Slush funds infect every corner of the globe, not only the
more obscure and venal ones. Every secret service - from
the Mossad to the CIA - operates outside the stated state
budget. Slush funds are used to launder money, shower
cronies with patronage, and bribe decision makers. In
some countries, setting them up is a criminal offense, as
per the 1990 Convention on Laundering, Search, Seizure,
and Confiscation of the Proceeds from Crime. Other
jurisdictions are more forgiving.
The Catholic Bishops Conference of Papua New Guinea
and the Solomon Islands issued a press release November
2001 in which it welcomed the government's plans to
abolish slush funds. They described the poisonous effect
of this practice:
"With a few notable exceptions, the practice of directing
funds through politicians to district projects has been
disastrous. It has created an atmosphere in which
corruption is thought to have flourished. It has reduced
the responsibility of public servants, without reducing
their numbers or costs. It has been used to confuse
people into believing public funds are the 'property' of
individual members rather than the property of the
people, honestly and fairly administered by the servants
of the people.
The concept of 'slush-funds' has resulted in well-
documented inefficiencies and failures. There were even
accusations made that funds were withheld from certain
members as a way of forcing them into submission. It
seems that the era of the 'slush funds' has been a
shameful period."
But even is the most orderly and lawful administration,
funds are liable to be mislaid. "The Economist" reported
recently about a $10 billion class-action suit filed by
native-Americans against the US government. The funds,
supposed to be managed in trust since 1880 on behalf of
half a million beneficiaries, were "either lost or stolen"
according to officials.
Rob Gordon, the Director of the National Wilderness
Institute accused "The US Interior Department (of)
looting the special funds that were established to pay for
wildlife conservation and squandering the money instead
on questionable administrative expenses, slush funds and
employee moving expenses".
Charles Griffin, the Deputy Director of the Heritage
Foundation's Government Integrity Project, charges:
"The federal budget provides numerous slush funds that
can be used to subsidize the lobbying and political
activities of special-interest groups".
On his list of "Top Ten Federal Programs That Actively
Subsidize Politics and Lobbying" are: AmeriCorps, Senior
Community Service Employment Program, Legal
Services Corporation, Title X Family Planning, National
Endowment for the Humanities, Market Promotion
Program, Senior Environmental Employment Program,
Superfund Worker Training, HHS Discretionary Aging
Projects, Telecomm. & Info. Infrastructure Assistance.
Public-domain text, read in full here on John Shaqi.
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