Special Inspector General for Afghanistan Reconstruction (SIGAR) Quarterly Report to the United States Congress

This report details SIGARs oversight activities and provides an update on the status of reconstruction programs since our July 30, 2011 report. SIGAR investigators and auditors had a productive quarter. A SIGAR-initiated investigation resulted in the successful prosecution of the largest bribery case from Afghanistan since the reconstruction effort began in 2002. SIGAR-supported investigations also led to two guilty pleas and five indictments and arrests of individuals charged with bribery related to reconstruction contracts. In addition, SIGAR made 18 referrals to suspend and debar individuals and companies working on U.S.-funded reconstruction projects. These referrals resulted in 6 suspensions and 12 proposals for debarment. SIGARs suspension and debarment program seeks to combat procurement fraud and corruption in Afghanistans unique contracting environment. Since our last report to the Congress, SIGAR completed five audits, including assessments of the U.S. civilian uplift, efforts to build Afghan capacity in the agricultural sector, and two large infrastructure projects for the Afghan National Army. SIGAR made 13 recommendations to address problems we identified related to cost, capacity building, program coordination, contract management, schedule delays, and sustainability.