Kabul Bank sent cash abroad via airline food trays
- LIVE: Rajya Sabha elections underway, Suresh Prabhu, Kapil Sibal, Ram Jethmalani in fray
- India, Pakistan should work on stengthening ties on security front: US
- Warmth in US doesn’t mean chill in China: India
- Udta Punjab row: Your job is to certify, not censor, Bombay HC tells board
- Mexico mass murder: 11 members of a family shot to death
Millions of dollars from Kabul Bank were spirited out of Afghanistan — some smuggled in airline food trays — to bank accounts in more than two dozen countries, according to an independent review released on Wednesday about massive fraud that led to the collapse of the nation's largest financial institution.
The report by the Independent Joint Anti-Corruption Monitoring and Evaluation Committee offers new details about how the men at Kabul Bank and their friends and relatives got rich off $861 million in fraudulent loans in what the International Monetary Fund has called a Ponzi scheme.
The 87-page report points to poor oversight by Afghan banking regulators, political interference in the criminal investigation and activities by a special judicial tribunal hearing the case that it said were "well outside the legal norms of criminal procedure.''
The report said Afghan authorities learned in late 2009 that "Kabul Bank was moving money through food trays'' on flights operated by Pamir Airways, a multi-million-dollar Afghan airline that was established with loans from the bank and has since gone out of business.
The report stated that 10 Pamir Airways pilots were paid $320,000 in salaries between March 2008 and November 2010 under the description of "pilots of cash delivery.''
- Debate on Rajan’s reappointment is welcome as long as it is on performance
- In Assam, strategy of polarisation has brought electoral fruit to BJP
- National intellectual property policy suffers from lack of conceptual clarity
- India, Pakistan continue to view opening of trading routes as threat to their security
- The unnoticed agreement
- PM Modi’s US visit has highlighted a new sense of purpose between New Delhi and Washington