VZCZCXRO1046
RR RUEHPA
DE RUEHRY #0395/01 1891606
ZNY CCCCC ZZH
R 081606Z JUL 09
FM AMEMBASSY CONAKRY
TO RUEHC/SECSTATE WASHDC 3838
INFO RUEHZK/ECOWAS COLLECTIVE
RUEAIIA/CIA WASHDC
RHEFDIA/DIA WASHINGTON DC
RHMFISS/HQ USAFRICOM STUTTGART GE C O N F I D E N T I A L SECTION 01 OF 02 CONAKRY 000395 
 
SIPDIS 
SENSITIVE 
 
E.O. 12958: DECL: 03/16/2019 
TAGS:              
SUBJECT: DADIS ORDERS POST-MORTEM AUDIT 
 
Classified By: POLOFF BRIANA WARNER FOR REASONS 1.4 (B) AND (D) 
 
 1. (SBU) Summary: The CNDD released a communiqu on July 5 
detailing plans to begin a comprehensive audit of the last 25 
years of governance in Guinea. Habib Hann, Vice President of 
the Strategy Bureau in the Office of the President, helped 
launch the project in order to investigate past corrupt 
practices as well as "deal with" those who damaged Guinea,s 
economy. END SUMMARY. 
 
---------------------- 
Post-Mortem Witch Hunt 
---------------------- 
 
 2.  (U) The CNDD issued a communiqu on July 5 calling for a 
comprehensive audit of governance in Guinea over the past 25 
years. According to the communiqu, the audit will 
investigate all government ministries, former prime 
ministers, mining companies, infrastructure projects, project 
finance deals, the petroleum sector, and defunct Air Guinee. 
Though focusing on corruption during the Conte regime, the 
audit will also look into the practices of the CNDD since the 
coup. 
 
 
 3.  (U) The communiqu also expressed CNDD interest in 
soliciting international bids to execute the audit. The 
bidding process is to start this week and will end when the 
CNDD deems appropriate. While contracts will be open to all 
international bidders, the audit commission in consultation 
with the Office of the President will determine the winner. 
 
----------------------------------- 
From Wall Street to Camp Alpha Yaya 
----------------------------------- 
 
 4.  (SBU) EconOff met with Habib Hann, Vice President of the 
Strategy Bureau in the Office of the President, to discuss 
the CNDD communiqu. Hann, a CNDD sympathizer and friend of 
several CNDD leaders, allegedly returned to Guinea after the 
coup to "keep the country from going sideways." As a former 
Vice President at Goldman Sachs and Assistant Vice President 
at JPMorgan in New York City, Hann was well versed on U.S. 
policy toward Guinea as well as the complicated process that 
goes into international contract bidding and audits. 
 
 5.  (SBU) Hann told EconOff that the CNDD would like to hold 
this audit as a way to expose all of the wrongdoings of the 
former regime. He thinks that it is important that Guineans 
see how poorly the former government was managed. When asked 
why it was useful to audit a government after they have lost 
power, Hann said that the CNDD owes it to the Guinean people 
to tell them "the truth" about what happened under Conte. He 
believes that the audit section that deals with the CNDD will 
also reveal to Guineans that the junta government is serious 
about combating corruption and has the will to improve 
governance. 
 
 6.  (SBU) He suggested that the findings of the audit would 
be used to "clean up" the perpetrators of corruption from the 
Conte regime. He also hopes that the audit will investigate 
what he believes to be improper commercial concessions made 
to mining companies. Pointing to Rusal, a Russian metal 
mining company operating in Guinea, Hann argued that the 
despite the Ernst & Young contract valuation of $250 million 
USD, the Guinean government demanded $15 million USD in 
concessions. He said many similar contracts were improper and 
need to be revisited under this audit in order to uncover 
such discrepancies. With a detailed review, he believes, the 
Guinean Government will be justified in revoking several 
commercial contracts in the mining sector. 
 
 7. (SBU) Hann ironically went on to argue that he hopes that 
this audit commission will instill confidence in 
international investors that the Guinean government no longer 
engages in corruption or favoritism. It will also prove to 
them, he thinks, that the Government of Guinea is focused on 
the mining sector and hopes to make the investment process 
easier and less corrupt to sustain operations. 
 
--------------------------------------------- ----- 
Independent Auditors Chosen by the Junta Government 
--------------------------------------------- ------ 
 
 8.  (SBU) When EconOff asked if the audit could be used 
against CNDD adversaries, Hann said that the independent 
nature of the audit would eliminate any such political 
involvement. According to Hann, the international bids will 
be chosen by an independent audit commission. Though CNDD 
 
CONAKRY 00000395  002 OF 002 
 
 
leader Moussa Dadis Camara will have final say over who is 
awarded the contract, Hann does not see this as an 
insurmountable obstacle to independence. 
 
 9.  (SBU) Hann had few answers about the intended timeline 
for the audit commission and few concrete details on how the 
CNDD plans to execute this massive project. He said that they 
cannot develop any notion of a time line until they get the 
professional advice of the international bidders. 
 
 
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COMMENT 
-------- 
 
 10.  (C) Dadis and the CNDD used the legacy of corruption 
under Conte as a means to garner popular support when they 
came into power. As the CNDD becomes more unpopular, they are 
falling back on populist actions to regain power and distract 
from elections. By arresting former political figures and 
revoking commercial contracts, Dadis may hope to be seen as a 
leader battling corruption. However, it is very possible that 
this audit will be used to harrass and apprehend political 
adversaries from the former regime and anyone else deemed a 
threat to the CNDD. 
 
BROKENSHIRE