State Capture: is IT a Crime? How the World Perceived IT

State capture has emerged as a global threat in several countries. The definitions vary from the act of rent-seeking to corruption. Russia, Ukraine, and some countries in Central Asia are several areas where state capture was first observed. Indonesia is not immune from the threat. Several misconducts in the country had already been labeled as state capture. There are some distinctions between state capture and corruption, whereas in a few countries both are considered as the same. Strategies for combating corruption usually involve reducing state capture.


Definitions
When we think about corruption, an image quickly comes to mind a. bureaucrat. extorting. bribes. from. powerless. individuals. and. defenceless. firms simply to enable them to "get things done." Behind this view lies an understanding.of.the.state.extracting.rents.from.the.economy.for.the.exclusive. benefit of politicians and bureaucrats.
In.recognising.the.problem.of.state.capture,.Helmann.and.Kaufmann.put. their effort on the complex interactions between firms and the state. Particularly, they emphasized the importance of mechanisms through which firms seek to shape decisions taken by the state to gain specific advantages, often through the imposition.of.anticompetitive.barriers.that.generate.highly.concentrated.gains.to. selected powerful firms at a significant social cost. Because such firms use their influence to block any policy reforms that might eliminate these advantages, state.capture.has.become.not.merely.a.symptom.but.also.a.fundamental.cause. of.poor.governance. 6 .
In.the.absence.of.access.to.government.decision.making.through.collective. representatives, firms are compelled to seek informal, one-on-one relationships with individual state officials to represent their interests. A number of key writings.on.the.topic.suggest.the.roots.of.state.capture.extend.from.partial.civil. liberties,. lack. of. transparency,. competition,. and. insecurity. of. property. rights.. The lack of transparency tends to go hand in hand with insufficient competition among firms and other constituencies to influence the state's deliberative processes.. Fostering. competition. in. the. economy. and. in. the. marketplace. for. political influence is the main challenge in preventing and combating state capture. 8 .

Modes
There

On Conflicts of Interest and Disclosure
The term "conflicts of interest" did for the first time become a provision of. . The reality of Indonesia's politics is that liberalised elections are extremely costly for political parties. In a country with enormous and demographically heterogeneous characteristics, winning elections requires both securing access to financial resources, and strengthening the presence and visibility of political parties at the local level to mobilise voters. Incumbent leaders clearly have a competitive advantage on both fronts due to their influence on local budgets, their ability to help businesses with close ties to political parties, and their ability to use state resources to build strong support bases, particularly through the allocation of social funds to mass organisations. 30 In its press release, TII concluded that the financing of local elections is the.root.of.political.corruption.and.state.capture.at.the.regional.level.. With decentralisation, local elite and politicians suddenly gain access to regional resources they can divert to benefit influential groups and individuals whose money or votes count rather than the public at large.

Red tape and bribe extortion
High.level.of.bureaucracy.provides.multiple.opportunities.for.rent-seeking. at sub national level, with involved public officials having large discretionary powers as well as monopoly over these procedures. Bribes paid by firms mostly arise. from. red. tape,. particularly. in. permits. and. licenses. imposed. by. local. government officials. Research indicated that red tape and bribe extortion tend to. decrease. in. better. funded. localities. and. with. increased. education. of. local. officials. 33 .

Lack of local capacity
Corruption. risks. are. further. increased. by. the. lack. of. capacity. of. local. governments.to.manage.increased.responsibility.and.powers..Local.governments. often.lack.the.human.and.material.resources.to.perform.government.duties.in. a.transparent.and.accountable.manner.as.well.as.the.operational.and.economic. capacity to run competitive and efficient public services.

Misuse of local public resources
In many local regions, levels of local corruption strongly affect the efficiency of.public.spending.on.service.delivery.and.the.enactment.of.inconsistent.local. regulations.governing.local.budgets.by.national.and.regional.parliaments..Those. can be magnified with the lack of local capacity to review budget documents and. to. monitor. budget. formulation. and. execution.. Such. have. opened. many. opportunities.for.corruption.and.misuse.of.public.resources. 34 ..

Corruption As Crime
"The cartels have not yet corrupted the government's senior levels, but sooner or later they will, because they have millions of dollars and you need to be a saint to reject them." 41  number of operational definitions of the phrase "organised criminal group." Those definitions agree on the following crucial elements: such a group is structured, has some permanence, commits serious crimes for profit, uses violence, has corrupt officials, launders criminal proceeds, and reinvests in the licit.economy. 42 .
State. capture. aims. at. systematically. distorting. or. displacing. the. state. through a clandestine parallel entity or entities, and may be classified as the most. pernicious. manifestation. of. political. corruption.. State. capture. is. to. be. distinguished. from. petty. corruption;. it. is. manifested. as. meta-corruption,. or. grand corruption, in which illicit political finance is used to systematically control.public.institutions.
There are also differences between the determinants of common and organised. crime,. since. the. latter. does. relate. to. corruption. more. closely-for.

61.T
he strategies to combat different manifestations of crime and corruption will differ from each other, and must be tailored to country context. To combat common.crime,.it.is.important.to.focus.on.shared.socio-economic.progress.and. reduced unemployment among the youth, police effectiveness, and effectivegun banamong.civilians.. To.address.legal.corruption.and.state.capture,.reforms.in. transparency, as well as restrictions on corporate political finance and lobbying is.needed.. Yet.crime.and.corruption.do.share.important.aspects.in.common..To.be. prepared. to. take. on. powerful. vested. interests. and. to. address. the. challenges. of. money. in. politics,. political. will,. leadership,. and. integrity. are. required While the paradigm presented by Hellman and Kaufmann---of the actions of individuals, groups, or firms both in the public and private sectors to influence the. formation. of. laws,. regulations,. decrees,. and. other. government. policies. to. their. own. advantage. as. a. result. of. the. illicit. and. non-transparent. provision. of private benefits to public officials---certainly has validity in defining the behaviour.of.political/economic.actors.in.many.countries.of.the.world,.it.does. require a degree of refinement if it is to be applied to the entire Former Soviet Union.(FSU).region.
While there exists rampant corruption in the countries of the FSU and oligarchs. in. many. countries. have. seized. the. lion's.

Conclusion
Power.corrupts..absolutely..To.address. Lord.Acton.(1952).after.a.century. seems fit to this matter. "It is easier to find people fit to govern themselves than people to govern others. Every man is the best, the most responsible, judge of his own advantage." 50 ..