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Naxar Nugaaleed

Cental Bank Somalia, pricewaterhousecooper and khaki envelopes

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Legend of Zu;966373 wrote:
Naxar, got it... So PwC were appointed in 2009 and Yusuf resigned in 2008? you said few times they were appointed by Yusuf's regime. I think you are misinforming the people. not cool man!


as for the job description, what NG is explaining to you is how the audit works. they have no power other than informing the UN, Donors and the Somali government. It is not their responsibility what these groups do with the reports, makes sense?


The buck stops with SFG, The UN and the Donors; The PwC will be in trouble if they reported everything to be ok and the UN found out the stolen money through other channels.


Either case, The UN and Senior SFG have to take responsibility and someone has to be accountable!

all this none sense is inconsequential. am not lying by asking for information. The article says 2009 but as I remember it, it was the Yusuf admin that was talking about using PWC to ensure donor funds get to the right hands. Stop being lazy and share information if you have and if not don't waste peoples time.

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Carafaat;966347 wrote:
Isnt the Ministry of Finance the internal auditor of the goverment? So any shortcomings in the checks and balances of the system should be fixed by the internal auditor. The Central Banks only acts as the cashier/treasury of the goverment.


The issue here is being politised. Not sure why.

Shir jaraa’id oo Muqdisho ku qabtay Maareeyaha Banka dhexe ee Soomaaliya uguna Jawaabay UN-ka

July 3, 2013 - Written by admin - Edited byadmin



Guddoomiyaha bankiga dhexe, Cabdisalaan Cumar Hadliye ayaa maanta iska beri yeelay warbixin ay qaramada midoobay soo saartay oo ku saabsan in 80% lacagaha ku soo xarooday bankiga dhexe ee dalka Soomaaliya ay qaateen shaqsiyaad gaar ah, oo aanay gaarin hay’adahii kala duwanaa ee dowladda.

Warbixintan oo ay Qaramada Midoobay ku sheegtay in lacagaha bankiga dhexe inta badan loo adeegsado dano shaqsiyadeed, iyadoo intaa ku dartay in intii u dhexeysay bilihii September sannadkii hore iyo Abril ee sanadkan ay dad gaar ah kala baxeen bankiga saddex mooleed illaa afar meelood lacagihii bankiga soo galay.

Sidoo kale, warbixinta ayaa lagu sheegay in Cabdullaahi Macalin Nuur oo ah madaxa saadka ciidamada xoogga dalka uu bankiga kala baxay lacag dhan shan milyan oo doollarka Mareykanka ah.


Guddoomiyaha bankiga dhexe ayaa sheegay in xilka uu hayo afar bil iyo bar, isla markaana wixii lacago ah ee bangiga ka baxay ay ku baxeen qaab sharci ah, isagoo tilmaamay in warbixintan ka soo baxday qaramada midoobay ay tahay mid la soo dhoodhoobay oo dana gaar ah laga leeyahay.


“Aniga waxaan guddoomiyaha bankiga dhexe ahaa afar bilood iyo bar, wax walba waxay ku baxeen hab sharci ah, mana jirin shaqsiyaad lacago si iskood ah ula baxay,” ayuu yiri Hadliye.


Gudoomiyahu wuxuu sheegay in isaga aanu ku lug lahayn wixii horay u dhacay balse uu diyaar u yahay in lagula xisaabtamo wixii dhacay markii uu xilkan la wareegay oo afar bilood hada laga joogo.


Hadliye ayaa ahaa xiligii DKM ahayd la taliyaha wasaarada maaliyadda,wana xiligaa waqtiga ay qaramada midoobay ku sheegtay warbixinteeda in lacagahan lagala baxay bankiga dhexe ee soomaaliya.

I told you so the whole article is political and intended to damage the Central Bank director. The guy just started the new job 4 months ago.

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Apophis;966437 wrote:
Comrade, the PWC mzungu staff were simply outwitted by people who had real hunger. Caadi waaye, it happens.

Caadi maha walahi, millions and millions of dollars disappearing everywhere, wasn't not too long ago when guy walked out of the airport with 40 million dollars. all this pisses me of, we need to demand transparency. hold these firms accountable. stop cash transactions at the central bank of all places, how hard is to give people those dahabshiil cards lol. In fact, they shouldn't even be paid in hard currency but in shillings and keep the dollars as reserve currency.

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This whole thing gets more complicated now.

What a bad strategy, SFG hired consultants to rebutt the UN and PWC leaked report. However, they forgot to hire someone with no prior vested financial interest in propping them up.


September 6, 2013 7:36 am


Somalia moves to discredit UN report over funding fears

By Katrina Manson in Nairobi


Somalia has hired British and US consultants to discredit a UN report that claims rampant corruption in Mogadishu because it threatens to imperil donor funding and the return of foreign-held assets, including gold, totalling billions of dollars.


The report, commissioned by Somalia’s president and seen by the Financial Times ahead of its release, accusesUN investigators of being “factually inaccurate and inexplicably biased” and rejects claims that the central bank doubles as a corrupt slush fund and that $12m transferred to the bank by accountancy firm PwC “could not be traced”.


“We are not claiming that this is a perfect government after 22 years of statelessness, mistakes can happen [but]we want to show the world we are not hiding anything – we have zero tolerance of corruption and the top priorityof this government is reform of financial institutions,” President Hassan Sheikh Mohamud told the FT ahead of the report’s release.


Years of corruption and financial mismanagement in Mogadishu, which has yet to recover from decades of instability and still faces terrorist attacks, have left donors worried that aid is regularly diverted, but many hoped they could work with a promising new government formed in Mogadishu last year.


But Mogadishu officials are concerned the UN report will undermine Somalia’s appeal to donors ahead of an aid conference this month. “Despite the change in leadership in Mogadishu, the misappropriation of public resources continues in line with past practices,” said the report from the UN panel of experts, published earlier this year.


Mr Mohamud, who survived an assassination attempt this week, said he wants to assure donors that Somalia has a “very transparent and accountable government” and said he is expecting pledges of “more than $1bn, more than $2bn even” at an EU-sponsored development conference in Brussels at the end of September.


Jarat Chopra, co-ordinator of the UN report, said he and his team of seven experts stand by their findings. He has not seen the government’s rebuttal but said the two companies that prepared it may have “ulterior motives and vested financial interests” because they are also involved in other commercial projects in Somalia whose contracts have not been published.


“It would be a basic conflict of interest for a firm to be secretly under contract pursuing Somalia’s overseas assets while pronouncing conclusions on the transparency, accountability and effectiveness of public financial management,” said Mr Chopra.


Pre**it Dass of FTI Consulting worked as the forensic accountant on the rebuttal. FTI, whose Africa department is headed by Lord Mark Malloch-Brown, a former UK cabinet minister, also promoted an unpublished oil exploration deal between Mogadishu and Soma, a new UK company headed by former Tory leader Michael Howard, which was criticised for its lack of transparency.


FTI said it believes the Soma oil deal is transparent.


US law firm Shulman Rogers, the other firm that prepared the rebuttal, is also mandated by Mogadishu to recover Somali assets held overseas that have been rendered inaccessible since civil war began 22 years ago. Diplomats say millions of dollars in cash is thought to be held in private bank accounts in Dubai, Italy, Kenya, Switzerland and the US.


“Every other month we’re getting new information on bank accounts in all corners [of the world] – we want to recover that money,” said Mr Mohamud.


In 2009 Shulman Rogers signed an asset recovery deal with the previous transitional government for fees of $50,000 a month and 3.5 per cent of any assets recovered, but the company said the government did not pay in full. Jeremy Schulman, of Shulman Rogers, this year negotiated a new contract with the Mogadishu government that has not been published but is, he said, “significantly discounted from [the 2009] arrangement”.



“We are trying to help them recover Somalia’s state assets and their gold so they can use that as the foundation for printing new currency,” said Mr Schulman, who denied any conflict of interest, saying Mr Chopra had made “unfounded allegations”.


Although the World Bank has a programme that tracks and recovers assets for free, it is not providing this service to Somalia.


Many financial institutions have been reluctant in the past to return the money to a makeshift government in charge of a failed state regularly accused of embezzlement, but US and IMF recognition of Somali’s new Mogadishu government this year – the first such recognition in more than 20 years – is likely to trigger the return of the money.


A US government official told the FT that gold belonging to Somalia worth an estimated $25m is stored at the US Federal Reserve, along with cash and property worth millions of dollars, and it is expected to be signed back over to Mogadishu in the coming weeks.


Diplomats say international financial institutions would be less likely to co-operate if allegations of corruption persist.

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