ABSTRACT
Bad governance situations arise from lack of governmental action in areas which are beyond the jurisdiction of anti-corruption agencies (ACAs). New forms of corruption may develop in arenas that are in effect off-limits to an ACA and which, therefore, are difficult for it to control. Depending on the nature and extent of the constraint on the ACA’s action, failure to address corruption may reduce its institutional legitimacy and have a negative impact on its credibility. In Hong Kong, the Independent Commission Against Corruption (ICAC) has suffered less than most ACAs from such circumstances, mainly because of its effective performance, good reputation and high public regard. Nonetheless, over the past decade, some public concerns have fuelled suspicions that a murky sub-culture lurks beneath the surface of an otherwise clean Hong Kong. Governance problems relating to ineffective corruption prevention are seen in three areas: constitutional and organisational arrangements that enable opportunities for electoral fraud and corruption, corruption problems stemming from a porous border and increased economic and social interaction between Mainland China and Hong Kong, and perceptions of government–business collusion.
