FRAUD SUMMARY-MASERU

UNCLAS SECTION 01 OF 03 MASERU 000337

SIPDIS

DEPT FOR CA/FPP
JOHANNESBURG FOR RCO
FOR CA/VO/KCC

PLEASE PASS TO DHS

E.O. 12958: N/A
TAGS: KFRD CVIS CPAS CMGT ASEC LT
SUBJECT: FRAUD SUMMARY-MASERU

a. COUNTRY CONDITIONS: Lesotho is a landlocked mountainous
kingdom, located in the geographical center of and completely
surrounded by the Republic of South Africa. Popularly known as
the "mountain kingdom", Lesotho has a land area of 30,355 sq km,
and a population of 1.88 million people, approximately 250,000
of whom live in the capital city of Maseru. The major languages
are English (official) and Sesotho. Due to an HIV/AIDS
prevalence rate of 23.2 %, third highest in the world, life
expectancy has fallen to 47 years. Lesotho is a constitutional
monarchy. King Letsie III neither participates actively in
political initiatives nor exercises any executive or legislative
powers. Executive authority rests in The Prime Minister who is
the head of government. The Department of State rates Maseru a
"Critical Crime Threat" post. Nearly 50% of the population
lives below the poverty line. The current per capita income is
1,600 dollars per annum. The Government of Lesotho official
inflation rate is 6.9%. With an unemployment rate reported to
be in excess of 23%, crime and drug use are increasingly
prevalent. Robberies, burglaries, life-threatening muggings,
carjacking, and car thefts are common occurrences which increase
during the December-January holiday season. Lesotho also serves
as a final destination for smuggled vehicles. There are
frequent reports of hostility toward Asian-Americans and those
of Asian appearance. Chinese nationals remain victims of many
of these violent attacks.

Newspapers report frequent complaints about corrupt public
officials. However, the incidence of overt fraud in Consular
operations is low. Issuance and management of vital records and
civil documents in Lesotho is characterized by inefficiency and
limited internal controls. Automation is gradual and most
documents present prime targets for abuse, malfeasance, and
basic human error. Marriage certificates and visas are created
and maintained manually. Unauthorized documents are easily
obtained from corrupt officials for fraudulent use. Births and
other vital events reported by a witness are registered with the
village chief who, on a regular basis, usually monthly, forwards
details to the District Administrator (under the Ministry of
Local Government) and the Office of Statistics in the Ministry
of Finance. Currently this multilayered system does not pose a
major concern but may become so in the future if IVs are ever
processed at Post. Certificates are issued in the district
where the event occurred. Statistics are also kept by the
Registrar General in the Ministry of Law, Constitutional, and
Parliamentary Affairs.

The Consular Section has no definitive evidence of smuggling of
persons in Lesotho. Proximity and ease of access to population
centers make South Africa a popular destination for brief visits
and for economic migration (legal and illegal). The Governments
of South Africa and Lesotho issue six-month border passes to
facilitate border crossings for shopping and brief family
visits. Due to the laxity of immigration officials at border
crossings, travelers often neglect to apply for visas
authorizing longer stays. Due to family ties and ethnic
similarities, Basotho have been known to fraudulently obtain
South African passports and identity cards "as insurance" and to
facilitate studies. Few authentic civil and legal documents in
Lesotho possess anti-fraud features. The machine-readable
passport includes a national identification number which changes
when the passport is renewed. Few non-machine-readable versions
remain in circulation.

Assessment: The level of fraud at post is low.

b. NIV FRAUD: The majority of Post's visa applicants are
employed by the Government of Lesotho (GOL) or NGOs. Many apply
with Diplomatic notes for official travel, and as exchange
visitors. The majority is well-educated with fluent English. A
validation study conducted this reporting period on tourist
visas, resulted with a confirmed overstay rate of .01%. Results
of the validation study indicate that citizens or nationals of
Lesotho that are issued a B1, B2, or B1/B2 visa are less likely
to overstay or show an indication of fraud. Post is vigilant to
other nationals seeking visas that have obtained Lesotho
passports with limited time in country.

c. IV FRAUD: Post does not process IVs. However, post
adjudicates clearly approvable immediate relative petitions and
forwards to Consulate Johannesburg.

d. DV FRAUD: Post does not process DVs.

e. ACS AND U.S. PASSPORT FRAUD: No cases of ACS or U.S.
passport fraud were detected this reporting period.


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f. ADOPTION FRAUD: In December 2008, The Government of the
Kingdom of Lesotho lifted the suspension on inter-country
adoptions for four countries: the U.S., Sweden, The Netherlands
and Canada. The Ministry of Health and Social Welfare in The
Government of Lesotho (GOL) is in the process of designating one
adoption agency to coordinate inter-country adoptions for the
U.S. This agency will be responsible for coordinating all
adoptions, assisting in monitoring the progress of adopted
children and providing follow-up reports to the Ministry of
Health and Social Welfare. The Department of Social Welfare
(DSW) in the Ministry of Health is alert to fraud trends in
inter-country adoptions and is therefore concerned with
confirming the adopted child's origin. Post has made regular
visits with DSW to ensure that post is kept current with any
changes in adoption procedures.

To date, all adopted children from Lesotho have come from a
closely controlled organization that provides residential and
medical care to abandoned, HIV/AIDS affected orphans and
vulnerable children (OVCs),infants to age five. This orphanage
networks with the GOL and other organizations to advocate for
the rights of children and the establishment of an effective
adoption/foster care program in Lesotho. As a result, DSW
prefers to process adoptions of children belonging to this
orphanage as they are certain that the child's family and
medical history in question is well documented. Post visited the
orphanage to learn more of its conditions, operations, and how
they place the children. Post has not processed adoption cases
this reporting period.

g. USE OF DNA TESTING: Post does not process any visas based on
relationship. Polygamy is not illegal in Lesotho. However, it
is not widespread. It is not uncommon for members of the royal
family to marry distant cousins. While international courier
services are available in Lesotho, post does not have a panel
physician. Should DNA testing be recommended, applicants would
be referred to a panel physician in Johannesburg for collection
and shipping of the samples.

h. ASYLUM AND OTHER DHS BENEFIT FRAUD: Post processed one case
of a Cuban applicant requesting parole into the United States
under the Cuban medical personnel parole program administered by
DHS. Post has not documented any fraud in DHS benefit cases.

i. ALIEN SMUGGLING, TRAFFICKING, ORGANIZED CRIME, AND TERRORIST
TRAVEL: To date post has not documented trends which directly
impact consular operations. According to Lesotho's Passport and
Immigration Services, citizens of some countries such as China,
India and Bangladesh, have fraudulently obtained legitimate
Lesotho passports by circumventing the resident requirement
system. Lesotho is a transit point for entering South Africa.
Due to the lack of tracking entry/exit, post is aware of the
potential for terrorist travel. Previously, the Basotho took
advantage of visa free travel to the UK as a stepping stone to
Europe and the United States. However, as of July 2009 the UK
withdrew visa waiver privileges for Lesotho.

j. DS CRIMINAL FRAUD INVESTIGATIONS: The Consular Section has a
strong and excellent working relationship with Post's first RSO,
and two LES staff. They are consistently responsive to consular
requests for assistance and are collaborative with sharing
critical information. No cases have been referred to RSO this
reporting period.

k. HOST COUNTRY PASSPORT, IDENTITY DOCUMENTS, AND CIVIL
REGISTRY: Basotho use their Lesotho passport as proof of
identity for all banking, business transactions, and regional
travel. The biodata page of the Lesotho passport contains a
digitized photograph and is laminated. In addition to the
passport number, it also contains a personal identification
number consisting of the holder's date of birth - dd/mm/yy-
followed by a letter code indicating place of birth, and
additional characters whose significance is unclear even after
talking with officials at the passport office. The format
changes each time a passport is renewed. Legitimately issued
birth certificates and marriage certificates are prone to
transcription errors which have caused delays in the renewal of
U.S. passports.

Blank passport applications are available either from the
passport office or from the government appointed village chief
in one's home district (Note: Village chief may not be
synonymous with the village headman who may only be a
traditional leader). As a preliminary step an individual - no
matter where they were born - must obtain an endorsement, easily
forged, on the passport application from the village chief of

MASERU 00000337 003 OF 003


his/her ancestral village. A passport fee of 100.00 Maloti
(about $10.00) is paid to the District sub-accounting office of
the Ministry of Finance. The applicant subsequently takes the
receipt and the endorsed application to the passport office.
Thus begins what is reported to be up to a two-year wait before
the passport can be issued. Currently the media describe small
scale corruption in the long queues of applicants waiting to
submit applications and receipts. Slipping the equivalent of
about $2.50 to a monitor ensures one gets bumped to the head of
the line! Queue monitors boast of a take of $10 - $20 per day.
Once inside the passport office, it is not clear how long
processing takes. Some persons report passport pick up after
only 24 hours, while others continue to wait years. Officials
at the Ministry of Home Affairs report plans to streamline
operations in order to reduce issuance to 30 days. Civil birth
certificates are easily obtained requiring only the report of a
witness to a village chief who submits reports to various
government entities.

l. COOPERATION WITH HOST GOVERNMENT AUTHORITIES: Host government
authorities are cooperative and have willingly assisted in the
verification of civil documents.

m. AREAS OF PARTICULAR CONCERN: Post has received reports from
government officials concerned over the ease of acquiring
legitimate documents, mainly passports, from other government
officials. In addition to this, the lack of tracking entries and
exits at ports of entry is also an ongoing concern.

n. STAFFING AND TRAINING: Post's Consular Section consists of
one Consular Officer/Chief and one LES Consular Assistant;
neither have participated in formal fraud based training in
Washington. However, Consular Officer has had extensive
on-the-job and previous post training at a high level fraud post.
NOLAN