Surely, we cannot go on supporting the war in Afghanistan when there is so much that is going wrong for the US/NATO occupation of the country, so many civilian and military casualties, so much poverty and so little progress for most of the Afghan people, so much corruption in the Afghan government and among US contractors, so much waste of US resources in a war that seems to chase its own tail.
---------------
Even Defense Secretary Robert M. Gates seems discouraged about US prospects in Afghanistan, as reported as follows by Thom Shanker for the New York Times (Feb. 25, 2011).
“Defense Secretary Robert M. Gates bluntly told an audience of West Point cadets on Friday that it would be unwise for the United States to ever fight another war like Iraq or Afghanistan, and that the chances of carrying out a change of government in that fashion again were slim.
‘In my opinion, any future defense secretary who advises the president to again send a big American land army into Asia or into the Middle East or Africa should ‘have his head examined,’ as General MacArthur so delicately put it,’ Mr. Gates told an assembly of Army cadets here.”
Secretary Gates did not mean to suggest that such wars are out of the question, but only that they should be based less on ground forces and more on “air and sea” power – and perhaps, implicitly, on pilotless drones and other mechanized warfare. Still, the Secretary and other leaders must be weighed down by the US devastation sheer price of it all caused by their policies in Iraq and now Afghanistan, with at the moment no end in sight. Where is the “democracy” and progress they promised, as all US leaders have done to justify invasions and wars.
http://www.nytimes.com/2011/02/26/world/26gates.html
---------------
Ordinary Americans have caught this dark and dismal mood, as reflected in public opinion polls anyway. There is an overall trend in the news coverage of the Afghanistan War among people in the US who are questioned by pollsters. Those responding to unfavorable choices about the war are growing in number while the number of those responding favorably to US involvement in Afghanistan is falling. You can see the results of polls going back in some cases to 2007 or earlier at Polling Report.com. - Afghanistan. Support for the war in Afghanistan is declining among US citizens. Not good news for US Afghan policymakers. Here are examples of responses from two recent polls.
A CBS News Poll conducted from February 11-14, 2011 and based on 1,031 interviews found that 54 percent of the respondents indicate that the US “should…not be involved in Afghanistan now.” Only 37 percent agreed with the other option that “the US is doing the right thing. Nine percent were “unsure.” In the same CBS News Poll, the pattern held up in the responses to another question. The question, “What is your impression of how the war in Afghanistan is going for the US right now,” 55% chose “somewhat badly” (36%) or “very badly” (19%) compared to 36% who chose “somewhat well” (33%) or “very well” (3%).
A poll of 1,012 people by CNN/Opinion Research found 58 percent of the respondents who “oppose the US War in Afghanistan,” and a lesser percentage of 40% who “favor the US war in Afghanistan.”
---------------
A similar climate of opinion seems to hold among Afghans. The Huffington Post (Dec. 6, 2010) titles an article “Afghanistan Poll: Afghans Lose Confidence in US and NATO Forces. The poll, “based on face-to-face interviews with a random sample of nearly 1,700 Afghan adults in all 34 of the country’s provinces,” was “conducted from Oct. 29-Nov. 13 [2010] by ABC News, the BBC, ARD German TV and the Washington Post.” Here are two relevant quotes from the article.
“Monday's survey also showed Afghans are losing confidence in the United States and NATO to provide security in their country, and they are more willing to see a negotiated settlement with the Taliban than they were last year.
“Just 36 percent of those polled expressed confidence in the U.S. and NATO to bring stability, down by 12 percentage points from last year and down by 31 percentage points since 2006. The survey also said 73 percent favor a negotiated settlement with the Taliban, up by 13 percentage points since 2007.”
---------------
While Secretary of Defense Gates seems demoralized, you can say that at least he seems guided by a certain rationality about the present and future of warfare. The same cannot be said of an outburst by General Patraeus. On Antiwar.com (Feb 21, 2001), Jason Ditz captures what happened, and it appears to be a sudden loss of concentration or an expression of pent-up rage on the part of the general. Who knows? The title of Ditz’ article is “Petraeus Accuses Afghan Parents of Burning Kids to Make US Look Bad. Here is some of what Ditz penned:
“One would think that the effort to downplay the killings of as many as 64 civilians, including a large number of children, would be enough to spark considerable anti-US outrage, but apparently Gen. David Petraeus saw an opportunity to make things even worse, and took it.
“In a closed door meeting aimed at explaining why they had killed so many civilians, Gen. Petraeus actually accused parents in the region of burning their own children in an attempt to raise the death count and make the US look bad.
[….]
“The US has a long history of making up ridiculous hypotheticals that might explain away massive civilian death tolls, including the May 2009 Farah Province massacre, in which the US initially claimed the Taliban had “pre-killed” a large number of civilians and stored them in buildings before tricking the US into bombing them, scattering the bodies. They later admitted the claim was entirely made up.
“….This appears, however, to be the first time they actually accused parents of killing their children just to make the US occupation look bad.”
---------------
The bad news onslaught is tragically reflected in other recent new items. Consider just five recent sources worth looking up.
#1 - The Independent. Uk posted on their website the following AP news item that “Afghan security worst for 10 years, says UN.” The post, from Feb 24, 2011, reports, ‘Security in the country is at its lowest level for a decade and two-fifths of the country is off-limits,’ according to “Robert Watkins, a Canadian diplomat and the UN's deputy special representative in Afghanistan.” Watkins is also quoted as saying, the occupation is‘at its lowest point since the departure of the Taliban" following the 2001 invasion.’”
http://www.independent.co.uk/news/world/asia/afghan-security-worst-for-10-years-says-un-2223699.html
---------------
#2 – C.J. Civers, Alissa J. Rubin, and Wesley Morgan write about “US Pulling Back in Afghan Valley It Called Vital to War,” Feb 24, 2011
http://www.nytimes.com/2011/02/25/world/asia/25afghanistan.html
---------------
#3 – Slobodan Lekic, “NATO: Afghan [troop] attrition remains stubbornly high,” Yahoo News, Feb 23, 2011.
http://news.yahoo.com/s/ap/20110223/ap_on_re_en/eu_nato_afghan_training
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#4 – Emma Graham-Harrison, “NATO’s Afghan night raids come with high civilian cost.”
http://ca.reuters.com/articles/topNews/idCATRE71N15U20110224
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#5 – John Donnelly, “Pentagon Contracts: No bid required,” Congress.org, Feb 15, 2011
http://www.congress.org/new/2011/02/15/pentagon_contracts_no_bids_required
Saturday, February 26, 2011
Saturday, February 19, 2011
Afghanistan - cut funding, reduce violence
The decade-long US/NATO war on and occupation of Afghanistan is unrelentingly costly, in human terms, to US taxpayers and US debt, in Afghan and contractor corruption, in the fear and hatred generated by foreign occupation among ordinary Afghan people, and, to end this incomplete list, the squandering of money on this futile war when there is so much economic distress in Afghanistan and the US.
The Republicans in the US House and Senate want to reduce government spending on non-military discretionary programs by $100 billion in the next fiscal year. Tom Engelhardt demurs. The savings should more reasonably come from the military side of the budget proposals. Given the less-than-rational policies justifying the Afghanistan war/occupation, we should, Engelhardt argues, look at the military spending proposals on the budget. Here is just one of Engelhardt’s ideas. He writes in his Feb. 17, 2011, article on Antiwar.com that we could easily cut a $100 billion or more from the spending side of the government budget by bringing the troops home from Afghanistan.
---------------
Engelhardt - Ending the war in Afghanistan and save over $100 billion the first year
[….]
“Which reminds me: Didn’t I mention Afghanistan?
“If so, how fortunate, because there’s a perfectly obvious path toward that Republican goal of $100 billion. If we were to embark on it, there would be even more cuts to follow and — believe it or not — they wouldn’t be all that painful, provided we did one small thing: change our thinking about making war.
“After all, according to the Pentagon, the cost of the Afghan War in 2012 will be almost $300 million a day or, for all 365 of them, $107.3 billion. Like anything having to do with American war-fighting, however, such figures regularly turn out to be undercounts. Other estimates for our yearly war costs there go as high as $120-$160 billion.
“And let’s face it, it’s a war worth ending fast. Almost a decade after the Bush administration invaded Afghanistan, the U.S. military is still fruitlessly engaged in possibly the stupidest frontier war in our history, thousands of miles from home in the backlands of the planet.
[….]
There’s genuine money to be slashed simply by bringing the troops home….
[….]
URL to article: http://original.antiwar.com/engelhardt/2011/02/17/cutting-100-billion-easy/
---------------
Sadly the war is likely to continue beyond 2011 or 2014. There is no definitive end in sight for this fruitless endeavor. And it is likely to get worse by the violence it generates in the meantime.
---------------
Slobodan Lekic learns that the top US general in Afghanistan sees intensified fighting in 2011. Reporting for the Associated Press (2-9-11), Lekic writes that “General Patraeus predicts intensified fighting in 2011.” Lekic continues:
“ The top U.S. and NATO commander in Afghanistan warned [on NATO TV] that combat will likely escalate during the spring thaw as Taliban insurgents try to return to areas cleared by the international forces during the past several months.
[….]
“Last year's surge boosted the international force to about 150,000 troops. NATO and President Hamid Karzai hope to have more than 300,000 Afghan army and police in action by next autumn facing a much smaller organized insurgent force.
[….]
“Last year was the deadliest of the nearly decade-long war for international troops, with more than 700 killed. This compares to about 500 in 2009, previously the worst year of the war. Record numbers of insurgents and civilians also have been killed.
[….]
http://news.yahoo.com/s/ap/20110209/ap_re_eu/eu_nato_patraeus
---------------
Jason Ditz reports on on Antiwar.com (Feb 16, 2011) that Admiral Michael Mullen also anticipates increases violence in Afghanistan in 2011 – i.e., agreement among top brass that violence in Afghan will worsen in 2011
….today Admiral Michael Mullen informed Congress that 2011 will be an even more violent year in Afghanistan than the record 2010 was.
“’The fighting will be tough and often costly,’” Mullen informed the committee in a prepared statement, which added that the violence to come would be “’greater than last year,’” which may sound familiar, because violence in Afghanistan has gotten worse year after year, and record tolls always find a way to be topped.”
[….]
URL to article: http://news.antiwar.com/2011/02/16/mullen-informs-congress-afghan-violence-to-worsen-in-2011/
---------------
The anticipated increase in violence is predictably going to result in increase deaths and injuries, physical and psychological, both to civilians and to combatants. Derrick Crowe reports in the Huffington Post (Feb 2, 2011) that “2010 was the worst year for civilian deaths of the Afghanistan War.” Put it together. If last year was the worst year in this respect, and if the top military brass predicts that violence will rise in 2011, then 2011 will become the worst year for civilian deaths in this battered country of Afghanistan. The surge in carnage will continue to escalate, we are forewarned.
------------
Derrick Crowe:
“Last year was the worst year for civilian deaths in the war so far, and irregular armed groups backed by the U.S. and by the Afghan government are preying on the population while recruiting and abusing children. Go team.
[….]
“Here's the latest assessment from the Afghanistan Rights Monitor (.PDF):
“Almost everything related to the war surged in 2010: the combined numbers of Afghan and foreign forces surpassed 350,000; security incidents mounted to over 100 per week; more fighters from all warring side were killed; and the number of civilian people killed, wounded and displaced hit record levels.
“...From 1 January to 31 December 2010, at least 2,421 civilian Afghans were killed and over 3,270 were injured in conflict-related security incidents across Afghanistan. This means everyday 6-7 noncombatants were killed and 8-9 were wounded in the war.
“...In addition to civilian casualties, hundreds of thousands of people were affected in various ways by the intensified armed violence in Afghanistan in 2010. Tens of thousands of people were forced out of their homes or deprived of healthcare and education services and livelihood opportunities due to the continuation of war in their home areas.
“Improvised Explosive Devices (IEDs) are widely considered as the most lethal tools which killed over 690 civilians in 2010. However, as you will read in this report, there is virtually no information about the use of cluster munitions by US/NATO forces. Despite Afghanistan's accession to the international Anti-Cluster Bomb Treaty in 2008, the US military has allegedly maintained stockpiles of cluster munitions in Afghanistan.
“A second key issue highlighted in this report is the emergence of the irregular armed groups in parts of Afghanistan which are backed by the Afghan Government and its foreign allies. These groups have been deplored as criminal and predatory by many Afghans and have already been accused of severe human rights violations such as child recruitment and sexual abuse.”
http://www.huffingtonpost.com/derrick-crowe/2010-worst-year-for-civil_b_817308.html
---------------
There are alternatives to the US/NATO war on occupation of Afghanistan. Tom Engelhardt offers sound advice in his article cited earlier. The Afghanistan Study Group provides an authoritative and comprehensive report in “A New Way Forward: Rethinking US Strategy in Afghanistan.” Check it out at:
http://www.afghanistanstudygroup.org/
Also think about joining the anti-war demonstration in New York City on Saturday, April 9, 2011.
The Republicans in the US House and Senate want to reduce government spending on non-military discretionary programs by $100 billion in the next fiscal year. Tom Engelhardt demurs. The savings should more reasonably come from the military side of the budget proposals. Given the less-than-rational policies justifying the Afghanistan war/occupation, we should, Engelhardt argues, look at the military spending proposals on the budget. Here is just one of Engelhardt’s ideas. He writes in his Feb. 17, 2011, article on Antiwar.com that we could easily cut a $100 billion or more from the spending side of the government budget by bringing the troops home from Afghanistan.
---------------
Engelhardt - Ending the war in Afghanistan and save over $100 billion the first year
[….]
“Which reminds me: Didn’t I mention Afghanistan?
“If so, how fortunate, because there’s a perfectly obvious path toward that Republican goal of $100 billion. If we were to embark on it, there would be even more cuts to follow and — believe it or not — they wouldn’t be all that painful, provided we did one small thing: change our thinking about making war.
“After all, according to the Pentagon, the cost of the Afghan War in 2012 will be almost $300 million a day or, for all 365 of them, $107.3 billion. Like anything having to do with American war-fighting, however, such figures regularly turn out to be undercounts. Other estimates for our yearly war costs there go as high as $120-$160 billion.
“And let’s face it, it’s a war worth ending fast. Almost a decade after the Bush administration invaded Afghanistan, the U.S. military is still fruitlessly engaged in possibly the stupidest frontier war in our history, thousands of miles from home in the backlands of the planet.
[….]
There’s genuine money to be slashed simply by bringing the troops home….
[….]
URL to article: http://original.antiwar.com/engelhardt/2011/02/17/cutting-100-billion-easy/
---------------
Sadly the war is likely to continue beyond 2011 or 2014. There is no definitive end in sight for this fruitless endeavor. And it is likely to get worse by the violence it generates in the meantime.
---------------
Slobodan Lekic learns that the top US general in Afghanistan sees intensified fighting in 2011. Reporting for the Associated Press (2-9-11), Lekic writes that “General Patraeus predicts intensified fighting in 2011.” Lekic continues:
“ The top U.S. and NATO commander in Afghanistan warned [on NATO TV] that combat will likely escalate during the spring thaw as Taliban insurgents try to return to areas cleared by the international forces during the past several months.
[….]
“Last year's surge boosted the international force to about 150,000 troops. NATO and President Hamid Karzai hope to have more than 300,000 Afghan army and police in action by next autumn facing a much smaller organized insurgent force.
[….]
“Last year was the deadliest of the nearly decade-long war for international troops, with more than 700 killed. This compares to about 500 in 2009, previously the worst year of the war. Record numbers of insurgents and civilians also have been killed.
[….]
http://news.yahoo.com/s/ap/20110209/ap_re_eu/eu_nato_patraeus
---------------
Jason Ditz reports on on Antiwar.com (Feb 16, 2011) that Admiral Michael Mullen also anticipates increases violence in Afghanistan in 2011 – i.e., agreement among top brass that violence in Afghan will worsen in 2011
….today Admiral Michael Mullen informed Congress that 2011 will be an even more violent year in Afghanistan than the record 2010 was.
“’The fighting will be tough and often costly,’” Mullen informed the committee in a prepared statement, which added that the violence to come would be “’greater than last year,’” which may sound familiar, because violence in Afghanistan has gotten worse year after year, and record tolls always find a way to be topped.”
[….]
URL to article: http://news.antiwar.com/2011/02/16/mullen-informs-congress-afghan-violence-to-worsen-in-2011/
---------------
The anticipated increase in violence is predictably going to result in increase deaths and injuries, physical and psychological, both to civilians and to combatants. Derrick Crowe reports in the Huffington Post (Feb 2, 2011) that “2010 was the worst year for civilian deaths of the Afghanistan War.” Put it together. If last year was the worst year in this respect, and if the top military brass predicts that violence will rise in 2011, then 2011 will become the worst year for civilian deaths in this battered country of Afghanistan. The surge in carnage will continue to escalate, we are forewarned.
------------
Derrick Crowe:
“Last year was the worst year for civilian deaths in the war so far, and irregular armed groups backed by the U.S. and by the Afghan government are preying on the population while recruiting and abusing children. Go team.
[….]
“Here's the latest assessment from the Afghanistan Rights Monitor (.PDF):
“Almost everything related to the war surged in 2010: the combined numbers of Afghan and foreign forces surpassed 350,000; security incidents mounted to over 100 per week; more fighters from all warring side were killed; and the number of civilian people killed, wounded and displaced hit record levels.
“...From 1 January to 31 December 2010, at least 2,421 civilian Afghans were killed and over 3,270 were injured in conflict-related security incidents across Afghanistan. This means everyday 6-7 noncombatants were killed and 8-9 were wounded in the war.
“...In addition to civilian casualties, hundreds of thousands of people were affected in various ways by the intensified armed violence in Afghanistan in 2010. Tens of thousands of people were forced out of their homes or deprived of healthcare and education services and livelihood opportunities due to the continuation of war in their home areas.
“Improvised Explosive Devices (IEDs) are widely considered as the most lethal tools which killed over 690 civilians in 2010. However, as you will read in this report, there is virtually no information about the use of cluster munitions by US/NATO forces. Despite Afghanistan's accession to the international Anti-Cluster Bomb Treaty in 2008, the US military has allegedly maintained stockpiles of cluster munitions in Afghanistan.
“A second key issue highlighted in this report is the emergence of the irregular armed groups in parts of Afghanistan which are backed by the Afghan Government and its foreign allies. These groups have been deplored as criminal and predatory by many Afghans and have already been accused of severe human rights violations such as child recruitment and sexual abuse.”
http://www.huffingtonpost.com/derrick-crowe/2010-worst-year-for-civil_b_817308.html
---------------
There are alternatives to the US/NATO war on occupation of Afghanistan. Tom Engelhardt offers sound advice in his article cited earlier. The Afghanistan Study Group provides an authoritative and comprehensive report in “A New Way Forward: Rethinking US Strategy in Afghanistan.” Check it out at:
http://www.afghanistanstudygroup.org/
Also think about joining the anti-war demonstration in New York City on Saturday, April 9, 2011.
Sunday, February 13, 2011
Corruption permeates Afghanistan
In my last post, February 6, 2011, I commented on and referred to articles that document how tens of billions of dollars in US and UK development funds have been squandered or just vanished in a maze of official and unofficial corruption in Afghanistan. The corruption doesn’t stop with the misuse of “development” funds. Indeed, Afghanistan is rated by Transparency International in their “Corruption Perceptions Index 2010” as the second most corrupt country in a list of 178 countries. Afghanistan is tied with Myanmar for second, just ahead of Somalia, viewed as the most corrupt, and just below Iraq the fourth most corrupt country.
When corruption is widespread and explicitly or implicitly sanctioned by powerful governing groups in a society, it follows that there is little true “democracy.” Corruption requires secrecy among networks of beneficiaries who nefariously steal or divert the people’s taxes, foreign aid, and some of the profits from foreign investment into their own pockets or the pockets of their cronies instead of into programs that are publicly beneficial. Corruption may also involve bureaucrats and police who compel people to pay bribes for services that in law or by convention are considered rights. It may involve kickbacks from foreign or domestic companies to government officials that want government contracts. It may involve the income and profits that come from the production and distribution of illegal drugs, which is particularly true of Afghanistan. Corruption in it various manifestations is inherently anti-democratic, self-serving, favors inequality, works against sustainable development, and requires secrecy and authoritarian and/or plutocratic government to thrive.
Consider some examples of the evidence.
---------------
A year ago, Daniel Schulman examined a UN study on drugs and bribery in Afghanistan in an article for the Mother Jones magazine. His article refers to the massive costs of bribes, kickbacks, and the opium trade. [See full citation after quotes.]
“Earlier this month [Jan 2011], Afghan President Hamid Karzai [1] fought back against allegations of pervasive graft [2] within his government, telling [3] Al Jazeera that ‘the Western media has blown corruption totally out of all proportion in Afghanistan.’
“Perhaps Karzai should have a conversation with Antonio Maria Costa, the United Nations' drug and crime czar. His office released a report [4]on Tuesday concluding that in the past year Afghans paid out $2.5 billion in bribes and kickbacks—the equivalent of 23 percent of the country's gross domestic product. The income generated by corruption is exceeded only by the booming opium trade [5], which brings in an estimated $2.8 billion annually. ‘In other words, this is shocking, drugs and bribes are the two largest income generators in Afghanistan,’ writes Costa, who heads the UN's Office on Drugs and Crime (UNODC), in the preface of the study.
The report, based on interviews with 7,600 Afghans, is yet another indicator that any US policy on Afghanistan that is predicated on cooperation with the government is threatened by endemic graft. As it stands, writes Costa, ‘It is almost impossible to obtain a public service in Afghanistan without greasing a palm: bribing authorities is a way of life.’
“The average payoff, according to UNODC, was $159—a modest sum in Western terms, but a massive expenditure in a country with a per-capita income of $425. This, Costa says, amounts to a ‘crippling tax on people who are already among the world's poorest.’ And he notes that the massive influx of aid funding coupled with soaring drug revenues ‘have created a new cast [sic] of rich and powerful individuals who operate outside the traditional power/tribal structures and bid the cost of favours and loyalty to levels not compatible with the under-developed nature of the country.’
“According to the study, 59 percent of Afghans identified corruption as their biggest concern—more worrisome even than the deteriorating security situation and widespread unemployment.
[….]
“….Presently, says Costa, members of the Afghan government are not doing their part to fight graft. That's not entirely surprising, since Afghan officials—on both the local and national level—appear to be the ones profiting most handsomely from bribes and kickbacks.”
Source: http://motherjones.com/politics/2010/01/corruption-afghanistan-its-even-worse-you-think#
---------------
Since last summer, there have been spates of articles focused on an particularly egregious example of corruption, namely, the people who stole from billions from Da Kabul Bank, the state bank, and caused it to collapse.
CORRUPTION AT THE HIGHEST LEVELS OF THE FINANCIAL INDUSTRY AND THE GOVERNMENT MEAN THAT OUR SOLDIERS ARE DYING FOR A LOST CAUSE
On his blog Informed Comment (Sept, 3, 2010), the title of Juan Cole’s article reflects the thrust of his analysis - “Collapse of Kabul Banks Points to Fatal Corruption of Karzai Government.” I quote from the article.
“I [Juan Cole] write in anger. Not blind rage, mind you. A cool, searing, steady anger. I think it is a righteous anger. It is not consequential, but it is my reality. I am angry about the 1,172 US troops dead in the Afghanistan War, and all the other brave NATO and Afghan soldiers who gave their lives for a new Afghanistan. Because they haven’t gotten a new Afghanistan. They have paid the ultimate sacrifice for a ponzi scheme masquerading as a reformist government. And, as usual, you and I may well get stuck with the bill for the economic damage done by the fraud.
“The house of cards that is the Hamid Karzai government in Kabul may be falling before our eyes, as vast, globe-spanning webs of corruption, formerly hidden in shadows, have suddenly had a spotlight thrown on them. The crisis raises the severest questions about whether the Obama administration can plausibly hope to stand up a stable government in Afghanistan before US troops depart.
“As with the second phase of the Great Depression in the United States, the crisis begins with a run on Da Kabul Bank. Depositors took out $85 million on Wednesday, after a damning story appeared in the Washington Post. They took out another $70 million on Thursday. The bank, which owes $300 million, may now have as little as $120 million left in the kitty, though it had once been worth over a billion. But the problem is not just a run on one bank. Can Afghanistan’s whole financial system and economy emerge unscathed?
“Pajhwok News Service reports,
‘The immediate concern was that news of the bank’s financial irregularities, already spreading through the capital, would prompt a run on the bank itself and that the panic would spread to other financial institutions. Bank deposits in Afghanistan are not guaranteed by the central government, officials here said. “This could be catastrophic for the country,” a senior Afghan banking official said. “The next few days are critical. I am worried.” ‘
[….]
“The story begins with Sherkhan Farnood, a financier who founded Da Kabul Bank after the fall of the Taliban. Over the years he appears to have used the institution for patronage for politicians and their families. Farnood gave millions to the presidential campaign of Hamid Karzai last summer, a campaign that Karzai was accused of only winning through substantial ballot fraud. (Hint: a vote wouldn’t cost much to buy in Afghanistan, and ‘millions’ would buy a lot). The other top executive at the bank, Khalilu’llah Frozi, was a campaign adviser to Karzai. Hamid Karzai’s brother Mahmoud has a 9% share in the bank.
[….]
“Farnood often gave out loans without proper collateral or other formalities. He loaned $100 million to Haseen Fahim, the brother of Marshal Mohammad Fahim (an old-time Northern Alliance warlord whom Karzai brought back into government as his vice-presidential running mate in summer of 2009). Haseen Fahim has substantial investments in Afghanistan’s small natural gas sector.
Farnood also apparently loaned himself $140 million to invest in real estate in Dubai, including in villas on the world islands off Jumeirah.
[….]
With the world economic downturn and real estate crash of 2008-2009, the Dubai world project largely fell apart, with investors going bankrupt in droves.
[….]
“So Farnood’s $140 million investment was suddenly not worth anything at all, and his bank began spiraling down. The details of his other bad investments have not yet emerged. The bank went from having over $1 billion in capital to now having only $120 million and owing $300 million.
“President Hamid Karzai is notorious for running interference for his corrupt cronies, and that Farnood and Frozi were out of control appears to have been known for some time but nothing was allowed to be done about it. The two have now been forced out, but the question is whether it is in time to save not only the bank (doubtful) but also the entire Afghan financial system, rebuilt after the fall of the Taliban.
“The Karzai government is corrupt and rotten to the core. Not a single US soldier should die to prop it up. The lie that we are fighting “al-Qaeda” in Afghanistan needs to be exposed. The US and NATO are fighting four or five groups of Pashtun insurgents, some of them until fairly recently US allies. The goal of the fighting is to keep the Karzai government from falling to the guerrillas and to train up an army and police force that could go on defending Kabul. The Afghanistan National Army from all accounts has poor morale. No wonder. What Afghan soldier
[….]
http://www.juancole.com/2010/09/collapse-of-kabul-bank-points-to-terminal-corruption-of-karzai-government.html
---------------
STEAL WHAT YOU CAN BECAUSE THE COUNTRY DOES NOT HAVE A FUTURE
Julius Cavendish provides an updated report (Feb 2, 2011) on the bank failure in an article for The Independent titled “Afghan elite 'plundered $900m' from leading bank.”
“A coterie of well-connected Afghan businessmen and politicians may have plundered as much as $900m from the country's biggest commercial bank, three times the amount of earlier estimates, and the equivalent of about 7 per cent of Afghanistan's total gross domestic product.
“Kabul Bank's funds were treated like personal accounts, it is claimed by several well-known members of Afghan society. Mahmoud Karzai, a brother of the Afghan President and prominent shareholder in Kabul Bank, told The New York Times that the bank's former chairman lent himself about $98m (£62m) to buy one of Afghanistan's airlines, and then used deposits to subsidise the carrier in an attempt to drive rivals out of business. Yet so difficult has the hunt for the missing millions become that the very same man, Sherkhan Farnood, had been brought in to help trace the missing cash.
“Officials say the value of questionable outstanding loans written by the bank is far greater than originally thought – and auditors pouring over the lender's books think up to $800m is potentially unrecoverable.
“The crisis is so severe – with fears that a run on the embattled Kabul Bank could lead to its collapse – that Afghanistan's central bank chief, Abdul Qadir Fitrat, was forced yesterday to deny reports that the embattled lender was close to failure.
[….]
“The case is acutely embarrassing both for President Hamid Karzai, whose tenure has seen Afghanistan turn into a mafia state, and the Obama administration, which has adopted a policy of ignoring institutionalised corruption after several bitter diplomatic spats with Mr Karzai got it nowhere.
“In an account of goings-on at Kabul Bank that is devastating in its detail, the New Yorker magazine records how ‘Kabul Bank's largesse included members of parliament and almost anyone whose silence would allow bank executives to embark on a spree of buying, lending and looting.
"In addition, some former and current Afghan officials say, Kabul Bank became an unofficial arm of the Karzai government, bribing parliamentarians in order to secure votes for its legislative agenda,’ it reports.
"Dozens of Afghan leaders and businessmen... collectively, accepted tens of millions of dollars in gifts and bribes – some sources say as much as a hundred million dollars – from executives at Kabul Bank."
[….]
“American investigators say many of Mr Karzai's closest advisers, some with regulatory responsibilities over the Afghan financial system, are implicated in the scandal.
[….]
“It's a meticulous account of the workings of kleptocracy, but from a Western perspective perhaps the most terrifying part of the tale is the motive. The businessmen, politicians and officials – the cream of Afghan society – are milking Afghanistan for all they can. Why? Because they don't believe their country has a future.”
Source: http://www.independent.co.uk/news/world/asia/afghan-elite-plundered-900m-from-leading-bank-2200176.html#
---------------
Another source: Dexter Filkins, “The Afghan Bank Heist,” The New Yorker, Feb 14, 2011 – http://www.newyorker.com/reporting/2011/02/14/110214fa_fact_filkins?currentPage=all
When corruption is widespread and explicitly or implicitly sanctioned by powerful governing groups in a society, it follows that there is little true “democracy.” Corruption requires secrecy among networks of beneficiaries who nefariously steal or divert the people’s taxes, foreign aid, and some of the profits from foreign investment into their own pockets or the pockets of their cronies instead of into programs that are publicly beneficial. Corruption may also involve bureaucrats and police who compel people to pay bribes for services that in law or by convention are considered rights. It may involve kickbacks from foreign or domestic companies to government officials that want government contracts. It may involve the income and profits that come from the production and distribution of illegal drugs, which is particularly true of Afghanistan. Corruption in it various manifestations is inherently anti-democratic, self-serving, favors inequality, works against sustainable development, and requires secrecy and authoritarian and/or plutocratic government to thrive.
Consider some examples of the evidence.
---------------
A year ago, Daniel Schulman examined a UN study on drugs and bribery in Afghanistan in an article for the Mother Jones magazine. His article refers to the massive costs of bribes, kickbacks, and the opium trade. [See full citation after quotes.]
“Earlier this month [Jan 2011], Afghan President Hamid Karzai [1] fought back against allegations of pervasive graft [2] within his government, telling [3] Al Jazeera that ‘the Western media has blown corruption totally out of all proportion in Afghanistan.’
“Perhaps Karzai should have a conversation with Antonio Maria Costa, the United Nations' drug and crime czar. His office released a report [4]on Tuesday concluding that in the past year Afghans paid out $2.5 billion in bribes and kickbacks—the equivalent of 23 percent of the country's gross domestic product. The income generated by corruption is exceeded only by the booming opium trade [5], which brings in an estimated $2.8 billion annually. ‘In other words, this is shocking, drugs and bribes are the two largest income generators in Afghanistan,’ writes Costa, who heads the UN's Office on Drugs and Crime (UNODC), in the preface of the study.
The report, based on interviews with 7,600 Afghans, is yet another indicator that any US policy on Afghanistan that is predicated on cooperation with the government is threatened by endemic graft. As it stands, writes Costa, ‘It is almost impossible to obtain a public service in Afghanistan without greasing a palm: bribing authorities is a way of life.’
“The average payoff, according to UNODC, was $159—a modest sum in Western terms, but a massive expenditure in a country with a per-capita income of $425. This, Costa says, amounts to a ‘crippling tax on people who are already among the world's poorest.’ And he notes that the massive influx of aid funding coupled with soaring drug revenues ‘have created a new cast [sic] of rich and powerful individuals who operate outside the traditional power/tribal structures and bid the cost of favours and loyalty to levels not compatible with the under-developed nature of the country.’
“According to the study, 59 percent of Afghans identified corruption as their biggest concern—more worrisome even than the deteriorating security situation and widespread unemployment.
[….]
“….Presently, says Costa, members of the Afghan government are not doing their part to fight graft. That's not entirely surprising, since Afghan officials—on both the local and national level—appear to be the ones profiting most handsomely from bribes and kickbacks.”
Source: http://motherjones.com/politics/2010/01/corruption-afghanistan-its-even-worse-you-think#
---------------
Since last summer, there have been spates of articles focused on an particularly egregious example of corruption, namely, the people who stole from billions from Da Kabul Bank, the state bank, and caused it to collapse.
CORRUPTION AT THE HIGHEST LEVELS OF THE FINANCIAL INDUSTRY AND THE GOVERNMENT MEAN THAT OUR SOLDIERS ARE DYING FOR A LOST CAUSE
On his blog Informed Comment (Sept, 3, 2010), the title of Juan Cole’s article reflects the thrust of his analysis - “Collapse of Kabul Banks Points to Fatal Corruption of Karzai Government.” I quote from the article.
“I [Juan Cole] write in anger. Not blind rage, mind you. A cool, searing, steady anger. I think it is a righteous anger. It is not consequential, but it is my reality. I am angry about the 1,172 US troops dead in the Afghanistan War, and all the other brave NATO and Afghan soldiers who gave their lives for a new Afghanistan. Because they haven’t gotten a new Afghanistan. They have paid the ultimate sacrifice for a ponzi scheme masquerading as a reformist government. And, as usual, you and I may well get stuck with the bill for the economic damage done by the fraud.
“The house of cards that is the Hamid Karzai government in Kabul may be falling before our eyes, as vast, globe-spanning webs of corruption, formerly hidden in shadows, have suddenly had a spotlight thrown on them. The crisis raises the severest questions about whether the Obama administration can plausibly hope to stand up a stable government in Afghanistan before US troops depart.
“As with the second phase of the Great Depression in the United States, the crisis begins with a run on Da Kabul Bank. Depositors took out $85 million on Wednesday, after a damning story appeared in the Washington Post. They took out another $70 million on Thursday. The bank, which owes $300 million, may now have as little as $120 million left in the kitty, though it had once been worth over a billion. But the problem is not just a run on one bank. Can Afghanistan’s whole financial system and economy emerge unscathed?
“Pajhwok News Service reports,
‘The immediate concern was that news of the bank’s financial irregularities, already spreading through the capital, would prompt a run on the bank itself and that the panic would spread to other financial institutions. Bank deposits in Afghanistan are not guaranteed by the central government, officials here said. “This could be catastrophic for the country,” a senior Afghan banking official said. “The next few days are critical. I am worried.” ‘
[….]
“The story begins with Sherkhan Farnood, a financier who founded Da Kabul Bank after the fall of the Taliban. Over the years he appears to have used the institution for patronage for politicians and their families. Farnood gave millions to the presidential campaign of Hamid Karzai last summer, a campaign that Karzai was accused of only winning through substantial ballot fraud. (Hint: a vote wouldn’t cost much to buy in Afghanistan, and ‘millions’ would buy a lot). The other top executive at the bank, Khalilu’llah Frozi, was a campaign adviser to Karzai. Hamid Karzai’s brother Mahmoud has a 9% share in the bank.
[….]
“Farnood often gave out loans without proper collateral or other formalities. He loaned $100 million to Haseen Fahim, the brother of Marshal Mohammad Fahim (an old-time Northern Alliance warlord whom Karzai brought back into government as his vice-presidential running mate in summer of 2009). Haseen Fahim has substantial investments in Afghanistan’s small natural gas sector.
Farnood also apparently loaned himself $140 million to invest in real estate in Dubai, including in villas on the world islands off Jumeirah.
[….]
With the world economic downturn and real estate crash of 2008-2009, the Dubai world project largely fell apart, with investors going bankrupt in droves.
[….]
“So Farnood’s $140 million investment was suddenly not worth anything at all, and his bank began spiraling down. The details of his other bad investments have not yet emerged. The bank went from having over $1 billion in capital to now having only $120 million and owing $300 million.
“President Hamid Karzai is notorious for running interference for his corrupt cronies, and that Farnood and Frozi were out of control appears to have been known for some time but nothing was allowed to be done about it. The two have now been forced out, but the question is whether it is in time to save not only the bank (doubtful) but also the entire Afghan financial system, rebuilt after the fall of the Taliban.
“The Karzai government is corrupt and rotten to the core. Not a single US soldier should die to prop it up. The lie that we are fighting “al-Qaeda” in Afghanistan needs to be exposed. The US and NATO are fighting four or five groups of Pashtun insurgents, some of them until fairly recently US allies. The goal of the fighting is to keep the Karzai government from falling to the guerrillas and to train up an army and police force that could go on defending Kabul. The Afghanistan National Army from all accounts has poor morale. No wonder. What Afghan soldier
[….]
http://www.juancole.com/2010/09/collapse-of-kabul-bank-points-to-terminal-corruption-of-karzai-government.html
---------------
STEAL WHAT YOU CAN BECAUSE THE COUNTRY DOES NOT HAVE A FUTURE
Julius Cavendish provides an updated report (Feb 2, 2011) on the bank failure in an article for The Independent titled “Afghan elite 'plundered $900m' from leading bank.”
“A coterie of well-connected Afghan businessmen and politicians may have plundered as much as $900m from the country's biggest commercial bank, three times the amount of earlier estimates, and the equivalent of about 7 per cent of Afghanistan's total gross domestic product.
“Kabul Bank's funds were treated like personal accounts, it is claimed by several well-known members of Afghan society. Mahmoud Karzai, a brother of the Afghan President and prominent shareholder in Kabul Bank, told The New York Times that the bank's former chairman lent himself about $98m (£62m) to buy one of Afghanistan's airlines, and then used deposits to subsidise the carrier in an attempt to drive rivals out of business. Yet so difficult has the hunt for the missing millions become that the very same man, Sherkhan Farnood, had been brought in to help trace the missing cash.
“Officials say the value of questionable outstanding loans written by the bank is far greater than originally thought – and auditors pouring over the lender's books think up to $800m is potentially unrecoverable.
“The crisis is so severe – with fears that a run on the embattled Kabul Bank could lead to its collapse – that Afghanistan's central bank chief, Abdul Qadir Fitrat, was forced yesterday to deny reports that the embattled lender was close to failure.
[….]
“The case is acutely embarrassing both for President Hamid Karzai, whose tenure has seen Afghanistan turn into a mafia state, and the Obama administration, which has adopted a policy of ignoring institutionalised corruption after several bitter diplomatic spats with Mr Karzai got it nowhere.
“In an account of goings-on at Kabul Bank that is devastating in its detail, the New Yorker magazine records how ‘Kabul Bank's largesse included members of parliament and almost anyone whose silence would allow bank executives to embark on a spree of buying, lending and looting.
"In addition, some former and current Afghan officials say, Kabul Bank became an unofficial arm of the Karzai government, bribing parliamentarians in order to secure votes for its legislative agenda,’ it reports.
"Dozens of Afghan leaders and businessmen... collectively, accepted tens of millions of dollars in gifts and bribes – some sources say as much as a hundred million dollars – from executives at Kabul Bank."
[….]
“American investigators say many of Mr Karzai's closest advisers, some with regulatory responsibilities over the Afghan financial system, are implicated in the scandal.
[….]
“It's a meticulous account of the workings of kleptocracy, but from a Western perspective perhaps the most terrifying part of the tale is the motive. The businessmen, politicians and officials – the cream of Afghan society – are milking Afghanistan for all they can. Why? Because they don't believe their country has a future.”
Source: http://www.independent.co.uk/news/world/asia/afghan-elite-plundered-900m-from-leading-bank-2200176.html#
---------------
Another source: Dexter Filkins, “The Afghan Bank Heist,” The New Yorker, Feb 14, 2011 – http://www.newyorker.com/reporting/2011/02/14/110214fa_fact_filkins?currentPage=all
Labels:
Afghan banks,
Afghan government,
corruption,
fraud,
Karzai
Sunday, February 6, 2011
Corruption and Waste in developmental funds going to Afghanistan
The widespread problem of official and unofficial corruption in Afghanistan is not a new topic. But it is an ongoing problem that has not been fixed or even reduced according to investigative reports over the past year or so. In my old New World Dictionary, “corruption” is defined in a number of ways. For example, it is defined as “evil or wicked behavior; depravity…bribery or similar dishonest dealings….”
Specifically, in the context of the US/NATO occupation of Afghanistan, corruption may be a way to divert money from its intended purpose for personal gain or influence. Or, in violation of a contract, it may involve cost cutting measures that produce shoddy or unfinished projects. It may entail the exploitation of workers, often brought in from other countries. Often it involves bribes or payoffs to government officials or police.
American corporations that receive big contracts from the US government are often at the center of corrupt dealings, subcontracting much of the work to Afghan or other national enterprises, suspected of putting profits over the expected work. The same is true when the Afghan government receives assistance from the US or the UK. Keep some and pass the rest on.
In many cases, the problem of corruption results in poor planning or inadequate vetting of contractors or sub-contractors by the funding source. Political favoritism is a factor. Too often little or none of the contracted work being done is up to even minimal standards. And through the process, local leaders or communities are not given the opportunity to participate.
The results of corruption are to enrich a few, undermine development projects, alienate Afghans from the government and its representatives, and keep too many Afghan citizens and their children, many of them dirt poor, from gaining opportunities that were intended for them – like jobs, a working infrastructure, effective schools, access to health care, housing, and a government that represents their interests and provides them with security in their lives and communities.
To illustrate some of these points, I draw on five articles and organize them chronologically, with the first article reported at an earlier date than the next ones, and so on. The thrust of the articles is that corruption and waste continue to be massive problems in Afghanistan.
---------------
ARTICLE #1: “The report reveals that in 2006-07, more than half of the department’s large projects, in which millions of pounds were invested, were deemed likely to fail.”
Deborah Haynes, Defense Correspondent for RAWA (Revolutionary Afghan Women’s Association) provides an of corruption in an article titled “Public millions fail to provide wells, schools and clinics in Afghanistan. [You can see the URL at the end of the article.]
Haynes’ article, reported May 22, 2009, focuses on British funded projects carried out in Afghanistan in 2004-2007 and an assessment of these projects by the Department for International Development.
“Millions of pounds in taxpayers’ money have been wasted on failed reconstruction projects in Afghanistan, according to an internal assessment by the Department for International Development.
“An evaluation by independent consultants criticized the department’s approach to planning, risk management and staffing, and said poor co-ordination with the rest of Whitehall meant that the department was slow to shift strategy as the military effort moved to counter-insurgency.
“The report reveals that in 2006-07, more than half of the department’s large projects, in which millions of pounds were invested, were deemed likely to fail, excluding money put into a fund run by the World Bank. Only a quarter of state building projects were rated successful in 2006, with 4.5 per cent of them rated value for money.
“Among the failed projects singled out in the Country Programme Evaluation is the Afghanistan Stabilisation Fund, designed to ‘establish basic security and good governance in the district and provinces of Afghanistan’. This was begun in 2004 with a £20 million payment to the Afghan Government but ended three years later with “little evidence of tangible benefit’.
“The department’s own review in 2005 warned of ‘potentially catastrophic consequences’ if weaknesses in the programme were not corrected. Beset by poor planning, a lack of transparency and failed delivery, it was abandoned in March 2007. Only 639 people received training. Commentators criticised the “disastrous” project.
“In another programme in Helmand, the department paid for 300 wells to be dug in an area prone to drought, without carrying out a geological survey. Some of the wells have since run dry as the water table retreated. The report finds that the department’s risk assessment ignored the absence of the rule of law and corruption in the region.
“A survey of Afghan opinion in Helmand found local residents complaining about poor construction, a lack of monitoring and unhappiness with the role of interpreters, while the department rated its own projects there a success. It took until late 2007 for the department to recruit a conflict adviser even though British troops started operating in Helmand in 2006.
Staffing levels in Kabul were described as ‘wholly unrealistic’. Until 2006 the development department attempted to run its programmes with only six non-Afghan staff in Kabul.
[….]
“Only one person is overseeing a massive, $404 million Afghan reconstruction contract -- and is thousands of miles away in Maryland, auditors say. The contract's supervising officer in Maryland hired someone else to work in Afghanistan, but that person didn't have much experience and wasn't able to visit many of the actual work sites, the audit said.”
[….]
“Some projects were a success, including a £20 million initiative to give small loans to the poor and an £18 million programme to build and repair roads, schools and clinics. By 2007 the department’s portfolio in Afghanistan contained 58 projects with a value of about £520 million, including £317 million for the Afghanistan Reconstruction Trust Fund, administered by the World Bank.
[….]
http://www.rawa/org/temp/runews/2009/05/22/public-millions-fail-to-provide-wells-schools-and-clinics-in-afghanistan.html
Read more: http://www.rawa.org/temp/runews/2009/05/22/public-millions-fail-to-provide-wells-schools-and-clinics-in-afghanistan.html#ixzz1D6OaqfnN
---------------
ARTICLE #2: American taxpayers lose when billions of dollars in development funds from US to Afghanistan wasted
Sara A. Carter, “Commission tracks billions of contracting dollars wasted in Afghanistan, The Washington Examiner, August 23, 2010.
“American taxpayers have picked up the tab for billions of dollars worth of shoddy schools, phantom health care clinics and government buildings abandoned before completion in Afghanistan, according to members of a U.S. team that arrived in Kabul on Monday to document the waste and fraud.
“The Commission on Wartime Contracting will look into charges ranging from massive contracting fraud to abandoned foreign laborers on U.S. military installations that have left American taxpayers ripped off and the people of Afghanistan disappointed by broken promises.
“Christopher Shays, a former Republican congressman from Connecticut who co-chairs the commission, said the allegations warrant a full investigation and that the scams involving foreign workers are presenting security risks on the bases as well as human rights abuses.
"’We are looking into cases of some contractors or outright scam artists who charge people from other countries to fly them to supposed jobs in Dubai but instead dump them with no jobs or documents on airbases in Afghanistan. That's a human-rights abuse that cannot be tolerated,’ said Shays, who heads a four-man team.
“Foreign workers -- many from the Philippines -- paid up to $2,000 dollars to contracting companies for airfare and housing "only to be left alone on the bases without identification and no way home," said one official who asked not to be named.
"’The bigger problem is that we don't know who they are but they are inside our installations without identification or jobs, and this presents a security risk for the troops on base, civilians, as well as the innocent victims of the scams," the official said.
“The commission, which will issue a semi-annual report in December to Congress and a final report next July as the administration begins a troop draw-down from Afghanistan, is investigating a host of other problems.
“Abandoned and substandard school projects, unfinished government buildings and health care facilities without management staffs are among the reported failures being reviewed by the commission.
[….]
“Other projects paid for by American taxpayers that will be examined by the commissioners include military bases, power plants, office buildings, fuel storage, schools and training centers for Afghan security forces. Many times these projects are abandoned before completion or the supplies needed to sustain their operations never arrive.
“Examples are evident throughout Afghanistan. Last October, in the small village of Hutal, American soldiers set out to get school supplies from local contractors in Kandahar. Money was made available, the supplier was contacted and the village elders were promised that the thousands of dollars in educational materials would arrive in three weeks. The supplies never arrived. It is uncertain how much money was lost on the project.
[….]
"Construction contracting in a war zone half a world away involves real challenges on cost, quality, timeliness, suitability and sustainability," commission co-chair Michael Thibault said.
‘The government needs a clearer view on the way these projects are planned, contracted and supervised. We often don't know how many people are working on U.S. bases, whether prime contractors are effectively managing their subcontractors, whether employee vetting and access control are adequate and whether Afghans can sustain projects like the $300 million Kabul power plant after U.S. personnel leave.’”
Sara A. Carter is The Washington Examiner's national security correspondent. She can be reached at scarter@washingtonexaminer.com.
http://washingtonexaminer.com/politics/commission-tracks-billions-contracting-dollars-wasted-afghanistan
---------------
ARTICLE #3 – Billions contracted with US corporations for “development” projects in Afghanistan unaccounted for and open up massive opportunities for corruption.
Iman Hasan, “Afghans point finger at US: Who’s corrupt now?” The Express Tribune with the International Tribune, November 2010.
“Many Afghans, from government officials and parliamentarians to the common man are disgruntled with the US officials relentlessly accusing them of being corrupt – while ignoring their own government’s fraud and misappropriations in the $56 billion development budget approved by the Congress for the reconstruction of Afghanistan. Afghans deem US responsible for corrupting their society.
“For Obama’s administration, ‘corruption warnings’ are a new blackmail tool to use against the Karzai government. There has been constant rhetoric to ‘eradicate corruption’ and ‘stop misusing US tax payers’ money,’ without realising that only 20% of the allocated funds are at the disposal of the Afghan government while 80% are utilised by the US Department of State, Defence and USAID. These three departments rely extensively on private contractors for the implementation of various projects, ranging from reconstruction of Afghanistan, eradicating drugs, training of Afghan security forces and officials and providing security to Nato supply convoys.
“Since 2001, the US congress has appropriated nearly $56 billion for the reconstruction funds of Afghanistan, which cannot be tracked down. It has either been wasted, stolen or abused.
Missing records
“There is absolutely no record of the amount utilised from 2001 to 2006 except for the vague documentation of $17.7 billion spent during the financial year 2007 – 2009, which only identifies the 7000 contractors hired to implement the projects – but does not evaluate the projects. Therefore, there is no guarantee if the US tax payers’ money amounting to $56 billion is fairly spent or abused.
“Bush’s government after eight years of engagement in Afghanistan established the Office of the Special Inspector General for Afghanistan Reconstruction (SIGAR) in 2008 ‘to conduct independent and objective audits, inspections, and investigations on the use of taxpayer dollars and related funds’.
“Even the Office of the Special Inspector General is unable to track down the money spent during 2001 to 2006. It recently released a report on the ‘waste, fraud and abuse’ of $17.7 billion (spent during the financial year 2007 – 2009) of the total reconstruction fund of $56 billion.
“The report is essentially a document holding the US responsible for the corruption in Afghanistan. ‘The large US investment in Afghanistan remains at risk of being wasted or subject to waste, fraud and abuse,’ reads the document.
Who benefits from America’s wars?
“65 per cent of the $17.7 billion has been channelled through the Department of Defence, which hired largely those companies who are essentially part of the Military Industrial Complex (MIC). These huge corporations depend mostly or entirely on the Pentagon for their profits and have hugely benefited from the US wars.
[….]
“Some of the largest defense contractors belonging to the Military Industrial Complex hired by the Defence Department, for Afghanistan are DynCorp, Black Water (Xe Services), Lockheed Martin, Northrop Grumman, Raytheon, Louis Berger and Bearing Pont.
[….]
“Besides the Military Industrial Complex, there is also the intelligence complex which has been playing a greater role in corrupting the Afghan society since 2001, whose billions of dollars of expenditure has never been accounted for.
“The intelligence complex’s profligate distribution of boxes and suitcases of cash amongst the different segments of Afghan society – Afghan media, NGOs and allegedly government officials – has also encouraged other countries. India is one of the countries which has taken a leaf out of the CIA’s book.
[….]
Lack of transparency
“This is still not the complete picture of US corruption and lack of oversight of reconstruction funds – meant for achieving long term goals in Afghanistan. There is no transparency even in the salary support provided to the Afghan government employees and technical advisors since 2002. The US government is unable to determine the amount it has been paying, the identity and the total number of recipients. Since the number and identity of the recipients is not clear the salaries can go to anyone in anyone’s name.
[….]
http://blogs.tribune.com.pk/story/2955/afghans-point-finger-at-us-whos-corrupt-now
---------------
ARTICLE #4: Another report on the missing billions of US taxpayer development funds for Afghanistan
Michael Tennant, “Afghanistan Reconstruction: Billions Spent, But No One Knows Just How,” New American, Dec. 29, 2010
[….]
“In Iraq, for example, the special inspector general for Iraq reconstruction found over $5 billion had been wasted on various projects, including hundreds of abandoned or incomplete projects such as a $40 million prison, a $5.7 million convention center, and a roughly $100 million wastewater treatment plant. In addition, the special inspector general discovered that the Pentagon could not account for over 95 percent of $9.1 billion in Iraqi funds set aside for reconstruction.“To no one’s great surprise, the situation in Afghanistan, site of another undeclared U.S. war, is no better. David Francis of the Fiscal Times reports:
'In its bid to win the hearts and minds of Afghanistan’s teeming population, the United States has spent more than $55 billion to rebuild and bolster the war-ravaged country. That money was meant to cover everything from the construction of government buildings and economic development projects to the salaries of U.S. government employees working closely with Afghans.Yet no one can say with any authority or precision how that money was spent and who profited from it. Most of the funds were funneled to a vast array of U.S. and foreign contractors. But according to a recent audit by the Special Inspector General for Afghanistan Reconstruction (SIGAR), there is no way of knowing whether the money went for the intended purposes.'
[….]
“The reason for these agencies’ inability to say where taxpayers’ money is going is simply that the government hasn’t demanded any sort of accountability from its recipients. ‘The money,’ Francis writes, ‘flows from Washington to Afghanistan, with little oversight and accountability, and at every step along the way someone else takes a cut.’[….]
From Francis article:
“Another report found that the United States has spent nearly $200 million on Afghan security service buildings that cannot be used. SIGAR also found that the U.S. Agency for International Development (USAID) couldn’t account for nearly $18 billion that was paid to some 7,000 U.S. and Afghan contractors for development projects. Afghan contractors often pay kickbacks to local warlords, like Ahmad Wali Karzai, the president’s brother and the so-called “King of Kandahar.” Their actions often undermine the work of the coalition."
[….]
http://www.thenewamerican.com/index.php/usnews/foreignpolicy/5695-afghanistan-reconstruction-billions-spent-but-no-one-knows-just-how
---------------
ARTICLE #5: The head watchdog against the massive corruption in Afghanistan resigns because of weakness of enforcement authority.
Jason Ditz, “US Watchdog for Afghan Projects Resigns,” Antiwar.com, Jan 10, 2011
“Special Inspector General Arnold Fields, the Obama Administration’s top watchdog against the massive corruption in Afghanistan, followed up last week’s pledge not to resign with a formal announcement of his resignation.
“Fields has been regularly presenting reports on the corruption surrounding US aid programmes in occupied Afghanistan, and has cautioned that there are virtually no controls in place and that much of the aid is being stolen or wasted as a result.
[….]
http://news.antiwar.com/2011/01/10/us-watchdog-for-afghan-projects-resigns
Specifically, in the context of the US/NATO occupation of Afghanistan, corruption may be a way to divert money from its intended purpose for personal gain or influence. Or, in violation of a contract, it may involve cost cutting measures that produce shoddy or unfinished projects. It may entail the exploitation of workers, often brought in from other countries. Often it involves bribes or payoffs to government officials or police.
American corporations that receive big contracts from the US government are often at the center of corrupt dealings, subcontracting much of the work to Afghan or other national enterprises, suspected of putting profits over the expected work. The same is true when the Afghan government receives assistance from the US or the UK. Keep some and pass the rest on.
In many cases, the problem of corruption results in poor planning or inadequate vetting of contractors or sub-contractors by the funding source. Political favoritism is a factor. Too often little or none of the contracted work being done is up to even minimal standards. And through the process, local leaders or communities are not given the opportunity to participate.
The results of corruption are to enrich a few, undermine development projects, alienate Afghans from the government and its representatives, and keep too many Afghan citizens and their children, many of them dirt poor, from gaining opportunities that were intended for them – like jobs, a working infrastructure, effective schools, access to health care, housing, and a government that represents their interests and provides them with security in their lives and communities.
To illustrate some of these points, I draw on five articles and organize them chronologically, with the first article reported at an earlier date than the next ones, and so on. The thrust of the articles is that corruption and waste continue to be massive problems in Afghanistan.
---------------
ARTICLE #1: “The report reveals that in 2006-07, more than half of the department’s large projects, in which millions of pounds were invested, were deemed likely to fail.”
Deborah Haynes, Defense Correspondent for RAWA (Revolutionary Afghan Women’s Association) provides an of corruption in an article titled “Public millions fail to provide wells, schools and clinics in Afghanistan. [You can see the URL at the end of the article.]
Haynes’ article, reported May 22, 2009, focuses on British funded projects carried out in Afghanistan in 2004-2007 and an assessment of these projects by the Department for International Development.
“Millions of pounds in taxpayers’ money have been wasted on failed reconstruction projects in Afghanistan, according to an internal assessment by the Department for International Development.
“An evaluation by independent consultants criticized the department’s approach to planning, risk management and staffing, and said poor co-ordination with the rest of Whitehall meant that the department was slow to shift strategy as the military effort moved to counter-insurgency.
“The report reveals that in 2006-07, more than half of the department’s large projects, in which millions of pounds were invested, were deemed likely to fail, excluding money put into a fund run by the World Bank. Only a quarter of state building projects were rated successful in 2006, with 4.5 per cent of them rated value for money.
“Among the failed projects singled out in the Country Programme Evaluation is the Afghanistan Stabilisation Fund, designed to ‘establish basic security and good governance in the district and provinces of Afghanistan’. This was begun in 2004 with a £20 million payment to the Afghan Government but ended three years later with “little evidence of tangible benefit’.
“The department’s own review in 2005 warned of ‘potentially catastrophic consequences’ if weaknesses in the programme were not corrected. Beset by poor planning, a lack of transparency and failed delivery, it was abandoned in March 2007. Only 639 people received training. Commentators criticised the “disastrous” project.
“In another programme in Helmand, the department paid for 300 wells to be dug in an area prone to drought, without carrying out a geological survey. Some of the wells have since run dry as the water table retreated. The report finds that the department’s risk assessment ignored the absence of the rule of law and corruption in the region.
“A survey of Afghan opinion in Helmand found local residents complaining about poor construction, a lack of monitoring and unhappiness with the role of interpreters, while the department rated its own projects there a success. It took until late 2007 for the department to recruit a conflict adviser even though British troops started operating in Helmand in 2006.
Staffing levels in Kabul were described as ‘wholly unrealistic’. Until 2006 the development department attempted to run its programmes with only six non-Afghan staff in Kabul.
[….]
“Only one person is overseeing a massive, $404 million Afghan reconstruction contract -- and is thousands of miles away in Maryland, auditors say. The contract's supervising officer in Maryland hired someone else to work in Afghanistan, but that person didn't have much experience and wasn't able to visit many of the actual work sites, the audit said.”
[….]
“Some projects were a success, including a £20 million initiative to give small loans to the poor and an £18 million programme to build and repair roads, schools and clinics. By 2007 the department’s portfolio in Afghanistan contained 58 projects with a value of about £520 million, including £317 million for the Afghanistan Reconstruction Trust Fund, administered by the World Bank.
[….]
http://www.rawa/org/temp/runews/2009/05/22/public-millions-fail-to-provide-wells-schools-and-clinics-in-afghanistan.html
Read more: http://www.rawa.org/temp/runews/2009/05/22/public-millions-fail-to-provide-wells-schools-and-clinics-in-afghanistan.html#ixzz1D6OaqfnN
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ARTICLE #2: American taxpayers lose when billions of dollars in development funds from US to Afghanistan wasted
Sara A. Carter, “Commission tracks billions of contracting dollars wasted in Afghanistan, The Washington Examiner, August 23, 2010.
“American taxpayers have picked up the tab for billions of dollars worth of shoddy schools, phantom health care clinics and government buildings abandoned before completion in Afghanistan, according to members of a U.S. team that arrived in Kabul on Monday to document the waste and fraud.
“The Commission on Wartime Contracting will look into charges ranging from massive contracting fraud to abandoned foreign laborers on U.S. military installations that have left American taxpayers ripped off and the people of Afghanistan disappointed by broken promises.
“Christopher Shays, a former Republican congressman from Connecticut who co-chairs the commission, said the allegations warrant a full investigation and that the scams involving foreign workers are presenting security risks on the bases as well as human rights abuses.
"’We are looking into cases of some contractors or outright scam artists who charge people from other countries to fly them to supposed jobs in Dubai but instead dump them with no jobs or documents on airbases in Afghanistan. That's a human-rights abuse that cannot be tolerated,’ said Shays, who heads a four-man team.
“Foreign workers -- many from the Philippines -- paid up to $2,000 dollars to contracting companies for airfare and housing "only to be left alone on the bases without identification and no way home," said one official who asked not to be named.
"’The bigger problem is that we don't know who they are but they are inside our installations without identification or jobs, and this presents a security risk for the troops on base, civilians, as well as the innocent victims of the scams," the official said.
“The commission, which will issue a semi-annual report in December to Congress and a final report next July as the administration begins a troop draw-down from Afghanistan, is investigating a host of other problems.
“Abandoned and substandard school projects, unfinished government buildings and health care facilities without management staffs are among the reported failures being reviewed by the commission.
[….]
“Other projects paid for by American taxpayers that will be examined by the commissioners include military bases, power plants, office buildings, fuel storage, schools and training centers for Afghan security forces. Many times these projects are abandoned before completion or the supplies needed to sustain their operations never arrive.
“Examples are evident throughout Afghanistan. Last October, in the small village of Hutal, American soldiers set out to get school supplies from local contractors in Kandahar. Money was made available, the supplier was contacted and the village elders were promised that the thousands of dollars in educational materials would arrive in three weeks. The supplies never arrived. It is uncertain how much money was lost on the project.
[….]
"Construction contracting in a war zone half a world away involves real challenges on cost, quality, timeliness, suitability and sustainability," commission co-chair Michael Thibault said.
‘The government needs a clearer view on the way these projects are planned, contracted and supervised. We often don't know how many people are working on U.S. bases, whether prime contractors are effectively managing their subcontractors, whether employee vetting and access control are adequate and whether Afghans can sustain projects like the $300 million Kabul power plant after U.S. personnel leave.’”
Sara A. Carter is The Washington Examiner's national security correspondent. She can be reached at scarter@washingtonexaminer.com.
http://washingtonexaminer.com/politics/commission-tracks-billions-contracting-dollars-wasted-afghanistan
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ARTICLE #3 – Billions contracted with US corporations for “development” projects in Afghanistan unaccounted for and open up massive opportunities for corruption.
Iman Hasan, “Afghans point finger at US: Who’s corrupt now?” The Express Tribune with the International Tribune, November 2010.
“Many Afghans, from government officials and parliamentarians to the common man are disgruntled with the US officials relentlessly accusing them of being corrupt – while ignoring their own government’s fraud and misappropriations in the $56 billion development budget approved by the Congress for the reconstruction of Afghanistan. Afghans deem US responsible for corrupting their society.
“For Obama’s administration, ‘corruption warnings’ are a new blackmail tool to use against the Karzai government. There has been constant rhetoric to ‘eradicate corruption’ and ‘stop misusing US tax payers’ money,’ without realising that only 20% of the allocated funds are at the disposal of the Afghan government while 80% are utilised by the US Department of State, Defence and USAID. These three departments rely extensively on private contractors for the implementation of various projects, ranging from reconstruction of Afghanistan, eradicating drugs, training of Afghan security forces and officials and providing security to Nato supply convoys.
“Since 2001, the US congress has appropriated nearly $56 billion for the reconstruction funds of Afghanistan, which cannot be tracked down. It has either been wasted, stolen or abused.
Missing records
“There is absolutely no record of the amount utilised from 2001 to 2006 except for the vague documentation of $17.7 billion spent during the financial year 2007 – 2009, which only identifies the 7000 contractors hired to implement the projects – but does not evaluate the projects. Therefore, there is no guarantee if the US tax payers’ money amounting to $56 billion is fairly spent or abused.
“Bush’s government after eight years of engagement in Afghanistan established the Office of the Special Inspector General for Afghanistan Reconstruction (SIGAR) in 2008 ‘to conduct independent and objective audits, inspections, and investigations on the use of taxpayer dollars and related funds’.
“Even the Office of the Special Inspector General is unable to track down the money spent during 2001 to 2006. It recently released a report on the ‘waste, fraud and abuse’ of $17.7 billion (spent during the financial year 2007 – 2009) of the total reconstruction fund of $56 billion.
“The report is essentially a document holding the US responsible for the corruption in Afghanistan. ‘The large US investment in Afghanistan remains at risk of being wasted or subject to waste, fraud and abuse,’ reads the document.
Who benefits from America’s wars?
“65 per cent of the $17.7 billion has been channelled through the Department of Defence, which hired largely those companies who are essentially part of the Military Industrial Complex (MIC). These huge corporations depend mostly or entirely on the Pentagon for their profits and have hugely benefited from the US wars.
[….]
“Some of the largest defense contractors belonging to the Military Industrial Complex hired by the Defence Department, for Afghanistan are DynCorp, Black Water (Xe Services), Lockheed Martin, Northrop Grumman, Raytheon, Louis Berger and Bearing Pont.
[….]
“Besides the Military Industrial Complex, there is also the intelligence complex which has been playing a greater role in corrupting the Afghan society since 2001, whose billions of dollars of expenditure has never been accounted for.
“The intelligence complex’s profligate distribution of boxes and suitcases of cash amongst the different segments of Afghan society – Afghan media, NGOs and allegedly government officials – has also encouraged other countries. India is one of the countries which has taken a leaf out of the CIA’s book.
[….]
Lack of transparency
“This is still not the complete picture of US corruption and lack of oversight of reconstruction funds – meant for achieving long term goals in Afghanistan. There is no transparency even in the salary support provided to the Afghan government employees and technical advisors since 2002. The US government is unable to determine the amount it has been paying, the identity and the total number of recipients. Since the number and identity of the recipients is not clear the salaries can go to anyone in anyone’s name.
[….]
http://blogs.tribune.com.pk/story/2955/afghans-point-finger-at-us-whos-corrupt-now
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ARTICLE #4: Another report on the missing billions of US taxpayer development funds for Afghanistan
Michael Tennant, “Afghanistan Reconstruction: Billions Spent, But No One Knows Just How,” New American, Dec. 29, 2010
[….]
“In Iraq, for example, the special inspector general for Iraq reconstruction found over $5 billion had been wasted on various projects, including hundreds of abandoned or incomplete projects such as a $40 million prison, a $5.7 million convention center, and a roughly $100 million wastewater treatment plant. In addition, the special inspector general discovered that the Pentagon could not account for over 95 percent of $9.1 billion in Iraqi funds set aside for reconstruction.“To no one’s great surprise, the situation in Afghanistan, site of another undeclared U.S. war, is no better. David Francis of the Fiscal Times reports:
'In its bid to win the hearts and minds of Afghanistan’s teeming population, the United States has spent more than $55 billion to rebuild and bolster the war-ravaged country. That money was meant to cover everything from the construction of government buildings and economic development projects to the salaries of U.S. government employees working closely with Afghans.Yet no one can say with any authority or precision how that money was spent and who profited from it. Most of the funds were funneled to a vast array of U.S. and foreign contractors. But according to a recent audit by the Special Inspector General for Afghanistan Reconstruction (SIGAR), there is no way of knowing whether the money went for the intended purposes.'
[….]
“The reason for these agencies’ inability to say where taxpayers’ money is going is simply that the government hasn’t demanded any sort of accountability from its recipients. ‘The money,’ Francis writes, ‘flows from Washington to Afghanistan, with little oversight and accountability, and at every step along the way someone else takes a cut.’[….]
From Francis article:
“Another report found that the United States has spent nearly $200 million on Afghan security service buildings that cannot be used. SIGAR also found that the U.S. Agency for International Development (USAID) couldn’t account for nearly $18 billion that was paid to some 7,000 U.S. and Afghan contractors for development projects. Afghan contractors often pay kickbacks to local warlords, like Ahmad Wali Karzai, the president’s brother and the so-called “King of Kandahar.” Their actions often undermine the work of the coalition."
[….]
http://www.thenewamerican.com/index.php/usnews/foreignpolicy/5695-afghanistan-reconstruction-billions-spent-but-no-one-knows-just-how
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ARTICLE #5: The head watchdog against the massive corruption in Afghanistan resigns because of weakness of enforcement authority.
Jason Ditz, “US Watchdog for Afghan Projects Resigns,” Antiwar.com, Jan 10, 2011
“Special Inspector General Arnold Fields, the Obama Administration’s top watchdog against the massive corruption in Afghanistan, followed up last week’s pledge not to resign with a formal announcement of his resignation.
“Fields has been regularly presenting reports on the corruption surrounding US aid programmes in occupied Afghanistan, and has cautioned that there are virtually no controls in place and that much of the aid is being stolen or wasted as a result.
[….]
http://news.antiwar.com/2011/01/10/us-watchdog-for-afghan-projects-resigns
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