South Sudan Leaders Accused of Profiting From War as Humanitarian Disaster Grips Nation Real estate in Kenya, Uganda and Australia are among destinations for financial transfers by president, former vice president, report says By Matina Stevis
http://www.wsj.com/articles/south-sudan-leaders-sending-millions-in-ill-gotten-wealth-abroad-report-says-1473677975
JUBA, South Sudan—South Sudan’s leaders have transferred millions of dollars of ill-gotten wealth outside the country while waging a civil war that has left nearly half the country’s people homeless or in urgent need of humanitarian aid, an anti-corruption group said Monday.
President Salva Kiir and some his top associates, along with Riek Machar, the country’s former vice president, have invested millions of dollars in real estate in Kenya, Uganda and Australia, according to a report by the Sentry, which investigates corruption and organized crime in Africa, following a two-year probe. The watchdog group was founded by Hollywood actor George Clooney and John Prendergast, a former official in the Clinton administration.
According to the report, these powerful political figures and their immediate relatives have large ownership interests in local oil, construction, security and gambling businesses—in violation of South Sudanese law barring officeholders from engaging in commercial activity.
The report accuses the two leaders of perpetuating conflict in South Sudan, the world’s youngest nation, to amass personal wealth.
“The leaders of South Sudan’s warring parties manipulate and exploit ethnic divisions in order to drum up support for a conflict that serves the interests only of the top leaders of these two kleptocratic networks and, ultimately, the international facilitators whose services the networks utilize and on which they rely,” it says.
A spokesman for Mr. Kiir didn’t immediately reply to calls and messages requesting comment. A spokesman for Mr. Machar said he would study the report and respond to it later. Messrs. Clooney and Prendergast said Monday they would meet with U.S. President Barack Obama, State Secretary John Kerry and Treasury Secretary Jack Lew to present the investigation and lobby for the use of antiterrorism and anti-money-laundering rules to seize the South Sudanese leaders’ assets.
Mr. Kiir’s presidential salary is about $60,000 annually. Mr. Machar drew a government salary $54,000 annually until he was ousted in July after the collapse of a power-sharing agreement. He is now in neighboring Sudan.
Foreign donors sponsored South Sudan’s independence declaration in 2011 and have supplied billions of dollars in aid since the two political rivals pitted their tribes and armies against each other nearly three years ago, with the U.S. topping the list with $1.6 billion in assistance.
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