What sanctions are used to punish the corrupt activities of a supplier?
Algeria score: 100/100
Procurement officials have no authority to exclude companies or individuals implicated in bribery or corruption related offences.
Procurement officials have limited authority to exclude companies and senior company officials where there is a conviction or reasonable evidence of bribery & corruption related offences.
There is clear legislation and implementing guidelines empowering procurement officials to exclude companies and senior company officials where there is a conviction or credible evidence of bribery & corruption related offences.
There are clear legislation and implementation guidelines, which allow for termination of the contract where there is a conviction or credible evidence of bribery and corruption-related offences. Art. 89 of the 2016 Public Procurement Law states that any person who engages in acts or schemes designed to promise to offer or grant public officials remunerations or benefits in connection with a public contract would constitute sufficient grounds for taking any coercive measure. This includes the termination or cancellation of the contract and to prohibit the person from bidding again (1). Moreover, the Anti-Corruption Law of 2006 states that businessmen trying to increase the price or change the quality of the good or services to their advantage will be punished by imprisonment of two to ten years and a fine of 200,000 to 1,000,000 DA (Art. 26), (2). Art. 168 of the Public Procurement Law only makes a clear exemption for the Ministry of National Defence concerning external control mechanisms. Therefore, it can be assumed that the guidelines apply to the defence sector.
1) “Public Procurement and Public Service Delegation Codes”, President of the Republic of Algeria, March 2016. Accessed November 21, 2018. https://www.joradp.dz/TRV/FMPublic.pdf.
2) Law No. 06-01 (February 20, 2006), “Relative à la prevention et à la lutte contre la corruption”. Accessed October 15, 2018.
69b. Undue influence
Algeria score: 50/100
There is a complete failure to investigate or prosecute, even in the face of clear evidence.
Cases are superficially investigated, or receive "show" hearings in which defendants are not punished.
Cases are investigated but not often prosecuted. There is clear undue influence in the decision making process.
Cases are investigated or prosecuted through formal processes, but undue political influence is attempted, and sometimes effective at derailing prosecutions.
Cases are investigated or prosecuted through formal processes and without undue political influence.
Research has found no public cases of corrupt activities of a supplier working for the defence sector during the last few years. Allegations of corruption by a businessman in civil procurement have been investigated by law enforcement agencies and prosecuted in courts, such as corruption in the construction of a major highway (1), (2). In the Algerian context of “crony capitalism and political complicities” (3), there is likely political influence in the decision-making process.
1) “Africa integrity indicators: Algeria country findings”, Global Integrity, globalintegrity.org 2016. Accessed November 21, 2018. http://www.globalintegrity.org/wp-content/uploads/2016/05/AII4-Findings-Algeria- .pdf.
2) Hamid Ould Ahmed. “Algeria jails ex-officials, fines foreign firms in highway graft case“, reuters.com, May 7, 2015. https://www.reuters.com/article/algeria-corruption-trial/algeria-jails-ex-officials-fines-foreign-firms-in-highway-graft-case-idUSL5N0XY56320150507.
3) Lakhdar Benchiba. “These Corruption Cases That Are Splashing Algerian Power”, orientxxi.info, March 13, 2018. Accessed November 12, 2018. https://orientxxi.info/magazine/these-corruption-cases-that-are-splashing-algerian-power,2335.
69c. Application of sanctions
Algeria score: 0/100
It is not clear if offences result in sanctions.
Offences rarely result in sanctions.
Offences sometimes result in appropriate sanctions, but not on a regular basis.
An offence can regularly result in softer sanctions (e.g. administrative fines), but not prosecution or exclusion.
An offence can regularly result in a range of sanctions, including prosecution, exclusion from current and future competitions, or other sanctions, including heavy fines or imprisonment.
There are cases where businessmen have been prosecuted and jailed for corruption, but no cases have been found where businessmen were doing businesses with the armed forces. In 2016, a court jailed two men in a corruption case dealing with the state energy firm Sonatrach (1). A recent International Crisis Group report notes that “the struggle against corruption is too often used to settle political scores” (2, p. 19), suggesting that cases are only prosecuted when it is politically desirable. As has been stated before the judiciary lacks independence.
1) “Algerian court jails six in oil firm corruption case”, reuters.com, February 2, 2016. Accessed November 29, 2018. https://www.reuters.com/article/us-algeria-corruption/algerian-court-jails-six-in-oil-firm-corruption-case-idUSKCN0VB27W.
2) “Breaking Algeria’s Economic Paralysis,” Middle East and North Africa Report N°192, International Crisis Group, November 19, 2018. Accessed November 29, 2018. https://d2071andvip0wj.cloudfront.net/192-breaking-algeria-s-sconomic-paralysis.pdf.
Compare scores by country
Please view this page on a larger screen for the full stats.
|Country||69a. Sanctions||69b. Undue influence||69c. Application of sanctions|
|Algeria||100 / 100||50 / 100||0 / 100|
|Angola||100 / 100||50 / 100||0 / 100|
|Burkina Faso||100 / 100||25 / 100||25 / 100|
|Cameroon||0 / 100||NA||NA|
|Cote d'Ivoire||100 / 100||100 / 100||100 / 100|
|Egypt||0 / 100||NA||NA|
|Ghana||100 / 100||50 / 100||0 / 100|
|Iraq||25 / 100||50 / 100||0 / 100|
|Jordan||0 / 100||NA||NA|
|Kuwait||0 / 100||NA||NA|
|Lebanon||100 / 100||0 / 100||0 / 100|
|Mali||50 / 100||25 / 100||25 / 100|
|Morocco||0 / 100||NA||NA|
|Niger||100 / 100||0 / 100||0 / 100|
|Nigeria||NEI||50 / 100||0 / 100|
|Oman||0 / 100||NA||NA|
|Palestine||100 / 100||50 / 100||25 / 100|
|Qatar||0 / 100||NA||NA|
|Saudi Arabia||0 / 100||NA||NA|
|Tunisia||100 / 100||75 / 100||50 / 100|
|United Arab Emirates||0 / 100||NA||NA|