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Corruption probes rock Algeria

A wave of scandals involving huge government contracts seems poised to scuttle the careers of many Algerian officials.
Corruption scandals are piling up in Algeria, with allegations of nepotism and kickbacks connected to lucrative contracts reaching as high as the Cabinet.

Mammoth state-run energy company Sonatrach still has more secrets to reveal. The courts confirmed on January 28th that two senior managers are being held along with two sons of the CEO, Mohamed Meziane, who himself is being probed for alleged corruption, bribery and criminal conspiracy.

Although the current inquiry tackles giant contracts that allegedly skipped a call for tenders, former Sonatrach vice president Hocine Malti wrote on January 31st in the El Watan newspaper that corruption at the firm goes far deeper. He appealed to the public to go after "the sale of oil", which he said would reveal that Sonatrach "completes few spot sales, and most of its exports go to just four or five customers."

"If you dig a little deeper, you will realise that behind each of these customers is a member of the entourage, that these 'barons' have their stooges in Algiers, but also have 'correspondents' working at Sonatrach offices in London or Houston," wrote Malti.

Energy Minister Chakib Khelil on February 1st said he was completely unaware of the Sonatrach affair and related probes. He added that the accused senior managers were innocent until proved otherwise, and said he would not be stepping down from his post.

Meanwhile, the Sonatrach inquiry is expanding to embrace the firm's funding of a conference centre and a five-star hotel for the April 2010 international gas summit in Oran. Other inquiries are under way at Hassi Messaoud, where oil wells are located and large contracts are awarded.

Public Works Minister Amar Ghoul has also drawn scrutiny from the courts in recent months. Several top officials connected to his ministry's East-West Highway have been imprisoned for engaging in corrupt practices with the Chinese partner in the project.

Yet another scandal erupted after a high-ranking official in the fisheries ministry was found guilty of orchestrating illegal business deals with foreign parties. Other sectors have not been spared; four senior managers of Algérie Poste have just seen their prison sentences for corruption confirmed by the courts.

Interior Minister Noureddine Yazid Zerhouni on February 3rd told the press that the wave of investigations is not a "hand-washing exercise". Nevertheless, he characterised them as mere ongoing inquiries similar to others around the world.

In a press conference the same day, Prime Minister Ahmed Ouyahia said: "[Corruption] is not a new issue; it comes around from time to time." He added that it was traditional for someone in his position to not judge or comment until the courts have delivered a verdict.

Asked about the political responsibility of the ministers in these scandals, the prime minister said that until the courts have ruled, "there is the presumption of innocence... political responsibility has not been established". And while acknowledging the Sonatrach affair's importance, because of the huge amounts of money involved, he also noted the Justice Ministry's involvement in "over 4,000 cases of corruption since 2006".

Ouyahia reminded his audience that a directive was signed in December 2009 by President Abdelaziz Bouteflika. "The fight against corruption is not a chance thing, nor is it a recent thing," he said.

A national body to stamp out corruption "will be up and running by the end of next March", the prime minister declared, adding that an even more vigilant "committee" would start anti-corruption activities at an unspecified date.

By Nazim Fethi for Magharebia in Algiers

© Magharebia.com 2010