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Abstract: 

This article presents a corruption story from Turkey. It`s about a Build Operate Transfer project: building and operating an airport in the mid-western territory by a private company. The salient feature of the project is that the Turkish Government granted the project to a company without competitive bidding. Assigning a job without bidding is a sign of corruption, and, what is even more important, the Government guaranteed the number of passengers flying from the airport for purposes of the passenger facility charges (the airport fee, which is part of the ticket price). Neither the author nor the public has access to the contract for the project. The information obtained comes from the internet through the declarations of the opposition party`s members of the parliament. All calculations have been made on the information obtained through the internet. In this case the contractor`s business risk is zero. The number of people who actually flew in the first 8 years and seven months of the project was only 3.3 percent of the scheduled number of passengers on the contract.

Keywords: investment, corruption, airport, construction, passengers, build, operate, transfer (BOT) model

Affiliations:  1: California State University Dominguez Hills.