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Auditors and appraisals- pollution control effort in the Indian state of Gujarat

07/18/2013

The Gujarat Pollution Control Board working with researchers at MIT and Harvard used court ordered outside auditing in a experiment to crack down on textile plant polluters. In this experiment textile plant auditors who were suspected of providing false appraisals of heavy polluters and the plants were told there was a one in five chance the plants would be audited a second time by independent auditors randomly assigned. The auditors were also paid from a central fund so that auditors did not have the incentive to favor polluters for bribes or any another reason. The Board also cut off electricity to heavy polluters. The results showed a huge improvement in compliance with polution regulations.

Grouped Articles

Paying Auditors for Honest Appraisals

Wall Street Journal 07.18.2013

India's Rising Hindu Nationalist

Wall Street Journal 09.16.2013


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