VZCZCXRO9919
PP RUEHPW
DE RUEHBUL #1973 2130431
ZNR UUUUU ZZH
P 310431Z JUL 08
FM AMEMBASSY KABUL
TO RUEHC/SECSTATE WASHDC PRIORITY 4935
INFO RUCNAFG/AFGHANISTAN COLLECTIVE PRIORITY
RHEHAAA/NATIONAL SCURITY COUNCIL WASHINGTON DC PRIORITY
RUEAIIA/CIA WASHINGTON DC PRIORITY
RHEFDIA/DIA WASHINGTON DC PRIORITY
RUEKJCS/OSD WASHINGTON DC PRIORITY
RUEKJCS/SECDEF WASHINGTON DC PRIORITY
RUEKJCS/JOINT STAFF WASHINGTON DC PRIORITY
RHMFIUU/HQ USCENTCOM MACDILL AFB FL PRIORITY

UNCLAS KABUL 001973 
 
SENSITIVE 
SIPDIS 
 
STATE FOR SCA/FO, SCA/A, S/CRS 
STATE PASS TO USAID FOR AID/ANE, AID/DCHA/DG 
NSC FOR JWOOD 
OSD FOR SHIVERS 
CG CJTF-101, POLAD, JICCENT 
 
E.O. 12958: N/A 
TAGS: PGOV AF
SUBJECT: ANTI-CORRUPTION EFFORT GAINING TRACTION 
 
¶1.  (U)  President Karzai and his team have taken several 
positive steps to combat corruption in the wake of the Paris 
Donors Conference, including publishing a comprehensive 
anti-corruption strategy and establishing a wholly new 
watch-dog office against future corruption.  Encouragingly, a 
June 2008 World Bank review described Afghanistan's public 
financial management system as better than average for 
low-income countries, and, in some areas, better than average 
for middle-income countries. 
 
--------------------------------- 
AFTER THE PARIS DONORS CONFERENCE 
--------------------------------- 
 
¶2.  (U)  The Azimi Commission delivered its report to Karzai 
in mid-July.  The 200-page report comprehensively describes 
the problem of governmental corruption, identifies remedies, 
assigns remedial responsibilities to ministries and agencies, 
and sets target dates for corrective actions.  The report is 
the GIROA's anti-corruption strategy. 
 
¶3.  (SBU)  Karzai last week decreed the "High Office for 
Monitoring" law.  It authorizes the High Office of Monitoring 
the Implementation of the Anti-Corruption Strategy, which 
includes special tribunals and designated anti-corruption 
prosecutors.  A July 28 implementation decree established the 
office and, simultaneously, disestablished the totally 
ineffective General Independent Administration for 
Anti-Corruption (GIACC). 
 
-------- 
ON-GOING 
-------- 
 
¶4.  (SBU)  Measures initiated by the Afghan government prior 
to Paris: 
 
-- The Ministry of Finance has increased its Internal Audit 
Department staff from 18 in 2005 to 127.  New staff are 
trained in basic accounting and auditing, and supervised by 
qualified auditors. 
 
-- Over the past several months, Karzai has replaced the most 
corrupt and ineffective third of the Ministry of Interior's 
senior leadership and decided to rationalize the Afghan 
National Police chain of command to facilitate supervision of 
mid-level officials' performance and probity. 
 
-- The Independent Directorate for Local Governance has 
introduced personal probity and technical competence as 
criteria for the selection of governors. 
 
-- In 2007, the Supreme Court adopted the Regulation of 
Judicial Conduct, the country's first modern code of ethics. 
WOOD