Pakistan spy chief makes US visit

13 July 2011 Last updated at 08:49 GMT Lt Gen Pasha's trip comes as tensions rise between Pakistan and the US Pakistan's intelligence chief Ahmad Shuja Pasha is due in Washington for talks, as relations between the countries continue to deteriorate.

The spy chief will "co-ordinate intelligence matters" during his one-day trip, Pakistan's military said.

On Monday Pakistan's defence minister said that troops may be withdrawn from the Afghan border, after the US announced a major cut to military aid.

Ties have been fraught since the US killed Osama Bin Laden in Pakistan.

The al-Qaeda chief was killed when US Navy Seal commandos raided his compound in the Pakistani city of Abbottabad on 2 May.

Many in the US have questioned how the fugitive could have lived undetected for years in a Pakistani cantonment town so close to the capital.

But in the months leading up to the raid, tensions were already running high over the case of Raymond Davis, the CIA contractor who shot and killed two men in Lahore.

Many in Pakistan were demanding that he be tried for murder. He was eventually released after "blood money" was paid to the families of the victims.

Military cuts

This the intelligence chief's first visit to the US since the killing of Osama Bin Laden.

The army did not disclose the precise purpose of Mr Pasha's visit, but said he would be meeting American military and intelligence officials in Washington.

Continue reading the main story 2 May: US announces Bin Laden's death and says Pakistan not warned of raid14 May: Pakistan MPs demand review of US ties26 May: US announces withdrawal of some US troops at Pakistan's request27 May: Secretary of State Hillary Clinton visits to try to soothe relations2 June: Top US military chief Adm Mike Mullen admits "significant" cut in US troops in Pakistan10 June: CIA head Leon Panetta visits Pakistan; US admits "slow progress" in healing ties8 July: Adm Mullen says Pakistan sanctioned killing of a journalist; Pakistan angrily rejects this10 July: US suspends $800m of military aid12 July: Pakistan defence minister says troops could be withdrawn from Afghan border area because of cutsThe BBC's M Ilyas Khan in Islamabad says that it is believed he will raise the issue of military aid cuts and reassure Washington of Pakistan's resolve when it comes to fighting militants.

On Sunday the US said it would cut about $800m (?500m) of military aid to Pakistan, which equates to about a third of the annual US security aid to the country. Pakistan has said it would use its own resources to continue operations against militants in the volatile north-west of the country.

But analysts say that US aid cuts will create financial pressure on the military and force it to appropriate government funds allocated for non-military projects.

And on Monday Pakistani Defence Minister Ahmed Mukhtar said that his country could withdraw troops from the Afghan border in response to the cut.

Mr Mukhtar said Pakistan "cannot afford" to keep troops in the remote region without the financial support.

Our correspondent says that while the defence minister's statement worsens the ongoing row between the US and Pakistan, there is no real likelihood of the army being pulled out.

In addition the US has persisted with drone strikes in north-west Pakistan despite protests by Islamabad.

At least 48 people have been killed so far this week in four separate strikes across North and South Waziristan.

View the original article here

Warrant for Afghan ex-bank chief

28 June 2011 Last updated at 15:40 GMT Mr Fitrat has said he has no plans to return to Afghanistan from the US Afghan officials have issued an arrest warrant for the former governor of the central bank, Abdul Qadeer Fitrat.

He is being investigated in connection with massive fraud at the privately owned Kabul Bank and the printing of unauthorised amounts of currency.

Earlier, it emerged Mr Fitrat had fled Afghanistan for the US - he said his life was in danger for exposing fraud.

He said the Afghan government had hindered his attempts to investigate corruption.

Afghanistan's Deputy Attorney General Rahmatullah Nazari said he would ask the US embassy and Interpol for help in securing Mr Fitrat's arrest.

"He will be brought here to face the judiciary. We will follow him," he told the BBC.

"There are some serious charges against him. He needs to answer all of them.''

Continue reading the main story 2004: Kabul Bank founded by international poker player, Sherkhan FarnoodSeptember 2010: Kabul Bank taken over by the central bank after a run on the bank amid fears of its collapseFebruary 2011: Abdul Qadeer Fitrat, central bank governor, tells BBC those involved in bank's woes should be prosecutedFebruary 2011: An IMF report recommends the bank be put in receivershipApril 2011: Mr Fitrat, names in parliament prominent Afghan figures in connection with the Kabul Bank scandalMay 2011: Report by anti-corruption office shows $467m (?290m) of outstanding loans were made without appropriate collateralCharges made against Mr Fitrat include that he financially mismanaged the bank, sabotaged the country's economy, ignored advice from other government institutions and did not adequately observe private banks.

The US - where Mr Fitrat has residency - does not have an extradition treaty with Afghanistan. He has said he has no plans to return to Afghanistan.

The embezzlement at Kabul Bank, Afghanistan's largest private bank, almost led to its collapse last year after it was discovered that hundreds of millions of dollars had gone missing.

The bank handles up to 80% of the government payroll, including salaries for policemen and teachers.

In April, Mr Fitrat accused several key Afghan officials - including President Hamid Karzai's brother and Vice-President Qasim Fahim - of being involved. Both deny the charges.

Then on Monday, he told reporters he had had to leave the country after receiving information that his life was in danger from "credible sources".

'Difficult job'

Mr Fitrat alleges that the central government did not assist him in his investigations or provide any help in recovering the bank's assets.

Continue reading the main story Bilal Sarwary Kabul

Relations have been frosty between the West and Kabul over the issue of corruption. The case of Kabul Bank was closely followed by the international community and the Afghan people - most were hoping all those involved would be prosecuted.

Resolving the issue is crucial in ensuring aid money continues to flow into Afghanistan. The International Monetary Fund wants the Afghan government to wind down the bank before it releases a new assistance programme.

Billions of dollars in international aid hinge on that programme.

"During [the] last 10 months during the Kabul Bank crisis, I continuously pressed for the creation of a special prosecution, for the creation of a special tribunal to investigate and prosecute those who were involved in Kabul Bank's fraud," he told the BBC.

"I did not receive any information that there is a credible plan to prosecute, to investigate and prosecute these individuals. The high political authorities of the country were responsible [for blocking] these efforts," he alleged.

President Karzai has said Afghanistan lacks the necessary banking experience to oversee the central institution and has blamed foreign advisers for the crisis.

He has also pledged to ensure that those responsible are subject to criminal investigations.

The UK Department for International Development said Mr Fitrat's resignation was "regrettable", and that he had done "a difficult job handling a complex set of challenges".

"It is absolutely critical that the government of Afghanistan chooses a good quality replacement with thorough knowledge of the banking sector," it said in a statement.

View the original article here