What you're talking about is called endemic corruption, which is the state's inability to enforce any policy (eg, speeding, or citizens ability to freely travel) due to the corruption of everybody who would need to action it.
On the other end of the scale you can imagine a paper democracy where all the top positions in government and state owned business are corruptly given to the leader's family, but everybody else follow the law, doesn't take bribes etc. It's still very corrupt, it's just a different kind of corruption.
On the other end of the scale you can imagine a paper democracy where all the top positions in government and state owned business are corruptly given to the leader's family, but everybody else follow the law, doesn't take bribes etc. It's still very corrupt, it's just a different kind of corruption.