major catalyst for migration and terrorism in developing countries.

3
‘Corruption undermines economic performance, weakens democratic institutions and the rule of
law, disrupts social order and destroys public trust, thus allowing organized crime, terrorism and
other threats to human security to flourish and it is always the public good that suffers.’ (Kofi
Annan)
Many African countries in the Continent, the social and political consequences of corruption rob
nations of resources and potential, drive and flourish inequality, resentment and radicalization and
insecurity. Corruption cheats the continent’s governments of some US$50-billion annually, and
stymies and perplexes successful cities, sustainable economies and safe societies. This corruption
discourages donors and destroys investor confidence, suffocate and hold back the development,
progress, and prosperity of many states. Added to that, across the continent, socio-political
dissatisfaction at corruption provides fertile ground for radicalization, and some extremist
organizations are adept at portraying Islamism as the solution to such injustice. For example,
corruption stimulates recruitment of many young teenage of ours and other African population into
the ranks of extremist lines in the continent. In a recent study, 70% of those who are interviewed
in the state of Sokoto in Nigeria cited corruption as a factor driving radicalization. There are some
encouraging signs on the continent. When leaders from some African countries as Kenya, Rwanda,
Nigeria, and Tanzania highlight corruption as a major threat to their countries and the continent as
a whole, then we might just be seeing this will finalize the days of impunity if that leaders realize
their dream. And the test now is whether they deliver on these fresh anti-corruption promises into
a credible way that take account of human rights. (Corruption Watch 10 Oct 2016).
The root causes of corruption vary from place to place depending on the political, social, economic
and cultural circumstances. In Africa, some of the identifiable causes of corruption include the
negative colonial legacy, poor leadership, politics of the belly, omnipotent state, greed and
selfishness, clientelism and patronage, nepotism, absence of popular participation of the public
affairs in government, weak institutions of governance, lack of accountability and transparency,
lack of political will, weak ethical values, centralist nature of the state and concentration of state
power, weak judicial system and constant insecurity and conflicts. Political clientelism in politics
is the asymmetric relationships between groups of political actors described as patrons, brokers
and clients. “Without doubt, corruption has permeated the African society and anyone who can

4
say that corruption in Africa has not become alarming is either a fool, a crook or else does not live
in this continent.” (Chinua Achebe).
Somalia ranks among the world’s most corrupted countries. Insecurity is also a major issue that
we feel and see every day in our cities; and the ongoing instability greatly restricts and discourages
to make business activities. Corrupt government officials tolerate illegal activities in return for
bribes. Dysfunctional institutions facilitate an environment of lawlessness, and the absence of any
form of regulatory framework that hinders prospects of economic competitiveness. Business is
based on patronage networks, and tight monopolies which dominate the market.
Somalia’s Provisional Constitution criminalizes the total forms of corruption (including abuse of
office, embezzlement of public funds and property and bribery); but no implementation of the
legal departments which enforce the law against corruption and bring the criminals in front of
courts of the law to be sentenced. The governing elite are continuously involved in allegations
of embezzlement of public funds from the meager tax revenue that contributed by the Somalia tax
payers to the state treasury. (Business-anti-corruption May 2016)
1.2 Statement of the Problem
Corruption is a global misconduct in which many officials across the world get involved. Without
corruption, the earth would be a better place to live with so much harmony and equality where a
public asset was utilized legally without embezzlement. Often officials use public property as
though it was their own and not consider the trust they were given. With the right personnel, people
would live in a greener land with so much prosperity in it.
Now every year a lot of corrupt practices are reported by the institutions concerned in many
different parts of the world with so much emphasis on African and Latin America. Corruption is
the root cause of many problems reported. For instance, corruption leads to insecurity when the
institutions concerned accept bribery. Furthermore, security threats resulted by insecurity leads to
political instability where with much chaos. In addition to the above points, corruption results in
unemployment, poverty and incredibility. In that case, People usually do not give their trust to the
government institutions.
In our point of view, corruption can either be reduced or totally eliminated acting on the following
steps. First of all, Good governance is the key role which leads to justice for all. Second, Warnings

5
issued by those caught committing corruption. Lastly, Constant observation of offices made by
trustworthy elites entrusted and assigned to take anti-corrupt actions against those who found to
be involved public power abuse.
1.3 Purpose of the study
The general purpose of the research is to study the impact of corruption on Government
institutions; since this topic is broader, we focus only: Judicial system, Police, and Tax Authority.
1.4 Specific Objectives
• To examine the impact of corruption on the judicial system in Mogadishu -Somalia.
• To determine the impact of corruption on the Police and security forces in Mogadishu -
Somalia.
• To assess the influence of corruption on the tax authority in Mogadishu -Somalia.
1.5 Research Questions
• What is the impact of corruption on the judicial system in Mogadishu -Somalia?
• What are the impacts of corruption on the Police and security forces in Mogadishu -
Somalia?
• What are the influences of corruption in the tax authority in Mogadishu -Somalia?
1.6 Hypothesis
This study was guided by the following hypothesis:
• H0 bi=0 (there is no relationship between Corruption and Government institutions)
• HA bi ≠0 (there is a relationship between Corruption and Government institutions)

6
1.7 Scope of the study
The Scope of the study related to establishing imaginary borders for the study in terms of time,
geography and content.
The geographical scope
This study was carried out in Mogadishu, Somalia.
Content scope
This study was searching for the effects of Corruption and Government institutions. It will
specifically focus on the impact of Corruption on the judicial system, Police, and Tax Authority.
Time scope
This study covered the period between 2018 to 2019.
1.8 Significance of the study
It goes with saying that results in this study (Corruption) have great benefits to all government
institutions such as Police and Security forces, Judicial system, and tax authority and so on. Also,
this study conducts have benefits to students, professors, and future researchers. So, this research
is beneficial to the above components in the following manner:
• Judicial system: this study can push the judicial system to re-arrange itself and serve its
people in justice-full and transparency way; if judicial system utilizes this study it may be
effective and efficient judiciary; and effective judiciary will be a powerful weapon against
corruption.
• Police: this research may also conduct benefits to the police system to know and reform its
faultlessness. Police are one of the important sectors of the government that keeps peace
and stability.

7
• Tax authority: also, this study is more important to tax administration to arrange them-
selves and to fight against corruption because this sector (tax authority) is the most
susceptible part that corruption can easily be dissolved.
• Student: this research may serve as a guide and reference for the students that will be
undertaking similar studies in future.
• Professors: this research will aid them with their discussions regarding the related lessons.
It will be easier for them to tackle related topics about this research.
• Future researchers: this research will be significantly a useful reference for the
researchers who would plan to make any research study precisely the standard underlying
the bachelor of Economics and Management Science.
• To ourselves: this study is more important for ourselves to have the experience to increase
our knowledge more about corruption and its related issues. Also, this research has opened
our mind and enabled us to think generally.
1.9 Operation and Definition of key terms
Government: A group of people that govern a community or unit. It sets and administers public
policy and exercises executive, political and sovereign power through customs, institutions, and
laws within a state.
Corruption: is the misuse of public power (by elected politician or appointed civil servant) for
private gain.
Corruption is seen as a social, legal, economic and political concept. Corruption can be divided
into five groups, namely Public interest centered, Market centered, Public office centered, and
public opinion centered and legalistic. Each has its own meaning the common definition to these
parts of corruption is used to mean the “use of public office for private gain. (Corruption in Africa
A Threat to Justice and Sustainable Peace)

8
Chinhamo and Shumba (2007) propose the corruption to be defined as “the abuse or complicity
(italics mine) in the abuse of private or public power, office or resources for personal gain.” The
authors stress on the participation in the abuse of entrusted power widening the scopes of
definition. (Avetisyan, 2007)
Judicial system: Branch of government whose task is the authoritative adjudication of
controversies over the application of laws in specific situations.
Police: the civil force of a state, responsible for the prevention and detection of crime and enforce
maintenance of public order and security sustainability.
Tax authority is empowered to a specific organization.
Tax authority is the only authority that managed, conducts, directs, and supervises of the execution
and application of a government’s tax revenue of a country or sate’s taxation laws and related
statutes.
1.10 Conceptual frame work
Judicial system
Police & Security Forces
Dependent
variables
Independent
variables
Tax authority
Corruption

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CHAPTER TWO
2.0 Introduction
This chapter talks about the concepts and various literature related corruption on government
institutions would help to measure Corruption on government institutions and the importance of
understanding judicial system, Police & Security force and Tax authority on Corruption.
2.1 The impact of corruption on the judicial system
According to Transparency International, corruption is the abuse of entrusted power for private
gain and judicial corruption includes any inappropriate influence on the impartiality of the judicial
process by any actor within the Court system. Thus, while the Judges and Court Staff are directly
involved in the adjudication of the law, the Police, Lawyers, Prosecutors and all those involved in
cases before they actually get to Courts are equally stakeholders. For example, the Court plaintiffs
are saddled with the responsibility of enforcing court judgments after a case is closed. And so, at
any point corruption takes place along the judicial stream that is, flowing from the Police to the
plaintiff we refer to it as judicial corruption. The examples depicted by Transparency
International12 are similar to what we find in Nigeria. Example, a situation where a Judge allows
or excludes evidence with the aim of justifying the acquittal of a guilty defendant on a high political
or social status is similar to what took place in the famous James Ibori's case in Nigeria. It is on
record that the Federal High Court sitting in Asaba acquitted Ibori of all 170 charges of corruption
brought against him. However, upon intense investigation of his case by the Department for
International Development (DFID) alongside Nigeria’s anti-corruption unit and the Economic and
Financial Crimes Commission (EFCC), the same man pleaded guilty at Southwark Crown Court
sitting in London, to 10 counts of money laundering and conspiracy to defraud. One wonders what
made the Court discharge Ibori at the High Court when the EFCC at the time, tendered evidence
backing up the charges of theft of public funds, abuse of office and money laundering. Your guess
is as good as mine. Another instance easily comes to mind. The National Judicial Council late last
year had, after its 82nd meeting, recalled six Judges from the Abuja Division of the Federal High
Court. Some of the Judges were suspended after a search was carried out at their residences by the
State Security Services (SSS) on October 7, 2016. And three of the Judges were arraigned for

10
alleged corruption. Even though these Judges were later recalled, it does not wipe the taint of
corruption absolutely. (NNENNA JOY EBOH, 14th December2005)
We also have instances where judges may inaccurately summarize Court proceedings or distort
witness testimony before delivering a verdict that has been purchased by one of the parties in the
case. There have been cases too where parties preferred the ruling of a particular Court or Judge
to that of another. It is said that one always prefers the one who listens to him. Cases where junior
Court personnel lose files are rampant. Practicing lawyers cannot narrate enough what they go
through every day in Courts. One files a document today, the next day; it is not in the record books
of the Court and so on and so forth. Judicial corruption is the Nigeria Police. Police officers may
manipulate a case in favor of the highest bidder. This is what Transparency International refers to
as a case being corrupted before it gets to Court. The Police can tamper with evidence in support
of criminal indictment. This paper further agrees that the misuse of scarce public funds allocated
to the Judicial arm of government is judicial corruption. Cases where Judges bid for contracts like
Court building, equipment and even stationery using pseudo names or their relatives is an example
of judicial corruption. Again, Transparency International (TI) has documented what it calls the
possible determinants of Judicial corruption even though it is limited to just Judges and Court. To
the extent that it applies to Nigeria and to Nigerian situation, this paper agrees that. The lower the
official salary, the higher the likelihood of corrupt behavior. The higher the complexity of the
judicial system, the higher the expected level of judicial corruption. If judicial decisions, as well
as the underlying reasoning, need to be published, expected Corruption levels are lower. The lower
the judicial system, the higher the likelihood of corruption. It appears plausible to assume. The
higher the degree of checks and balances, the lower the expected level of judicial corruption. If
anti-corruption agencies increase the likelihood of corrupt behavior being sentenced, then such
agencies will be correlated with lower degrees of corruption. Countries in which the prosecution
agencies enjoy a monopoly have a higher level of corruption. (NNENNA JOY EBOH, 14th
December 2005)
Now, by virtue of the Constitution, all judicial officers in Nigeria are public officers for the purpose
of the code of conduct. Thus, judicial officers are bound by the provisions of paragraph 6(1), Part
1 of the fifth schedule not to ask for or accept property or benefits of any kind for himself or any
other person in the discharge of his duties. More so, judicial officers swear to an oath not to allow

11
personal interests influence their conduct or official decisions. Judicial officers who breach any of
these Constitutional provisions will be liable to punishment for judicial misconduct. Acts of
judicial misconduct involve corruption and corrupt practices which in turn challenge the rule of
law and the independence of the Judiciary. Internationally, the United Nations Convention against
Corruption (UNCAC) is the only legally binding universal anti-corruption instrument. The
Convention covers five main areas including criminalization and law enforcement and asset
recovery. The Convention covers many different forms of corruption, such as bribery, trading in
influence, abuse of functions, and various acts of corruption in the private sector. A highlight of
the Convention is the inclusion of a specific chapter on asset recovery, aimed at returning assets
to their rightful owners, including countries from which they had been taken illicitly. The vast
majority of United Nations Member States are parties to the Convention. (NNENNA JOY EBOH,
14th December 2005, judicial corruption as a clog on economic development in Nigeria)
2.1.1 Poverty
There is no gentle way to say it: When kleptocrats loot their nations' treasuries, steal natural
resources, and embezzle development aid, they condemn their nations' children to starvation and
disease. Nigeria has the largest economy on the African continent yet the country harbors some of
the poorest people in the world with as many as 69 percent of the population living below the
poverty line. Judicial corruption in Nigeria is one of the root causes of poverty in the nation.
Corruption is contributing to poverty in Nigeria in two main ways. The first way is by aggravating
income inequality; lower income households use a higher proportion of their income for bribes to
access basic social services, leaving them with very little disposable funds to spend on essential
goods and services. Secondly, corruption erodes the institutional capacity of government to deliver
quality public services such as education, health, infrastructure, security, etc. Government
officials, through embezzlement of public funds, divert public investment away from major public
needs into capital projects that offer huge opportunities for corruption but are of little value to most
citizens. The role of judicial corruption in this instance is to aid these government officials wriggle
out of various suits against them in the Court of law, depriving citizens access to justice and better
economic life, thereby re-enforcing poverty amongst them. (NNENNA JOY EBOH, 14th
December 2005, judicial corruption as a clog on economic development in Nigeria)

12
2.1.2 Unemployment
The economically active population or working age population (persons within ages 15 and 64)
increased from 108.03 million to 108.59 million, this represents a 0.5% increase over the previous
quarter and a 3.4% increase when compared 2015; In 2016, the labour force population (i.e. those
within the working age population willing, able and actively looking for work) increased to 81.15
million from 80.67 million in 2016, representing an increase of 0.6% in the labor force during the
quarter. This figure, according to this report is as a result of corruption. Again, the judiciary is a
contributory factor to this level of unemployment because where there is judicial corruption,
businessmen are scared of investments which in turn lead to reduced work force in the country.
(NNENNA JOY EBOH, 14th December2005, judicial corruption as a clog on economic
development in Nigeria)
2.1.3 Retarded Business
Judicial corruption has led to lower human capital, higher leakage through money laundering,
weak investment, poor fiscal revenue and expenditure and poor institutions. Again, this paper
points to the recent survey by the National Bureau of Statistics (NBS) on crime and corruption
survey in Abuja. The report’s statistics deal with impact assessment of corruption on Nigerian
businesses based on the experiences of many entrepreneurs. There was a general consensus that
corruption impedes businesses. According to the report, 71 per cent of the over 2,200 businesses
questioned said corruption was a major obstacle to their operations and about 20 percent tied it to
judicial corruption. (NNENNA JOY EBOH, 14th December2005, judicial corruption as a clog on
economic development in Nigeria)
2.1.4 National Insecurity
When crimes are not convicted as a result of corruption in the judicial system, the economy is
affected adversely. The personal interests of those involved in these corrupt practices are made to
over-ride those of the public. This undermines the capacity of the government in resource
allocation and service delivery. This in turn brings frustration and deprivation to the citizens and

13
ultimately leads to all manner of agitations amongst the citizenry. The issue of national security or
insecurity goes to the foundation of every nation. The rights of individuals are realized only in an
organized political society and the continuance of that society depends on national security for
without national security, any nation is in danger of collapse and overthrow. (NNENNA
JOY EBOH, 14th December2005, judicial corruption as a clog on economic development in
Nigeria)
2.1.5 Government Instability
In the effort to enhance governance in Nigeria and combat corruption, public agencies suffer a
crisis of credibility – they can no longer be taken seriously. The belief is widely held that they have
been politicized and that rules, where they exist, are not applied except against people who are not
in the good books of government.
This is closely twined with the problem of National insecurity. Poor masses constantly agitate the
failure of government to perform its own part of the social contract. Thus, the stability of such
government is jeopardized. Citizens wait anxiously for the next election season, as the case with
any democratic setting such as Nigeria, to vote out the government from power. Where
Government is unstable like this, no meaningful development or serious investments can be made.
(NNENNA JOY EBOH, 14th December2005, judicial corruption as a clog on economic
development in Nigeria)
2.1.6 Theft of government financial resources
is another form of corruption committed by officials may pocket tax revenues and other fees (often
with the collusion of the payer, in effect combining theft with bribery)Steal cash from treasures,
extend advances to themselves that are never repaid, or draw pay for fictitious “ghost” workers, a
pattern well documented in the reports of audit authorities. For example, former Philippines
president Ferdinant Morcos was accused of stealing millions of dollars, much of it in American
foreign aid. In another example in Iran-Contra affair in which profits from the sale of US
government property (antitank and antiaircraft missiles) were diverted to private arms dealers and
to counter revolutionaries in Latin America.

14
For another form of corruption “Influence Peddling” when individuals with access to people in
high places are sometimes tempted to trade on the influence of high-ranking government officials.
There is money to be made through sale of access, the arrangement of contracts and timely
intervention to secure favorable disposition of regulatory decisions and government contract. The
use of these kinds of connections for personal gain is usually described as influence peddling.
Whenever there are loop wholes in a system of governments there must be chances to avail by
some people which have an access to the responsible officials in high positions and try to sell their
face to make decisions that create contracts to their friends; Robert Thobabeen (1991, p.63).
(FRUNZIK VOSKANYAN & YEREVAN, November 2000)
2.2 The impact of corruption on the Police and security forces.
Corruption is largely defined by highlighting two key elements: (1) violation of legal norms
through the abuse of authority; (2) personal profit thus acquired (Zekavica 2010). Authors agree
that it is generally difficult to define police corruption (Miller 2003; Punch 2000; New burn 1999),
as it is linked to other forms of illegal work by police officers. The wider definition of police
corruption includes dishonest, improper, immoral and criminal activities by police officers, or
behavior which deviates from basic social norms (Roebuck, Barker 1974). The narrower definition
of corruption distinguishes between corrupt activity, such as accepting bribes, and criminal actions
which are not corrupt – robbery, burglary or theft while working (Miller 2003).
According to Kutnjak-Ivković (2005: 16), police corruption is any action or failure to act (or
promise to act or to refrain from acting) by a police officer or group of police officers during their
work, the leading aim of which is to benefit personally. The main factors which constitute corrupt
activity are: (1) actions; (2) deliberate failure to act; (3) activity contrary to an assigned task; (4)
agreement between a police officer and an individual who offers something in return for a service;
(5) the moment of payment; (6) determination of potential benefits. (PREDRAG PETROVIĆ,
OCT 12, 2012)
The given definition insists that police corruption must involve police officers, while an
arrangement with an individual who is offering some benefit (who of course is not necessarily a
police officer) is not an essential element of police corruption, due to the possibility that the
arrangement is a voluntary act. The main factor in the definition is the abuse of police authority

15
for personal gain. It is possible for someone to gain through a voluntary agreement with an
individual who is offering something, by a request expressly addressed to an individual who has
transgressed, through forced extortion or by threatening that some authority will be exerted in
order to obtain what is being sought. This definition sees the moment of payment as an essential
element of police corruption. There is also a strand of opinion in the literature which does not see
payment as a necessary element of corruption in the general sense, but rather sees corrupt activity
as starting at the moment a benefit is offered, regardless of whether it is realized. Police corruption
is also defined as a prohibited act, including the abuse of police authority in order to obtain real or
expected material reward or gain (Barker, Carter 1986).
According to Barker and Carter, corruption is an act: (1) which is forbidden by law, internal
regulations or ethical norms; (2) which is related to the abuse of power or of the official property
of a police officer; (3) which includes a real or expected material reward or favour in return. Police
corruption exists, then, when a police officer accepts money, some material gift or a service for
doing something he would be required to do anyway (Sherman 1974). The Interpol Group of
Experts on Corruption (IGEC) defined the term in Article 2 of their Global Standards to Combat
Corruption in Police Services (Box 5). This is a comprehensive definition which includes all actors
alike, as well as all possible forms of corrupt police practice. (PREDRAG PETROVIĆ OCT 12,
2012 CORRUPTION IN THE SECURITY SECTOR IN SERBIA)
According to Kutnjak-Ivković (2005: 64–95), there are three basic groups of causes of corrupt
activity in the police: (1) individual; (2) organizational; (3) external. An individual’s propensity
for corruption is changeable rather than static, as it can be altered by the influence of the
surroundings or the experience of a police officer. Because of this it is important to pay attention
to candidates’ past when hiring. A police officer’s propensity to corruption consists of a cost-
benefit analysis, as well as risk analysis, of carrying out corrupt activity. This assessment,
considers Kutnjak-Ivković, is influenced by the police officer’s perceptions, his superior’s
authority, possible consequences of any disciplinary action and the state and efficiency of the
judiciary. An officer’s superior has a particularly important role in combating and preventing
corruption, as his conduct can serve as an example. However, it is not sufficient for his conduct to
remain within the boundaries of moral standards, but rather he must also keep to organizational

16
standards of management. (PREDRAG PETROVIĆ, OCT 12, 2012 CORRUPTION IN THE
SECURITY SECTOR IN SERBIA)
2.3 The influence of corruption on the tax authority
Corruption in a nation’s revenue service often has severe and widespread repercussions. Several
studies in developing countries have shown that, as a result of tax evasion, losing half or more of
a state’s taxable income is not unusual. In Yemen, for instance, businesses claim that paying a
bribe of 25-40%of a tax assessment can lower it by 50% (Rahman 2009). The fact that such large
amounts of a nation’s taxable revenues are unaccounted for has lasting effects since the quality of
public services is damaged as a result of the postponing or discontinuation of many growth and
reform projects. Also, the fact that the bribes only account for a fraction of what becomes a state’s
lost revenue only intensifies the impact. According to estimates, for example the Guatemalan
revenue administration saw more than two-thirds of its actual tax collections lost to tax evasion in
2003. The problem was made more complicated by the fact that tax evasion rates were not uniform
over the various revenue bases as, for instance, VAT collection had a 29% evasion rate compared
with 63% for income taxes. (For more information, see USAID (2004)). By paying bribes to public
officials with the hope of diminishing tax obligations, not only are a state’s revenue directly
affected but bribes can also have the result of reducing voluntary compliance with tax laws and
regulations. If an honest taxpayer sees that paying taxes would only further lead to inequities by
transferring tax dues to a corrupt and inefficient tax administration, he or she would rather avoid
being burdened by this competitive disadvantage and seek to either evade taxes or bribe an official
to pay less. For instance, a 1998 survey of 243 businesses in Uganda showed that the frequency of
bribe-paying increased with firm size. The burden of bribe extortion by public officials, however,
was heaviest for medium sized firms (26-75 employees). These medium-sized enterprises paid
what amounted to an average of 3.5% of their sales in bribes – comparable to 60% of what the
company actually paid in taxes. (Gauthier &Reinikka 2001))
As a consequence of rampant corruption in revenue administration more generally and the
competitive disadvantage this causes specifically, the distributive function of tax collecting is itself
undermined. Increased income inequality is inevitable as both the state’s ability to address the
problem is hindered by lower revenue and as certain groups or businesses are found to bear a

17
heavier tax burden than those who evade their fiscal obligations. By driving resources from the
public purse, corruption in tax authority emphasizes the scarcities in the sector and creates
opportunities for corruption to increase throughout the public sector. Corruption in revenue
administration also leads to increased difficulties in relation to tax reform. Given their desire to
maintain their influence on the tax system, major stakeholders such as politicians and bureaucrats
may strive to maintain the status quo and avoid any calls for modernization and change. Even tax
officials themselves have been seen to be the strongest opponents to reforming a corrupt revenue
administration, as was the case in Indonesia in the early 1990s: depersonalization and
simplification of the tax system threatened the officials more than any other group as they were
the main benefactors from the systematically corrupt practices in the sector. Indonesia is not the
only example of this situation arising as several observers argue that the preservation of highly
regulated and complex revenue frameworks can frequently be attributed to the desire of tax
officials or civil servants to uphold corruption (Fjeldstad 2005)
Given the importance of taxation in state-citizen relations, it is clear that corruption would
seriously harm that relationship. Data from many national surveys show that public perception is
often negative when corruption is rife, and revenue services are no exception to this trend. As
stated above, where public trust is weakened as a result of corruption, there is a greater incentive
to either evade taxes or process fiscal obligations outside the formal sphere, by paying bribes to
officials directly with the intention of reducing fiscal obligations. Also, tax administration does
not operate in a vacuum. If citizens hold the revenue services to be corrupt, it is likely that this
would undermine government legitimacy more generally. A citizen’s disrespect for fiscal
regulations may be an opener to illicit actions in other areas – which would cumulatively lead to
further government distrust and corruption. (Fjeldstad and Tungodden (2001). (Alfred Bridi, 4th
January 2010, Corruption in Tax Administration)
In the area of public service, the incentives of being engaged in corrupt behavior are high for both
officials those who can enrich themselves by taking bribe and bribe payers who want to obtain
undue benefits such as tax evasion, winning of contracts, etc. evade taxes. The area of taxation,
regulations are often so complex that tax payers have great incentives to indulge in corruptions.
The complexity of tax system also allows officials to use their flexible powers and mount
corruption in the system. Sandmo (2004) defines the concept of tax evasion in the following

18
words.” Tax evasion is a violation of the law: When the taxpayer refrains from reporting income
from labour or capital which is in principal taxable, he engages in an illegal activity that makes
him liable to administrative or legal action from the authorities”. Various studies explain that
collection of tax revenue is one of the important areas where corruption is most likely to arise
(Galtung (1995); Li (1997); Toye and Moore (1998); Tanzi (2000); Fjeldstad and Tungodden
(2003)). Some of the factors that contribute to corruption in tax system are as follows.
A complex and fragmented tax system increases the demand for corruption. Tax auditors and tax
payers get advantages through complex rule, unclear laws, regulations and procedures of tax
system. Complexity of regulation allows to the officials to use their flexible powers and mount
corruption in the system. Complexity in paying tax leads to corruption (tax payer save their time
and reduce uncertainty). Another factor that fosters corruption is high tax rates; it increases the
incentive for tax payer to evade tax. To indulge in corrupt behavior individuals compare their
benefits with the risk of detection and punishment, they engage in corrupt activities if they feel
that the expected punishment is low. Low wages of tax authority and tax payers also foster
corruption. (TAHSEEN AJAZ & EATZAZ AHMED, 30 DECEMBER 2010, THE EFFECT OF
CORRUPTION AND GOVERNANCE ON TAX REVENUES)
Over the past two decades many developing countries have implemented comprehensive reforms
of their tax authority in order to increase revenue and curb corruption. It argues that the
technocratic remedies supported by donors have underplayed the degree to which progress in tax
authority depends upon a thorough “cultural change” in the public service. The motives of
individual actors are often inextricably tied to the interests of the social groups to which they
belong. As such, people recognize the benefits of large extended families and strong kinship ties,
even as their social and economic aspirations may be indisputably modern. This implies that such
social relations may undermine formal bureaucratic structures and positions. If these problems,
which are rooted in social norms and patterns of behavior rather than in administrative features,
are overlooked, the result may be to distort incentives. As a consequence, the government’s
commitment to reforming the tax Authority may also be undermined. (FJELDSTAD ODD-
HELGE, May 2014, Corruption in tax administration Lessons from institutional reforms in
Uganda)

19
In most developing countries national tax collection is carried out by line departments within the
Ministry of Finance (MoF). However, over the past two decades more than 20 developing
countries, especially in Latin America and Africa, have established revenue authorities whereby
the tax administration function is moved out of the Ministry of Finance and granted to a semi-
autonomous entity (Devas, Delay, and Hubbard 2001; Taliercio 2004). Although each country that
has established a revenue authority has done so under differing circumstances, there are some
general patterns with respect to underlying political and economic circumstances. First,
governments have been greatly dissatisfied with the performance of revenue collection, especially
in the face of fiscal deficits and expanding public expenditure needs, and with the chronic
inefficiencies of the existing tax administration arrangements placed in the Ministry of Finance
(Mann 2004). Second, perceptions of widespread corruption and tax evasion, combined with high
taxpayer compliance costs, led to calls for wholesale reform of the tax administration (Barbone,
Das-Gupta, Wulf, and Hansson 1999; Ghura 1998). Third, in some aid-dependent African
countries the shift to a semi-autonomous revenue authority model was also attractive to foreign
donors because it created opportunities for more widespread reforms of the tax administration
(Therkildsen 2004). (FJELDSTAD ODD-HELGE, May 2014, Corruption in tax administration
Lessons from institutional reforms in Uganda)
The Tax authority model is designed partly to limit direct political interference in day-to-day
operations by the Ministry of Finance and partly to free the tax administration from the constraints
of the civil service system (Devas et al. 2001; Taliercio 2002). A revenue authority is not meant to
be as autonomous as a central bank or as dependent as departments in line ministries. It is “semi-
autonomous.” But a revenue authority is meant to be quite independent of the financing and
personnel rules that govern the public sector in general. A semi-autonomous revenue authority
(SARA) can in principle recruit, retain, and promote quality staff by paying salaries above civil
service pay scales, and can also more easily dismiss staff. Such steps are expected to provide
incentives for better job performance and less corruption. Moreover, a single purpose agency is
meant to integrate tax operations and focus its efforts on collecting revenues more effectively than
is usually possible under civil service rules. Studies from a number of countries in Latin
America(Taliercio 2002, 2004; Mann 2004) and Africa (Chand and Moene 1999; Fjeldstad 2003;
Hadler 2000; Terpker 1999; Therkildsen 2004) show that the reforms appeared to be successful in
the initial years. But the initial successes were in many cases not sustained. The first years after

20
the establishment of a SARA often witnessed sharp increases in revenues. Reported corruption
also seemed to decline. Thereafter, revenue enhancement stagnated and in some countries revenues
as a percentage of GDP dropped. There are also clear indications that corruption is on the rise
again in many revenue administrations, especially in Africa (Waller 2000). This pattern, initial
increases in revenue collection followed by stagnation or decline, often took place despite
continued economic growth, reforms of important tax legislation in line with “best practices” as
prescribed by the IMF, and accumulated operational experience in the new revenue
administrations. (FJELDSTAD ODD-HELGE, May 2014, Corruption in tax administration
Lessons from institutional reforms in Uganda)
Rising levels of corruption may help explain why the growth in revenue has tailed off in recent
years. But there are clearly other explanatory factors at work as well. First, tax revenue depends
on external factors over which the tax administration has no control. For instance, general
economic trends affect tax bases such as income tax, value-added-tax (VAT), and import duties.
Import restrictions and politically allocated tax exemptions for different sectors and businesses
also contribute to reducing the tax base. Furthermore, staff productivity may have changed,
possibly due to falling motivation – whether this is unrelated to, causes, or is caused by an increase
in corruption is not known. However, there are many indications that an increase in fiscal
corruption has contributed to the drop in reported revenues as percentage of GDP. Thus, a closer
look at the pattern of corruption may shed light on the development of tax revenues. Reliable
information on levels of corruption and tax evasion is obviously hard to come by. Given the
sensitive issues at stake one cannot work towards an understanding of the phenomena discussed
here by the standard methods of random sample, structured questionnaires, and formal interviews.
A combination of informal and formal methods is often required. (FJELDSTAD ODD-HELGE,
May 2014, Corruption in tax administration Lessons from institutional reforms in Uganda)
The declaration identified four main causes of poor tax authority:
• Lack of taxpaying culture among taxpayers. This was partly caused by a tax system
perceived as unfair. Relatively high rates and a complex and partly incoherent set of rules,
especially for customs and corporate taxes, resulted in large potential rewards for
taxpayers willing to bribe to cut their own tax burden and/or speed up customs clearance
of their goods.

21
• Low wage levels. The poor salaries at the tax administration compared to the private sector
invited corruption. The average public employee’s salary in 1989 was about 20 percent of
the corresponding salary in the private sector, and was only 5 percent for unskilled staff.
• Poor working conditions and little encouragement for staff to exercise initiative. Working
conditions were generally characterized by a lack of technical equipment and poor office
facilities. Moreover, the criteria for recruitment, promotion, and rewards of staff and
management were unclear and subject to substantial discretion.
• Low probability of detection and punishment for corruption. Internal auditing and
monitoring functions had become for the most part non-operative and ineffective due to
weak management and poor information. In practice, the probability of being detected and
punished for corruption was virtually nonexistent.
The suggested remedies were first and foremost increased salaries and better management.
According to Ole Therkildsen (2004, p. 68), the idea for the establishment of a tax authority was
inspired by the IMF and by experiences from Ghana. The arguments for an autonomous tax
authority were (Harvey and Robinson 1995, pp. 48-9) (FJELDSTAD ODD-HELGE, May 2014,
Corruption in tax administration Lessons from institutional reforms in Uganda)

22
CHAPTER THREE
3.0 Introduction
This chapter includes; research design, sampling techniques, data collection methods, study
population, sampling procedure and sample size, data analysis methods, ethical consideration and
limitations of the study.
3.1 Research Design
The study would be descriptive correlation in design. This design focuses on exploring the
behavior and dimensions of a problem under investigation in order to unveil the causal effect one
or more variables have on another/ others. The first two objectives require descriptive responses
about Corruption on Government institutions. The study also has the ultimate objective to
determine the association between corruptions on Government institutions. Both qualitative and
quantitative approaches used in this study. Respondents had offer qualitative data in their
responses which afterwards was quantified to establish trends to be used in analysis.
3.2 Research Population
The study population were 80 which composed of employees at three Government institutions in
Mogadishu-Somalia (Police & Security forces, Judicial System and Tax Authority). This
population comprises of senior management, Chief Officers, and operational staff. The reason for
selecting these categories of employees is due to the fact that the researcher expects them to have
a good understanding of the affairs surrounding Corruption on Government institutions of local
authority in Mogadishu-Somalia.
3.3 Sample Size
Out of the total population of 80, a sample size of 67 will be selected. This figure is arrived at by
use of the Slovene’s formula. The sample is sufficiently high and representative enough to validate
the findings.

23
n =
N
1 + N(e)2
Equation3. 1: Slovene's Formula
n =
80
1 + 80(0.05)2
n =
80
1 + 80 ∗ 0.0025
n =
80
1 + 0.2
= 66.67 ≅ 67 respondents
Where n = minimum sample size
N = target population
e = level of significance (0.05)
The table below can give the selected an overview of the population, sample and sampling
procedure.
Table3.1: Population and Sample Size Summary
Categories of Respondents Target population Sample size Sampling Procedure
Senior Management 12 10 Purposive
Chief officers 17 14 Purposive
Operational staff 51 43 Systematic Random
Total 80 67
3.4 Sampling Procedure
To determine the sample size for the study, several factors were considered such as the variables,
the type of research design, the methods of data collection, analysis and the size of accessible
population (Krishnaswamy, Sivakumar, & Mathirajan, 2009).The researchers applied both
systematic random sampling as well as purposive sampling techniques. Using the systematic

24
random sampling the potential respondents will be listed and then selection will be done after some
specific interval of 2 until the sample size is reached. The purposive sampling method would be
used to reach to the high-profile respondents who are the senior management of the three
Government institutions who were known to have highly sensitive and important information for
the study. The latter technique of purposive sampling allowed the researchers to use cases that
have the required information with respect to the objectives of the study. However, Kothari (2004)
clearly states that the researcher who proposes purposive sampling must specify the criteria for
choosing the particular cases. This was duly fulfilled.
3.5 Research Instruments
3.5.1 Questionnaires
Questionnaires developed and designed in the most understandable way by the respondents with
simple language, simple questions that would easily be answered without consuming the time of
the respondents. These used mainly to gather primary data where respondents will be expected to
react usually in writing and return them with filled answers for analysis and making of conclusions
by the researcher.
Questionnaires were used because they are reliable and from the targeted respondents. They are
easy to interpret and easily edited for the purpose of making final decisions. They also raise
relevant information to the study since the respondents will be basically guided by the
questionnaires.
They were designed in a way that makes them look easy and understandable not to consume most
of the respondents’ time. The answering options on a Likert’s scale, ranged from 1= strongly agree
to 5 = strongly disagree was used to make the questionnaire easy to fill.
3.6 Validity and reliability of the instrument
3.6.1 Validity
Validity of the instrument will be ensured through expert judgment and the researcher would make
sure the coefficient of Content Validity Index (CVI) is at least 70%. The researcher would consult

25
his supervisor for expert knowledge on questionnaire construction. After the assessment of the
questionnaire, the necessary adjustments be made bearing in mind of the objectives of the study.
The formula that used to determine the validity of the instrument will be:
CVI =
no of items declared valid
total no of items
Equation3. 2: CVI Equation
According to Amin (2005) if this index is equal to or above 0.7, the instrument is declared valid.
3.6.1 Reliability
Reliability is a measure of the degree to which a research instrument yields consistent results or
data after repeated trials (Muganda & Mugenda, 2003). Reliability of the instruments established
through a test-retest technique. The researchers conduct a pre-test of the instrument on group of
subjects and wait for a week then administer the same test to the same subjects a second time.
Cronbach’s alpha also be used to determine the reliability of the instruments. A Cronbach’s alpha
value of 0.70 and above is considered to be the criteria for demonstrating internal consistency of
new scale and established scales respectively (Amin, 2005).
Table 3.6.1 Cronbach's Alpha Formula
Variables Sample size No. of items Cronbach’s alpha value
The impact of corruption on the judicial
system
67 5 0.959
The impact of corruption on the Police and
security forces.
67 5 0.979
The influence of corruption on the tax
authority.
67 5 0.961
The reliability analysis was conducted and we don’t have any issue to the variable, therefore all
the variables were internally consistent and reliable. As such the variables are deemed to be ready
for further analysis.

26
3.7 Data Gathering Procedures
3.7.1Before the administration of the questionnaires
An introduction letter would be obtained from the College of Higher Degrees and Research
(CHDR) for the researcher to solicit approval to conduct the study from respective senior
management, project managers, coordinators and secretarial of different Humanitarian agencies.
When approved, the researchers were secured a list of the qualified respondents from the in charge
and select through purposive sampling from this list to arrive at the minimum sample size. The
respondents would be explained to about the study and requested to sign the Informed Consent
Form. The researchers would then produce over 80 copies of the questionnaire and train the
research assistants.
3.7.2During the administration of the questionnaires
Specifically, the researchers and the assistants requested the respondents to do the following: (1)
to sign the informed consent; (2) to answer completely all questions and not to leave any item of
the questionnaires unanswered; (3) to avoid biases and to be objective in answering the
questionnaires. Some respondents might have to be guided on what to do by data collectors and as
such, some questionnaires might be retrieved on spot, while others retrieved after some days or
weeks.
3.7.3After the administration of the questionnaires
On their return, the researchers edited and enter the questionnaire responses into the SPSS version
20, for further processing and analysis. Finally, a report would be prepared and after approval from
the supervisor, the final copy would be submitted to CHDR for final examination.
3.8 Data Analysis
This study examined the impact of corruption on Government institutions in Mogadishu-Somalia.
This study was conducted quantitatively through descriptive research design; target population of
80 participants was adopted, and sample size of 67 respondents was selected from target population
using Slovene’s Formula. The data collected from Mogadishu area, especially Benadir region,
using questionnaires as a tool of data collection. The data analysis was done by using the statistical

27
package SPSS version.20 we classified and analyzed Calculations, determining frequency, mean
and their corresponding percentages.
3.9 Ethical Considerations
To ensure confidentiality of the information provided by the respondents and to ascertain the
practice of ethics in this study, the following activities implemented by the researchers: All
questionnaires coded to provide anonymity of respondents’ responses.
Solicit permission through a written request to the concerned officials of the companies included
in the study. Respondents were requested to sign the Informed Consent Form. No respondents
will be threatened or coerced to participate. Authors quoted will be fully recognized through
citation and referencing. Presentation of the findings will be in a generalized manner.
3.10 Limitations of the Study
The following are the expected limitations of the study that might compromise the validity of the
findings. The research environment is expected to have uncontrolled settings which may have
influence on data gathered such as comments from other respondents, anxiety, stress, motivation
on the part of the respondents while on the process of answering the questionnaires.
Language barriers: Some of the respondents might not properly understand English language the
researchers were hired a translator from English to local languages. The Some respondents might
prove hesitant to fill in and return the questionnaires as they are meant to be self-administered.
This limitation would be averted by constantly visiting the respondents in their places of work and
reminding them. The use of researchers’ assistants was also render inconsistencies such as
differences in conditions and time when data would be obtained from respondents; this limitation
will be minimized by orienting and briefing the research assistants on the data gathering
procedures and on how to establish rapport with respondents. Some of the questionnaires given to
the respondents for answering might not returned. This problem countered by distributing out more
than enough questionnaires. This has done in order to ensure that the minimal sample size is
maintained. The first 40 questionnaires that received back from the respondents are the ones that
will be used in analysis. According to our research some data have been lost and refused us for the
sake of security issue.

28
CHAPTER FOUR
Data presentation, Analysis and discussion of findings
4.0 Introduction
This chapter presented the findings(results) of the study. Frequency tables and charts were used in
order to show the study results.
4.1 Demographic information of the respondents
The shape of the questionnaire in the demographic section is contains of Gender, Age, Marital
status, Level of education and Occupation.
4.1.1 Gender of the respodents
Table 4.1.1 Gender
As the table 4.1.1 Shows, 58.2% of the respodents are Males While 41.8% of them are Females.
Fig 4.1.1 Gender
4.1.2 Age of the respodents
Table 4.1.2 Age of the respodents
Frequency percentage
Male 39 58.2
Female 28 41.8
Total 67 100.0
Age Frequency percentage
20-30 40 59.7
30-40 23 34.3
More than 40 4 6.0
Total 67 100.0

29
As the table 4.1.2 Shows, 59.7% of the partcipants were in between 20-30 , respondents 34.3%
were in between 30-40, While only 6.0% partcipants were more than 40.
Fig 4.1.2 Age of the respodents
4.1.3 Marital status.
Table 4.1.3 Marital status
The majority of respondents 67.2% were Single, While only 32.8% respondents were Married.
Fig 4.1.3 Marital status.
Frequency Percentage
Single 45 67.2
Married 22 32.8
Total 67 100.0

30
4.1.4 Educational Level
Table 4.1.4 Educational Level
As the table 4.1.4 shows, 22.4 % of the participants are Secondary, 52.2% of them are Bachelor,
14.9% of them are Master, 10.4% of them are Others.
Fig 4.1.4 Educational Level
4.1.5 Occupation of the respondents
Table 4.1.5 Occupation
Occupation Frequency Percentage
Senior Management 12 17.9
Chief Officers 14 20.9
Operational Staff 41 62.1
Total 67 100.0
As the table 4.1.5 shows, 17.9 % of the respondents are Senior Management, 20.9% of them are
Chief Officers, 62.1% of them are Operational Staff.
Secondary 15 22.4
Bachelor 35 52.2
Master 10 14.9
Others 7 10.4
Total 67 100.0

31
Fig 4.1.5 Occupation.
4.1.6 There is a mass corruption in the Somali judicial system
Table 4.1.6 There is a mass corruption in the Somali judicial system
As the table 4.1.6 shows, 52.2% of the voted are Strongly agree, 34.3% of them are Agree, 3% of
them are Neutral, 7.5% of them are Disagree, 3.0% of them are Strongly disagree.
Fig 4.1.6 There is a mass corruption in the Somali judicial system
Strongly agree 35 52.2
Agree 23 34.3
Neutral 2 3.0
Disagree 5 7.5
Strongly disagree 2 3.0
Total 67 100.0

32
4.1.7 Judiciary serves those who grease their palms instead of serving the public fairly and
equality
Table 4.1.7 Judiciary serves those who grease their palms instead of serving the public fairly
and equality.
As the table 4.1.7 shows, 29.9% of the elects are Strongly agree, 22.4% of them are Agree, 1.5%
of them are Neutral, 11.9 of them are Disagree,34.3% of them are Strongly disagree.
Fig 4.1.7 Judiciary serves those who grease their palms instead of serving the public fairly
and equality.
4.1.8 Judiciary is the most corrupted sector of all government institution
Table 4.1.8 Judiciary is the most corrupted sector of all government institution
Agree 15 22.4
Neutral 1 1.5
Disagree 8 11.9
Total 67 100.0
Agree 20 29.9
Neutral 4 6.0
Disagree 16 23.9
Total 67 100.0

33
As the table 4.1.8 shows, 19.4 % of the participants are Strongly agree, 29.9% of them are Agree,
6% of them are Neutral, 23.9 of them are Disagree,20.9% of them are Strongly disagree.
Fig 4.8 Judiciary is the most corrupted sector of all government institution
4.1.9 Corruption has a grave impact on the decisions of judiciary.
Table 4.1.9 Corruption has a grave impact on the decisions of judiciary.
As the table 4.1.9 shows, 40.3 % of the respondents are Strongly agree, 25.4% of them are Agree,
4.5% of them are Neutral, 19.4 of them are Disagree,10.4% of them are Strongly disagree.
Fig 4.1.9 Corruption has a grave impact on the decisions of judiciary
Agree 17 25.4
Neutral 3 4.5
Disagree 13 19.4
Total 67 100.0

34
4.1.10 Corruption in the judiciary led current justice crisis in our country.
Table 4.1.10 Corruption in the judiciary led current justice crisis in our country.
1.5% of them are Neutral, 20.9 of them are Disagree,44.8% of them are Strongly disagree.
Fig 4.1.10 Corruption in the judiciary led current justice crisis in our country.
4.1.11 Because of corruption in police department, police are incapable of managing security
of the city.
Table 4.1.11 Because of corruption in police department, police are incapable of managing
security of the city.
35.8% of them are Neutral, 11.9% of them are Disagree, 10.4% of them are Strongly disagree.
Agree 12 17.9
Neutral 1 1.5
Disagree 14 20.9
Total 67 100.0
Agree 13 19.4
Neutral 24 35.8
Disagree 8 11.9
Total 67 100.0

35
Fig 4.1.11 Because of corruption in police department, police are incapable of managing
security of the city.
4.1.12 People have accustomed (adapted) to the corruption in the police department.
Table 4.1.12 People have accustomed to the corruption in the police department
Fig 4.1.12 People have accustomed to the corruption in the police department.
Agree 15 22.4
Neutral 18 29.9
Disagree 11 16.4
Total 67 100.0

36
4.1.13 Corruption in the police department caused that criminals are to be released from
jails.
Table 4.1.13 Corruption in the police department caused that criminals are to be released
from jails.
As the table 4.1.13 shows, 11.9 % of the respondents are Strongly agree, 9% of them are Agree,
Fig 4.1.13 Corruption in the police department caused that criminals are to be released from
jails.
4.1.14 Corruption in police brought about the people does not complain to them.
Table 4.1.14 Corruption in police brought about the people does not complain to them.
Agree 6 9.0
Neutral 21 31.3
Disagree 25 37.3
Total 67 100.0
Agree 18 26.9
Neutral 13 19.4
Disagree 3 4.5
Total 67 100.0

37
Fig 4.1.14 Corruption in police brought about the people does not complain to them.
4.1.15 Corruption in police brought about distrust from the population towards the police.
Table 4.1.15 Corruption in police brought about distrust from the population towards the police.
Fig 4.1.15 Corruption in police brought about distrust from the population towards the
police.
Agree 15 22.4
Neutral 14 20.9
Disagree 17 25.4
Total 67 100.0

38
4.1.16 Tax income is not directed to the government office concerned because of corruption.
Table 4.1.16 Tax income is not directed to the government office concerned because of corruption.
Fig 4.1.16 Tax income is not directed to the government office concerned because of
corruption.
4.1.17 Some people are exempted from tax.
Table 4.1.17 Some people are exempted from tax.
Agree 15 22.4
Neutral 18 26.9
Disagree 8 11.9
Total 67 100.0
Agree 38 56.7
Neutral 3 4.5
Disagree 13 19.4
Total 67 100.0

39
Fig 4.1.17 Some people are exempt from tax.
4.1.18 There is no right tax collection because of corruption.
Table 4.1.18 There is no right tax collection because of corruption.
Fig 4.1.18 There is no right tax collection because of corruption.
Agree 20 29.9
Neutral 5 7.5
Disagree 5 7.5
Total 67 100.0

40
4.1.19 Tax authority is the most corrupted departments.
Table 4.1.19 Tax authority is the most corrupted departments.
Fig 4.1.19 Tax authority is the most corrupted departments.
Agree 6 9.0
Neutral 1 1.5
Disagree 34 50.7
Total 67 100.0

41
4.1.20 Tax collectors’ authorities facilitate corruption.
Table 4.1.20 Tax collectors’ authorities facilitate corruption.
Fig 4.1.20 Tax collectors’ authorities facilitate corruption.
Agree 16 23.9
Neutral 9 13.4
Disagree 6 9.0
Total 67 100.0

42
4.2 Discussion of the findings
4.2.1 Characteristics of the Research Respondents
This section presents the background information of the respondents who participated in the
collection of primary data of the study. The purpose of this background information was to find
out the characteristics of the respondents and show the distribution of respondents in the study.
The findings of the study shown above in tabular and graphical forms, shows that the most of the
participants 58.2% were male, 41.8% were female. Therefore, the majority of the voters were male.
The above table and below chart indicate that age of the most participants 59.7% were aged
between 20-30 years, while 34.3% were aged between 30-40 years, 6.0% were aged more than 40.
This indicates that the most participants of the questionnaires were aged between 20-30 years. The
above table and below chart indicate that the majority of the participants 67.2% were single,
whereas 32.8% were married. The above table and below chart indicate that the majority of the
votes 52.2% were Bachelor, 22.4% of them are Secondary, 14.9% of them are Master, while 10.4%
of them are Others. The table above and chart below indicates that 62.1%% were operational staff,
17.9% were senior management, 20.9% were Chief Officers.
4.2.2 Objectives
4.2.2.1 To examine the impact of corruption on the judicial system.
The first objective was study to identify and examine the impact of corruption on the judicial
system in Mogadishu, Somalia. The results found from the analysis of the respondents were: The
responds were asked to express their views about “There is a mass corruption in the Somali judicial
system”. And 52.2% of the voted are Strongly agree, 34.3% of them are Agree, 3% of them are
Neutral, 7.5% of them are Disagree,3.0% of them are Strongly disagree. This shows that
respondents were in satisfactory.
The respondents were asked to express their views about “Judiciary serves those who grease their
palms instead of serving the public fairly and equality.” And 29.9% of the elects are Strongly

43
agree, 22.4% of them are Agree, 1.5% of them are Neutral, 11.9% of them are Disagree,34.3% of
them are Strongly disagree. This shows that respondents were in satisfactory.
The responds were asked to express their views about “Judiciary is the most corrupted sector of
all the government institutions.” And 19.4 % of the participants are Strongly agree, 29.9% of them
are Agree, 6% of them are Neutral, 23.9 of them are Disagree,20.9% of them are Strongly disagree.
This shows that respondents were in satisfactory.
The responds were asked to express their views about “Corruption has a grave impact on the
decisions of judiciary.” And 40.3 % of the respondents are Strongly agree, 25.4% of them are
Agree, 4.5% of them are Neutral, 19.4 of them are Disagree,10.4% of them are Strongly disagree.
The responds were asked to express their views about Corruption in the judiciary led current justice
crisis in our country.” “And 14.9 % of the respondents are strongly agree, 17.9% of them are
Agree, 1.5% of them are Neutral, 20.9 of them are Disagree, 44.8% of them are Strongly disagree.
4.2.2.2 To assess the influence of corruption on the tax authority.
The second objective of this study was to assess the influence of corruption on the tax authority in
Mogadishu, Somalia. The result found from the analysis of the respondents’ answers indicated
that the responds were asked to express their views about “Because of corruption in police
department, police are incapable of managing security.” And 22.4 % of the respondents are
Strongly agree, 19.4% of them are Agree, 35.8% of them are Neutral, 11.9% of them are Disagree,
10.4% of them are Strongly disagree.
The responds were asked to express their views about “People have accustomed to the corruption
in the police department.” And 29.4 % of the respondents are Strongly agree, 22.4% of them are
Agree, 26.9% of them are Neutral, 16.4% of them are Disagree, 4.5% of them are Strongly
disagree. This shows that respondents were in satisfactory.
The responds were asked to express their views about “Corruption in the police caused that
criminals be released from jails.” And 11.9 % of the respondents are Strongly agree, 9% of them
are Agree, 31.3% of them are Neutral, 37.3% of them are Disagree, 10.4% of them are Strongly
disagree. This shows that respondents were in satisfactory.

44
The responds were asked to express their views about “Corruption in police brought about the
people does not complain to them.” And 44.8 % of the respondents are Strongly agree, 26.9% of
them are Agree, 19.4% of them are Neutral, 4.5% of them are Disagree, 4.5% of them are Strongly
disagree.
The responds were asked to express their views about “Corruption in police brought about distrust
from the population towards the police.” 20.9 % of the respondents are Strongly agree, 22.4% of
them are Agree, 20.9% of them are Neutral, 25.4% of them are Disagree, 10.4% of them are
Strongly disagree.
4.2.2.3 To assess the influence of corruption on the tax authority.
The third objective of this study was to assess the influence of corruption on the tax authority in
Mogadishu, Somalia. The result found from the analysis of the respondents’ answers indicates the
responds were asked to express their views about “Tax income is not directed to the government
office concerned because of corruption.” And 31.3 % of the respondents are Strongly agree, 22.4%
of them are Agree, 26.9% of them are Neutral, 11.9% of them are Disagree, 7.5% of them are
Strongly disagree.
The participants were asked to express their views about “Some people are exempted from tax.”
And 14.9 % of the respondents are Strongly agree, 56.7% of them are Agree, 4.5% of them are
Neutral, 19.4% of them are Disagree, 4.5% of them are Strongly disagree. This shows that
respondents were in satisfactory.
The responds were asked to express their views about “There is no right tax collection because of
corruption.” And 44.8 % of the respondents are Strongly agree, 29.9% of them are Agree, 7.5% of
them are Neutral, 7.5% of them are Disagree, 10.4% of them are Strongly disagree. This shows
that respondents were in satisfactory.
The responds were asked to express their views about “Tax authority is the most corrupted
departments.” And 37.3 % of the respondents are Strongly agree, 9.0% of them are Agree, 1.5%
of them are Neutral, 50.7% of them are Disagree, 1.5% of them are Strongly disagree.

45
The responds were asked to express their views about “Tax collectors’ authorities facilitate
corruption.” And 25.4 % of the respondents are Strongly agree, 23.9% of them are Agree, 13.4%
of them are Neutral, 9.0% of them are Disagree, 28.4% of them are Strongly disagree.

46
CHAPTER FIVE
5.0 Introduction
This Chapter contains the research conclusions and recommendations of the whole study.
5.1 Conclusion
This study examined the impact of corruption on Government institutions in Mogadishu-Somalia.
This study was conducted quantitatively through descriptive research design; target population of
80 participants was adopted, and sample size of 67 respondents was selected from target population
using Slovene’s Formula. the data collected from Mogadishu area, specially Benadir region, using
questionnaires as a tool of data collection. The data analysis was done by using the statistical
package SPSS version 20, we classified and analyzed Calculations, determining frequency, mean
and their corresponding percentages.
Corruption has been a dominant problem in our country since different cases of graft and
corruption were announced. Despite of seriousness of this problem, the government seems to show
no sense of urgency to fight it. Though many anti-graft and corruption laws were passed but were
not effectively executed because corruption was still one of the biggest problems of the country.
Corruption is present in different departments of the government institutions which affects the
economical and sociological development of the country. There are a lot of corruptions done in
the local government agencies such as bribery, fixers, discrimination and etc. Our goal is to further
understand the circumstances that contribute to corruption and the policies that can help to combat
corruption, but there is no one-size-fits-all anticorruption program.

47
5.3 Recommendations
Basing on the findings in this study, the following recommendations have been suggested:
1) Improved integrity in our justice system
We have existing good laws in the Somalia. The problem is the low integrity of our justice
system. Our laws, themselves, suffer from injustice because they aren’t respected and
protected by the authorities that should be protecting them in the first place. Corrupt
politicians and government officials are not usually sent to jail.
2) Regular surprise examination of all government offices
The Civil Service Commission is the agency mandated to promote and administer efficient
and effective personnel in the government.
3) End impunity
Effective law enforcement is essential to ensure the corrupt are punished and break the
cycle of impunity, or freedom from punishment or loss. Successful enforcement
approaches are supported by a strong legal framework, law enforcement branches and an
independent and effective court system.
4) Reform public administration and finance management
Reforms focusing on improving financial management and strengthening the role of
auditing agencies have in many countries achieved greater impact than public sector
reforms on curbing corruption.
5) Punish the vote sellers and vote brokers
Corrupt voters give birth to corrupt politicians. In order to stop corruption, we have to start
eliminating it at its birth, that is, during elections.
6) Empower citizens
Strengthening citizen’s role for anti-corruption and empowering them to hold government
accountable is a sustainable approach that helps to build mutual trust between citizens and
government. For example, community monitoring initiatives have in some cases
contributed to the detection of corruption, reduced leakages of funds, and improved the
quantity and quality of public services.

48
7) Ombudsman
Making the war against corruption permanent, there must be a committee and officials
appointed with full authority and responsibility to investigate the claims about corrupted
areas of government institutions, politicians, and even private sectors to the offices
concerned to take legal actions against them.

49
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