CORRUPTION ROUNDUP: YEMENI INSTITUTIONS (STILL)

C O N F I D E N T I A L SECTION 01 OF 02 SANAA 001049

SIPDIS

NEA/ARP FOR ANDREW MACDONALD
USAID FOR CHRIS KISCO

E.O. 12958: DECL: 06/03/2019
TAGS: ECON PGOV KCOR EFIN YM
SUBJECT: CORRUPTION ROUNDUP: YEMENI INSTITUTIONS (STILL)
CANNOT WASH DIRTY HANDS CLEAN

REF: SANAA 209

Classified By: CDA Angie Bryan for reasons 1.4 (b) and (d)


1. (U) SUMMARY. Yemen is gradually fighting corruption
through a number of anti-corruption institutions, including
the Central Organization for Control and Auditing (COCA),the
Public Prosecutor,s office, the Supreme National Authority
for Combating Corruption (SNACC),and the High Tender Board.
NGOs such as Yemen Parliamentarians Against Corruption (Yemen
PAC) are adding tothe fight against corruption by
strengthening tis between the ROYG and civil society.
Inadequateanti-corruption laws are major challenges to
fighing corruption in Yemen, as is Yemen,s endemic briery
and nepotism. END SUMMARY.

YEMEN,S ANTI-ORRUPTION INSTITUTIONS
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2. (U) The Central Organiztion for Control and Auditing
(COCA),the oldest anti-corruption institution in Yemen, was
established in 1967 in the former People,s Democratic
Republic of Yemen (PDRY) and in 1974 in North Yemen.
According to a 1992 law, it works as the auditor general of
the ROYG and is similar to the U.S. General Accounting Office
(GAO). COCA audits all government bodies as well as
corporations which are wholly or partially owned by the
government. Abdullah Abdullah al-Sanafi, President of COCA,
told EconOff on May 17 that COCA is responsible for
financial, compliance, and performance audits. The length of
the audits varies case by case and can last anywhere from 15
days to six months or more. According to Sanafi, COCA refers
criminal cases to the Public Prosecutor,s office and submits
reports of its activities to the Shoura Council, Parliament,
and President. These include individual audit reports,
quarterly reports, yearly reports, and ad hoc assignments.
Sanafi told EconOff that COCA,s relative independence (in
comparison with other anti-corruption institutions) is its
biggest asset, but also its biggest challenge. Due to the
independence, it is hard to find a governmental body to do a
peer review of COCA,s effectiveness as an anti-corruption
institution. (Note: In spite of Sanafi,s assertion of
COCA,s independence, its reports are submitted directly to
the President, who has the power to veto them. End note.)


3. (U) Established in 1992, the Public Prosecutor,s office
conducts the actual investigations into corruption cases.
These cases can take anywhere from one week to two years to
complete, according to Ali al-Aawash, Public Fund Prosecutor
Expert. Aawash told EconOff on May 18 that the Public
Prosecutor,s office investigated 2400 cases last year, but
currently has 600 cases pending due to a lack of evidence.
Aawash told EconOff that the ROYG should focus more on
preventing corruption before it happens, rather than
prosecutions after the fact. Aawash indicated that
anti-corruption institutions responsible for preventing
corruption were ineffective in preventing corruption (reftel)
and thus create more investigative work for the Public
Prosecutor,s office.


4. (C) The Supreme National Authority for Combating
Corruption (SNACC),created in July 2007, is the governmental
body responsible for corruption prevention, investigation,
and education. SNACC was established as an umbrella
institution to connect anti-corruption institutions and
assist them in fighting corruption. Nine of SNACC,S eleven
members are nominated by the Shoura Council and elected by
Parliament. Only two members come from outside of the Shoura
Council,s list and are also vetted by Parliament.
Saadaldeen Talib, Member of SNACC and Head of the
International Cooperation Sector, is skeptical of SNACC,s
ability to combat corruption. Talib told EconOff on April 26
that SNACC has not established credibility within the ROYG
and that cooperation between anti-corruption institutions is
¬ fantastic.8 He criticized the process for choosing
SNACC members. According to Talib, of the over 100 pending
cases in SNACC, only one person has been officially charged.
Overall, he described SNACC as an inefficient institution
which furthers miscommunications and misunderstandings
between the anti-corruption institutions that it ostensibly
coordinates.


5. (U) Established only in December 2007, the High Tender
Board is the newest anti-corruption institution on the scene.
Mohammed Ahmed al-Junaid, Head of the High Tender Board,
told EconOff on May 25 that the Board reviews tenders up to
USD one million and assesses them for legality. Still in its
infancy, the High Tender Board has trained people in the
governorates to the district level.

SANAA 00001049 002 OF 002



NGOS ADD TO FIGHT AGAINST CORRUPTION
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6. (U) Yemen Parliamentarians Against Corruption (Yemen
PAC),a National Democratic Institute (NDI)-established NGO
made up of members of Parliament, partners with other NGOs
and official anti-corruption institutions to fight
corruption. As the Yemeni branch of Arab PAC, Yemen PAC
believes that the main problem is politics. Yemen PAC
monitors the activities of anti-corruption institutions and
provides oversight for their activities. It also attempts to
shepherd through government anti-corruption laws which would
otherwise get stuck in committee. Salem Ahmed Bintalib,
member of Yemen PAC and Counselor to the President, said that
Yemen PAC is not popular, but has made much progress in
bringing Parliament into the anti-corruption process. With
support from an NDI small grants program, civil society
organizations (CSOs) partnered with SNACC to combat
corruption. According to Heather Thierren, Resident Director
of NDI, the program achieved a credible impact in combating
corruption by making diverse groups within society aware of
anti-corruption efforts, forming networks and coalitions in
areas such as Marib, Taiz and Aden, and establishing
monitoring and awareness committees.

ANTI-CORRUPTION LAWS STILL SOMEWHAT SHADY
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7. (C) Officials overwhelmingly identified the existing
anti-corruption laws as the major challenge to fighting
corruption in Yemen. The corruption law, which came into
existence in 2006, &is short of action,8 according to the
High Tender Board,s al-Junaid. The law restricts the
prosecution of governmental officials to the deputy
ministerial level and below. A parliamentary vote of one
third or greater is needed to prosecute anyone above the
deputy ministerial level. Aawash of the Public Prosecutor,s
office told EconOff on May 18 that the law needs to expand
the type of crimes considered corruption. Despite weekly
meetings with SNACC, Yemeni anti-corruption institutions have
been unable to amend the law. COCA,s Sanafi identified the
compliance law (a subset of the corruption law) as defective
in terms of auditing revenue and expenditure. Yemen PAC,
which facilitated meetings about the corruption law in the
past, does not appear motivated to change the law at this
time.

COMMENT
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8. (C) The fight against corruption in Yemen is challenged
by a corruption-wrought culture in which bribery and nepotism
are endemic. An overly complex governmental system, in which
the existing anti-corruption institutions do not coordinate
with one another, only adds to the confusion. While the
successes of NGOs and CSOs offer hope, the lack of a rigorous
anti-corruption law only goes to show that Yemeni
institutions still have a long way to go before they can and
are willing to wash dirty hands clean of corruption. END
COMMENT.
BRYAN