In Malaysia, Malaysian Institute of
Integrity (IIM) has been set up by government to act as a mechanism in the
implementation of the National Integrity Plan. Malaysia Corruption Perceptions
Index results showed that Malaysia’s position continues to be in the mid-range
average, even though many steps have been undertaken under the Government
Transformation Programmed initiatives indicating that there is no significant
decrease in corruption (Jamaliah & Normah, 2014). Malaysian Anti-Corruption
Commission (MACC) encourages organizations to sign the Corporate Integrity
Pledge as an effort to eradicate corruption in organization (Bernama, 2012).
The pledges represent organizations commitment to practice integrity in the
business operation which is free from unhealthy elements such as corruption and
fraud. On 2013 as reported in the Star newspaper, the Selangor Development
Corporation (PKNS) has become the first State Economic Development Corporation
which showed commitment to corporate integrity by signing a corporate integrity
pledge. The pledge was sign to show the organization’s commitment towards
integrity, transparency, good governance and curb corruption in its business
operation. PKNS also introduced “Whistleblowing Policy” as a channel to receive
complaints and report on
any unethical conducts as a breach of discipline among members of PKNS.
According to PKNS, the pledge was sign as a sign of commitment in integrity
practices and Whistleblowing Policy is the platform to overcome misconduct or
mismanagement within the organization.
Most of the prior research has been
focused on the impact of whistleblowing practices in corporate governance as
general without specifically mention each elements of good corporate
governance. Therefore, lack of information from the previous research in focusing
on how internal whistleblowing may give impact on corporate integrity of an
organization has limited this study. Corporate integrity should not be taken
lightly as integrity is a complex element which is hard to measure on how an
individual is said to be having integrity in each personality.