The Bank that loves to Give - No Paperwork Required

#1
XE.com - No paperwork on near $500 million of Kabulbank loans

KABUL, May 29 (Reuters) - A failed Afghan bank doled out nearly half a billion dollars in unsecured, undocumented loans to a roster of Kabul's elite, including sitting cabinet ministers and a powerful former warlord, anti-corruption officials said on Sunday.

Azizullah Luddin, chairman of the High Office of Oversight and Anti-corruption, also said that records suggested the government would only be able to get back around two thirds of Kabulbank's $925 million in outstanding loans.
 
#2
They'll recover it all don't worry.

There will be no end of mugs in government falling over themselves to bail the bank out.
 
P

pp0470

Guest
#3
They'll recover it all don't worry.

There will be no end of mugs in government falling over themselves to bail the bank out.
The IMF, aid donors and the Afghan people seems to disagree with you frog...

The Afghan parliament has now begun its 45-day summer break, and Mr Zakhilwal says it will not be recalled to deal with the crisis.

The IMF suspended its support programme last September when the Kabul Bank scandal came to light. Without the IMF's seal of approval, donors are unlikely to contribute funds.

Afghans rushed to withdraw their savings when it emerged that the bank had been lending money to government officials and their friends and relations.

Kabul Bank was bailed out by the central bank as part of efforts to prevent it from collapsing after former executives granted themselves off-the-books loans worth a reported $900m (£555m). In April, it was split into a "good" and "bad" bank.

The bank has almost $1bn (£600m) in outstanding loans at a time when many foreign governments and donors are warning that they will not make more aid payments until the bank's problems are dealt with by the IMF.

The World Bank says 97% of Afghanistan's gross domestic product (GDP) is linked to spending by the international military and donor community.
Kabul Bank was founded in 2004 by Sherkhan Farnood, a leading international poker player. Other co-owners included Mahmood Karzai, a brother of President Hamid Karzai.
BBC News - Afghan row with IMF over failed bank threatens salaries
 

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