What is corrupt conduct?
The National Anti-Corruption Commission commenced operations on 1 July 2023.
Please visit the NACC website for more information.
This page replicates the content of a downloadable fact sheet in an accessible format. To download, see NACC downloadable resources.
To investigate corruption, the Commissioner of the National Anti-Corruption Commission (NACC) must have information raising the possibility that a person has done or could do something that:
- involves, or could involve, a public official
- is, or could be, corrupt conduct under the NACC Act, and
- could involve serious or systemic corrupt conduct.
This page explains what will be corrupt conduct under the National Anti-Corruption Commission Act 2022 (NACC Act). It includes some examples that may help you understand the types of behaviour that may be corrupt.
For more information about who will be a public official under the NACC Act, see Who can the NACC investigate?
What is corrupt conduct?
The NACC may decide to investigate any person who has potentially done something that involves serious or systemic corrupt conduct under the NACC Act. There are 4 types of corrupt conduct under the NACC Act. A person engages in corrupt conduct if:
- they are a public official and they breach public trust
- they are a public official and they abuse their office as a public official
- they are a public official or former public official and they misuse information they have gained in their capacity as a public official
- they do something that could cause a public official to behave dishonestly or in a biased way when they carry out their official duties – any person can engage in this type of corrupt conduct, even if they are not a public official themselves.
A person also engages in corrupt conduct if they try or plan to do any of those things. A public official’s conduct may involve one or more types of corrupt conduct.
Corrupt conduct involving a breach of public trust
A public official can engage in corrupt conduct if their conduct constitutes or involves a breach of public trust.
See the National Anti-Corruption Commission Act 2022, paragraph 8(1)(b)
and the Explanatory Memorandum at paragraphs 2.31-2.37.
What is public trust?
Public officials are given powers to make decisions or do other things as part of their official roles. For example, ministers are sometimes given powers under legislation to issue permits or licenses; other public officials have powers to enter into contracts involving the use of public money, or to grant applications for financial assistance. Each of these powers are granted to the public official ‘on trust’ for the Australian public. That means the power must be exercised for the purposes for which the power was granted, not for some other, improper purpose, which may constitute a breach of public trust.
A public official can breach public trust even if they don’t gain any advantage for themselves or someone else. The key element of a breach of public trust is the exercise of an official power for an improper purpose.
Example of using a power for an improper purpose
Tender process: You are the decision maker in a tender process being run by your agency. One of your core responsibilities as decision maker is to ensure the tender is awarded in a way that achieves value for money for the Commonwealth. One of the proposals for the tender process comes from your neighbour, who has had some bad luck with their business recently. Your neighbour’s bid is not terrible, but it isn’t the best value for money. You decide to award the tender to them anyway because you want to help them out.
The reason you awarded the tender is not consistent with your responsibility to ensure the tender achieves value for money. This means you awarded the tender for an improper purpose.
Examples of abuse of office
The selection panel: You are a senior public servant in your agency. Your agency has recently advertised a merit-based process to make a new appointment to a government board. One of your friends from university has told you they would really like to be on that board.
You also know that the chair of the selection panel has applied for a promotion within your agency.
You bump into the chair of the panel in the coffee line and strike up a conversation about their promotion application and their work on the selection panel. You imply that they won’t be considered for the promotion unless they recommend your old university friend be appointed to the board. In the weeks that follow, you contact the chair to remind them of your conversation in the coffee line.
This is an abuse of office because:
- you are using your position of influence in the agency to pressure the chair of the panel into making an official decision for an improper purpose
- as a senior public servant, you know that this is an improper thing to do
- you intend to gain a benefit for your university friend by having them appointed to the board.
The rebate scheme: You are responsible for processing claims for reimbursement under a government rebate scheme. You use confidential client details from legitimate rebate applications to create fake claims and then make the rebate payments into your own bank accounts.
This is an abuse of office because:
- in your official capacity you acted for an improper purpose
- you know that your acts were improper
- you gained a benefit by receiving payments you were not entitled to.
Note: This conduct was the subject of ACLEI’s investigation Operation Fortescue.