Official Misconduct – An Entrepreneurial Explanation

Stefan Kirkegaard Sløk-Madsen; Cecilie Barner Jensen; Trine Stærk Christensen

doi:10.1515/erj-2023-0323

Article

Official Misconduct – An Entrepreneurial Explanation

Stefan Kirkegaard Sløk-Madsen , Cecilie Barner Jensen and Trine Stærk Christensen

Published/Copyright: September 30, 2024

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From the journal Entrepreneurship Research Journal Volume 15 Issue 2

Abstract

This article takes a unique perspective on official misconduct, viewing official misconduct as an entrepreneurial manifestation. We propose a typology of misconduct based on discovery and creation, structured around three dimensions that represent entrepreneurial choices to explore or exploit. We empirically apply this typology through an analysis of 11 official misconduct cases in Danish municipalities, a robust institutional context. This research enhances understanding of the relationship between strong institutions and unproductive entrepreneurial behavior, offering practical insights for policymakers and public administrators.

Keywords: unproductive entrepreneurship; official misconduct; institutional economics; municipalities; Nordics; public administration

Corresponding author: Stefan Kirkegaard Sløk-Madsen, Strategy & Innovation, Copenhagen Business School, Frederiksberg, Denmark, E-mail: sks.si@cbs.dk

Competing interest: The authors have no conflicts of interest to declare. All co-authors have seen and agree with the manuscript’s contents, and there is no financial interest to report.

Appendix A: On Data Request Rejections

The 13 municipalities that rejected the application to access documents included Aalborg, Roskilde, Næstved, Svendborg, Haderslev, Hvidovre, Tønder, Syddjurs, Greve, Glostrup, Lejre, Struer, and Randers. The provided reasons for rejecting the application can be divided into four main categories: 1) no registration or list of official misconduct existed, 2) a disproportionate use of resources was required to process the application, 3) inability to retrieve potential cases without an overly laborious process, and 4) personnel matter/criminal prosecution (which are excluded from the Access of Public Administration Files Act). The column to the right in Table 1 in this appendix shows the paragraphs from the Access to Public Administration Files Act which the municipalities referred to in their rejections. The 13 municipalities that rejected the application of the right to access documentation resulted in incomplete findings because it is not known whether official misconduct occurred in these 13 municipalities. However, a general media search resulted in identifying two cases of official misconduct in Greve Municipality and Struer Municipality that took place in 2021 and 2020, respectively. Both cases involved the former municipal chief executives who used the municipal credit card to make private purchases.

Table 1:

Overview of incomplete findings.

	Municipalities
	No registration or lists exist	Disproportionate use of resources	Inability to retrieve information without an overly laborious process	Personnel matter/criminal prosecution	Paragraph cited from the Access to Public Administration Files Act
Aalborg	X				–
Glostrup	X			X	§21
Greve		X			§92 [2], no. 1
Haderslev				X	Passed to criminal prosecution §19
Hvidovre		X	X		§ 11 in bill no. 144 § 9 [2], no. 1
Lejre	X	X			§ 9 [2], no. 1
Næstved	X				–
Roskilde				X	§ 19 § 21
Svendborg	X	X	X		–
Syddjurs	X				–
Tønder				X	§ 33 [1] § 14
Struer	X				–
Randers			X		–

What might be the implications of the 13 rejections is a relevant question. Notably, 10 out of 13 municipalities rejected our application based on the first three categorizations in the above table: no registration or lists exist, disproportionate use of resources, and inability to retrieve information with a few or simple commands; this indicates that the technologies for public sector information that should be accessible to citizens are insufficient (Henninger 2013). This insufficiency is further supported by the challenges of accessing documents from the Copenhagen Municipality. A civil servant from the Copenhagen Municipality who processed our application informed us that cases of official misconduct are registered as administrative cases in the internal system. Thus, he would have to go through all administrative cases to identify those related to official misconduct. He also informed us that he could search for all legal bills in the internal system, but since Copenhagen uses external legal assistance regularly, this would also yield a high number of results that he would have to go through manually to identify legal bills related to official misconduct. Thus, our application could be rejected based on the disproportionate use of resources that it would take to find the requested documents. The civil servant informed us that the only way to obtain access to the requested documents was if the application stated very specific cases of official misconduct since this made it possible for him to extract the documents connected with these specific cases. Thus, the empirical study of official misconduct is challenging. Perpetrators of crimes such as official misconduct will try to hide their involvement and are generally unwilling to provide information since discovery can result in a legal penalty (Thachuk 2005). In our data collection, we encountered a systematic barrier to accessing the information that we applied for access to (legal bills and legal reports). This barrier decreases transparency and hinders the public from holding public officials accountable for their actions (Bauhr, Grimes, and Harring 2010). It is beyond the scope of this paper to investigate whether information systems intentionally prevent access to public documents that could have a detrimental effect on the municipality and public officials.

Before initiating data collection, the expectation was to have an exhaustive data sample because of the demarcation of the research field (administrative corruption at the municipal level). However, the 13 incomplete findings show that the data collection method did not capture all instances of official misconduct in the Danish municipalities within the five-year time period. Nevertheless, the data collection method of systematically applying for access to documents that are available to the public and thus exist independently of this study increases the reliability and validity of the findings by enabling other researchers to replicate the study (Gibbert el al. 2008; Yin 2018).

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Received: 2023-08-15

Accepted: 2024-08-07

Published Online: 2024-09-30

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Articles in the same Issue

https://doi.org/10.1515/erj-2023-0323

Keywords for this article

unproductive entrepreneurship; official misconduct; institutional economics; municipalities; Nordics; public administration