The Demographics of Corruption

Since it seems that yet another Korean "university" scam is in the news, I figured I'd post a few thoughts on the common perceptions of corruptness among different nationalities.

Haoles: Yes, I can call them that because I am one! Just like African Americans can call themselves the "N" word! Well folks, let's face it, there are plenty of corrupt haoles in the CNMI. A few have gone to jail. A few have probably been responsible for the biggest scams ever - such as the Bank of Saipan scam, and but of course, Jack Abramoff. But we all know that the vast majority of Haoles are innocent, hardworking "technicians" who come here to do a specific job, and then leave. But not without first letting everyone know how they feel about the corrupt practices of the other nationalities. Mostly non-corrupt, but in desperate need of a reminder of the corruptness among their own kind.

Koreans: These guys seem to get the worst rap. And with good cause. Although many of the "local" Koreans are good citizens and have raised exceedingly smart and ethical offspring, there is a well-known, obnoxious minority who flaunt the law on a regular basis, seemingly with impunity. Not only the well-publicized and embarrassing "Saipan University" type scams, but also numerous other cases which anyone who has been here long enough will have had personal, or at least second-hand experience with. Myself, I have personal experience with a number of scams involving long-established Korean businessmen on island, both in giving bribes to local government officials, and in scamming (apparently) fellow Koreans into questionable investment schemes in the CNMI. Anyone remember the Lake Susupe water company scheme? I don't think it ever went very far, but quite a bit of money was sucked out of some seemingly legitimate Korean businessmen, while some of the local "consultants" bragged openly about their ability to bypass the permitting and licensing systems, encouraging the doubtful investors to pour more money into their dubious scheme. Or how about that Judo university down in As Lito, built in the middle of a well-known flood plain? Just a bunch of rebar and weathered block, now. Doesn't anyone ever wonder what happened to these investors?

Oh wait, did I just say "local" consultants? Why, yes I did! And that reminds me of a common factor in many of these schemes - the local "consultant" or "local representative". I've run into more than my fair share of these folks. A few seem to be good-hearted and well intentioned. Many seem to just think it is a quick and easy way to make a buck, and their worst crime is simple negligence. But a significant few seem to be true criminals, intentionally inflating their estimates of feasibility, profitability, and permissibility of crazy projects, with no further intention than just bilking their investors out of more fees.

And then there's the corruption within the local government which allows these embarassing situations to come about. Sure there's the bribe takers and con men, but there's also a more subtle and insidious villain - I won't call him the yes-man, but let's just call him the "I can't say no man" or "ICSN man". ICSN man has been instructed by his boss, who has been instructed by the governor, and often certain legislators, to never discourage an investor. Even if ICSN man knows of a specific roadblock to the proposed project. Nope, ICSN man has direct instructions in this situation to say things like "please submit your application, and we will review it." Never "I'm sorry, but Commonwealth Law would prohibit you from engaging in that activity" or "We currently have no internship program for Korean nurses at the hospital." This has predictable results, and some folks take "not no" to mean "yes."

And so we end up with situations like the nurse "scam", which I have no doubt was a scam, but come on CNMI government - do your jobs and just tell people "no" to begin with, before they spend their hard earned money and cause yet another public embarrassment.

I know I left out a number of other nationalities, but I feel I made my point: Saipan is chock-a-block with corruption, and while there are many guilty parties, there is ultimately only one responsible party - the CNMI Government.

Feel free to add to the list in the comments section.

Have a nice weekend!