Newsmax TV & Webwww.newsmax.comFREE - In Google Play
Newsmax TV & Webwww.newsmax.comFREE - On the App Store
Tags: kabul bank us afghans corruption

US, Afghans at Odds Over Kabul Bank Reform

Thursday, 07 October 2010 12:51 PM EDT

KABUL - The United States and Afghan President Hamid Karzai are at odds over a proposed investigation into Kabul Bank and how to clean up the tottering but politically connected financial institution, according to U.S. and Afghan officials, The Washington Post reports.

The dispute, which flows in part from arguments over a forensic audit of Kabul Bank, has stalled funding for Afghanistan from the International Monetary Fund, which was due to a approve a new $120 million credit line last month. It has also revived tensions over corruption that the Obama administration has tried to calm.

Kabul Bank, Afghanistan's largest private financial institution, nearly collapsed in early September during a run by depositors. This followed moves by the Afghan Central Bank to rein in the freewheeling bank, which bet big on the property market in Dubai and issued off-the-book loans to insiders, including Mahmoud Karzai, the president's brother and a part owner. Kabul Bank helped fund President Karzai's fraud-tainted reelection campaign last year.

Read the entire story at washingtonpost.com

© Copyright 2023 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

kabul bank us afghans corruption
Thursday, 07 October 2010 12:51 PM
Newsmax Media, Inc.

Sign up for Newsmax’s Daily Newsletter

Receive breaking news and original analysis - sent right to your inbox.

(Optional for Local News)
Privacy: We never share your email address.
Join the Newsmax Community
Read and Post Comments
Please review Community Guidelines before posting a comment.

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

© Newsmax Media, Inc.
All Rights Reserved
© Newsmax Media, Inc.
All Rights Reserved