C O N F I D E N T I A L SECTION 01 OF 02 BAGHDAD 001084

SIPDIS

SIPDIS

E.O. 12958: DECL: 04/08/2018
TAGS: EAID ECON KCOR PGOV PREL IQ
SUBJECT: D/PM BARHAM SALIH MEETS NEW EMBASSY
ANTI-CORRUPTION COORDINATOR

REF: A. A. BAGHDAD 0069

B. B. BAGHDAD 1070

Classified By: Anti-Corruption Coordinator AMB. Lawrence Benedict, reas
ons (b) and (d)


1. (C) Summary: In his introductory call on D/PM Barham
Salih, AMB. Lawrence Benedict described his mission as
identifying how the U.S. could best support GOI
anti-corruption initiatives. AMB Benedict asked for D/PM
Barham Salih's cooperation in this endeavor. D/PM Barham
Salih welcomed AMB Benedict and USG support on
anti-corruption initiatives. The D/PM advised that the GOI
is now implementing an anti-corruption action plan that
includes finalizing Iraq's entry into the UN Convention
against corruption. D/PM Barham Salih confirmed for AMB
Benedict that the Prime Minister's Office had issued an April
1, 2007 order requiring the Prime Minister's approval before
corruption cases against GOI could be referred to a court,
but explained that without such an order, the work of the
government could be brought to a halt on the basis of
unproven allegations. End summary.


2. (U) In an April 6 meeting at the D/PM residence, EMIN
AMB Charles Ries introduced the Embassy's new Coordinator for
Anti-Corruption Initiatives (Coordinator) AMB Lawrence
Benedict to Deputy Prime Minister Barham Salih. STRAT-EFF MG
Mark Zamzow, visiting NSC Director Brett McGurk and emboffs
(notetakers) also attended this meeting, which covered a wide
range of topics (Ref B).


3. (U) After introductory remarks, the Coordinator noted
that Ambassador Crocker has assigned him the task of
determining how the USG can best assist the Government of
Iraq (GOI) combat corruption in the public sphere. The
Coordinator reflected briefly on a plan to address corruption
that the D/PM had presented at a GOI-organized conference in
January 2008 and requested a briefing on GOI progress on the
plan's eighteen action items. Mentioning continuing
Congressional concern about corruption in Iraq, the
Coordinator advised th

e D/PM that a House Oversight and
Government Reform (OGR) Committee CODEL visiting Baghdad
later in the week has requested a briefing on GOI measures to
fight corruption.


4. (U) D/PM Barham Salih welcomed the Coordinator's arrival
in Iraq, saying "we need your help on this issue."
Corruption is pervasive throughout Iraq, the D/PM said,
infecting the conduct of business everywhere -- even within
the Coalition. Citing a culture of corruption that included
the UN Oil-for-Food program, the D/PM noted the GOI's serious
interest in participating in a UNODC/World Bank program to
build capacity for recovery of assets stolen by the former
regime. Reconfirming that the action plan presented at the
January 3 conference remains government policy (Ref A) and
that Iraq is proceeding with the steps necessary to become a
signatory to the UN Convention against Corruption (UNCAC),
D/PM Barham Salih looked forward to the day when the GOI can
employ the powerful tools available under the UNCAC to fight
corruption and facilitate recovery of the proceeds of
corruption. The D/PM concluded by cautioning the USG against
being judgmental as it works with the GOI on anti-corruption
measures, saying that the two must always approach the matter
as partners.


5. (C) The Coordinator specifically noted that a member of
the House OGR Committee, Rep. Henry Waxman, has recently
sought additional information from the Secretary of State
regarding an April 1, 2007 order from the Prime Minister's
Office requiring the Prime Minister's approval before the
referral to the court of cases against the President, the
Council of Ministers and current and former ministers.
Although Rep. Waxman will not travel with this delegation,
the Coordinator continued, his colleagues on the CODEL may
well ask the D/PM or other GOI officials they encounter to
explain an order that appears to sanction political
interference with the criminal justice system.


6. (C) D/PM Barham Salih nodded in recognition at the
mention of the April 1, 2007 order, saying "Yes, there was a
good reason for it." The D/PM described Iraq's criminal
justice system as void of necessary checks and balances.
While acknowledging the personal integrity of Judge Radhi
al-Radhi, the former head of the Commission on Public
Integrity (CPI), the D/PM faulted Commissioner Radhi for
politicizing his office and launching a public witch-hunt
against members of the al-Allawi and al-Maliki governments.
Regardless of whether Radhi's charges were true (and Barham
Salih acknowledged that many were), the D/PM said that GOI
political leaders were aghast that a single judge could
unilaterally order the arrest and detention of government
officials -- including ministers -- with virtually no

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accountability. The Prime Minister's April 1 order, which
the D/PM said had been discussed and approved by the Council
of Ministers, was an effort to prevent CPI from intimidating
ministers.


7. (C) As reported septel, D/PM Barham Salih came back to
the anti-corruption theme when queried his views on whether
to offer payment-in-kind to major oil companies that are
expected to take advantage of the technical service
agreements the Ministry of Oil is now offering. Salih said,
"this is a bad idea -- it would open a major loophole for all
kinds of problems which we are very capable of exploiting."


8. (C) Comment: D/PM Barham Salih's warm welcome of the
Coordinator, tempered by the admonition that the USG not
lecture the GOI on the sin of corruption, reflects Baghdad's
ground truths. While acknowledging that public corruption
creates extraordinary burdens on reconstruction efforts and
the delivery of government services, the D/PM's rendition of
the sub-text underlying the PMO's April 1 order stressed that
political realities must be factored into policies and
programs to defeat corruption in the public sphere. The
Coordinator continues his introductory meetings with key GOI
officials this week, including staff at the Prime Minister's
office, where he will raise USG concerns with the April 1,
2007 order.
BUTENIS