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Kabul Bank: tragedy or farce?

Analysis: A US report sheds light on the increasingly absurd saga of Afghanistan's Kabul Bank.

Much of the funding went to President Karzai, who was expected to win, and whose now-regretful brother was one of the bank’s shareholders. Another shareholder and former chief executive officer, Khalilullah Ferozi, actually served as financial adviser to Karzai’s campaign.

According to numerous sources, the shareholders spread the money around to other candidates as well. No one will come out into the open on the use of Kabul Bank funds to finance the 2009 elections, however.

“If you can get someone else to say it, I will confirm,” said one politician who was close to the campaign of Karzai’s main rival, Dr. Abdullah. “But I am not going to be the first to speak.”

Ferozi, in the halcyon days before the scandal broke, had no such qualms about admitting that Kabul Bank had played a pivotal role in the campaign. As he told The Washington Post in early 2010, "If there is no Kabul Bank, there will be no Karzai, no government."

Well, Kabul Bank has now fallen. It remains to be seen whether the rest of Ferozi’s untimely prediction comes true.