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Saturday
Nov212009

Afghanistan: The Great Lock 'n Load Swindle 

Afghanistan: Karzai’s Victory over the US

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KARZAI2In the week that the inauguration of President Hamid Karzai has confirmed his stay in office, Pratap Chatterjee, the author of an excellent exposé of Halliburton, has published the inside story of Afghanistan politics and "economics" for TomDispatch:

An Inside Look at Nepotism and Corruption in Karzai's Afghanistan
Pratap Chatterjee

Kabul, Afghanistan -- Every morning, dozens of trucks laden with diesel from Turkmenistan lumber out of the northern Afghan border town of Hairaton on a two-day trek across the Hindu Kush down to Afghanistan's capital, Kabul. Among the dozens of businesses dispatching these trucks are two extremely well connected companies -- Ghazanfar and Zahid Walid -- that helped to swell the election coffers of President Hamid Karzai as well as the family business of his running mate, the country's new vice president, warlord Mohammed Qasim Fahim.

Some of the trucks are on their way to two power stations in the northern part of the capital: a recently refurbished, if inefficient, plant that has served Kabul for a little more than a quarter of a century, and a brand new facility scheduled for completion next year and built with money from the U.S. Agency for International Development (USAID).



Afghan political analysts observe that Ghazanfar and Zahid Walid are striking examples of the multimillion-dollar business conglomerates, financed by American as well as Afghan tax dollars and connected to powerful political figures, that have, since the fall of the Taliban in 2001, emerged as part of a pervasive culture of corruption here. Nasrullah Stanikzai, a professor of law and political science at Kabul University, says of the companies in the pocket of the vice-president: "Everybody knows who is Ghazanfar. Everybody knows who is Zahid Walid. The [government elite] directly or indirectly have companies, licenses, and sign contracts. But corruption is not confined just to the Afghans. The international community bears a share of this blame."

Indeed, the tale of the "reconstruction" of Kabul's electricity supply is a classic story of how foreign aid has often served to line the pockets of both international contractors from the donor countries and the local political elite. Unfortunately, these aid-financed projects also generally fail -- as the Kabul diesel plants appear destined to -- because of a lack of planning and the hard cash to keep them operating.

The Rise of a Power Broker

Abdul Hasin and his brother, the vice-president, offer a perfect exemplar of the new business elite. The two men are half-brothers, born to the two wives of a well-respected religious cleric from the village of Marz in the Panjshir valley north of Kabul.

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