US embassy cable - 05GABORONE1655

C O N F I D E N T I A L  GABORONE 001655 
 
SIPDIS 
 
 
DEPT FOR AF/S MUNCY 
 
E.O. 12958: DECL: 11/09/2015 
TAGS: PGOV, PHUM, BC, Corruption, Human Rights 
SUBJECT: BOTSWANA CONTINUES TO COMBAT CORRUPTION 
 
REF: A. 04 GABORONE 1480 
     B. 04 GABORONE 1636 
     C. GABORONE 738 
 
Classified By: AMBASSADOR KATHERINE H. CANAVAN FOR REASONS 1.4 B AND D 
 
1. (SBU)  SUMMARY:  Botswana continues to enjoy the lowest 
incidence of corruption in Africa as perceived by 
international and local observers.  Nonetheless, a rash of 
recent allegations has fed the growing public perception 
that corruption is a problem in Botswana.  Although the 
Government has taken a variety of measures to prevent and 
prosecute corruption, disconcerting questions have been 
raised about the independence of the Directorate on 
Corruption and Economic Crime.  Mission continues to 
highlight the centrality of controlling corruption to 
Botswana's economic growth and political stability.  END 
SUMMARY. 
 
BOTSWANA STILL LEAST CORRUPT IN AFRICA 
 
2. (U)  On October 18, Transparency International released 
the results of its 2005 Corruption Perception Index, which 
again ranked Botswana the least corrupt country in Africa 
and 32nd in the world.  Round III of the Afrobarometer 
survey, shared with donors in Gaborone on October 18, 
showed that only 2 percent of Batswana reported having had 
to pay a bribe to obtain a permit or document, to avoid 
problems with the police, or to receive a Government 
service.  The United Nations Economic Commission for Africa 
release on October 12 a report entitled "Striving for Good 
Governance in Africa," which favorably assessed governance 
in Botswana, including anti-corruption efforts. 
 
RASH OF CORRUPTION ALLEGATIONS 
 
3. (U)  Ironically, Transparency International's 
re-designation of Botswana as Africa's least corrupt 
country coincided with a rash of new corruption 
allegations.  In early October, a group of firms sought 
court intervention to suspend work on several disputed 
government contracts -- which they claimed were irregularly 
awarded by the Public Procurement and Asset Disposal Board 
(PPADB) to companies owned by Member of Parliament for 
Ghanzi Christian De Graaf and the wife of Minister of 
Education, Jacob Nkate.  Intervention by a "higher 
authority" allegedly enabled their firms to bid on tenders 
originally reserved for smaller companies.  It then came to 
light that the PPADB had awarded tenders to other 
contractors who were initially disqualified by the 
contracting agency in the Ministry of Agriculture.  In a 
third incident, reports emerged that the chief executive of 
the Citizen Entrepreneurial Development Agency (CEDA), a 
lending facility established to promote citizen 
entrepreneurship, had abused his office to make 
unauthorized loans.  The Chairman of CEDA's Board also 
reportedly owned a company that offered consultancy 
services for companies applying for CEDA loans, creating a 
clear conflict of interest. 
 
NONE FOUND TO BE LEGITIMATE . . . YET 
 
4. (U)  On October 4, a High Court judge dismissed the case 
brought by contractors suspicious that corruption had 
tainted a Government tender.  The judge found the 
applicants' claim to a "legitimate expectation" to receive 
tenders because their companies fit the bidding 
qualifications unpersuasive.  Likewise, an investigation 
into the PPADB's 2005 tender process reportedly turned up 
no instances of corruption.  Allegations of corrupt 
practices at CEDA, however, have yet to be settled. 
 
CORRUPTION PERCEIVED TO BE GROWING PROBLEM 
 
5. (U)  These high profile incidents conform to an apparent 
increase in the perception of corruption in Botswana. 
Although few respondents to the Afrobarometer survey 
reported actually having paid a bribe, thirty percent 
described police officers as corrupt, up from 23 percent in 
Round II.  In a July 2005 survey of businesspeople in 
Botswana funded by Mission Gaborone, Prof. Selolwane of the 
University of Botswana found that 74 percent of respondents 
perceived corruption to be increasing in Botswana, although 
the proportion of respondents who believed corruption to be 
high far exceed that of those who had knowledge of a 
specific instance of corruption.  Members of the Botswana 
Confederation of Commerce, Industry and Manpower (BOCCIM) 
in Francistown described the government tender process as 
rife with corruption to Poloff.  Reflecting this growing 
concern, on October 10, Elias Dewah, Executive Director of 
BOCCIM, warned that petty corruption was becoming rampant 
 
in Botswana. 
 
GOB REMAINS VIGILANT 
 
6. (U)  The GOB remains vigilant against the danger of 
corruption, as witnessed by charges recently brought 
against suspected offenders.  These range from the minor -- 
two police officers charged on October 13 for accepting a 
bribe -- to the major -- a land developer charged on 
October 5 with making false statements in an affidavit to 
fraudulently obtain a land grant.  This is the first 
prosecution following the July 2004 conclusion of a 
Commission of Inquiry into irregular land allocations 
around the city of Gaborone (Ref A).  The GOB had 
established a Public Procurement and Asset Disposal Board 
in 2003 in an attempt to more transparently conduct the 
Government's purchases and sales.  The PPADB oversees the 
public procurement of works, supplies, services and the 
disposal of public assets by all central government 
agencies.  It is empowered to review and investigate all 
decisions made by the various procurement committees. 
 
POLITICAL INTERFERENCE AT DCEC? 
 
7. (C)  Although the DCEC has taken appropriate steps to 
prevent and prosecute corruption, questions have emerged 
regarding the extent of its independence (Ref B).  During 
the August 8-10 conference of regional anti-corruption 
agencies, for example, DCEC director Tymon Katlholo 
acknowledged that Batswana often believe that the DCEC 
focuses on petty corruption and ignores corrupt practices 
by the wealthy and influential.  In an August 10 
conversation, Philliat Matsheza, Executive Director of 
Harare-based Human Rights Trust of Southern Africa relayed 
to PolOff an earlier conversation with Katlholo.  The DCEC 
chief had told Matsheza that Vice President Khama had 
personally questioned him about an investigation into the 
(notoriously shady) business dealings of Khama's younger 
twin brothers.  (Note: Prof. Ken Good, the outspoken 
academic deported by the Government in May (Ref C), had 
highlighted suspicious transactions involving the Khama 
brothers and the Botswana Defense Force during Khama's 
tenure as Commander.  End Note.)  Another contact, attorney 
Dick Bayford, independently confirmed this report to 
Emboffs.  This incident reflects a common sense of 
apprehension about the implications of a Khama presidency 
and whether he might turn a blind eye to corruption among 
the socio-economic elite. 
 
COMMENT 
 
8. (U)  As economic growth slows and HIV/AIDS drives up 
dependency ratios, the temptation for government officials 
to seek bribes is likely to grow.  The willingness of the 
media and the private sector to draw attention to these 
incidents suggests that these sectors are able to perform a 
watchdog function.  In my initial courtesy calls with senior 
officials, I have stressed the importance of Botswana's 
maintaining its laudable performance on corruption.  Mission 
will continue to make opportunities to support civil society 
efforts to keep corruption in check. 
CANAVAN 
 
 
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