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    Central Asia
     Jun 19, 2008
Page 2 of 2
Tajik Aluminum becomes shooting match
By John Helmer

contrived by Rahmon, Saduloev and others, in order to make him appear to be alive, but inaccessible all the same?

Mannered though the courtroom statements may be, according to English practice, it is the political fate of Tajikistan that is now being tried in London. After spending almost 5% of Tajikistan's gross domestic product on the court case, Rahmon and his brother-in-law now find that they have brought on themselves the risk of cross-examination in Courtroom 4.

As Doctor told the judge: "It seems odd that you should have to send someone to, as it were, identify him." The normal thing, Doctor added, was that if someone were said to be unavailable for

 

a court appearance, then "I would ask [him] to walk through the door ... there may be other ways of conveying that Mr Saduloev is alive and in a position to give evidence."

The problem remains - what evidence will Saduloev give, if he is alive?

On May 2, Saduloev was filmed in the company of Rahmon at a regional event. The media reports claim he was shot later that day. Rustam, the president's eldest son, did the shooting, according to one press version. Rustam was educated at a US university, and is involved in the automobile business at home.

Russian-language reports in the region reported the shooting around May 4. According to one press report from Tashkent, in neighboring Uzbekistan, Saduloev was treated for his wounds in a German clinic but died on May 8.

Diplomats in Dushanbe believe they saw Saduloev at a reception on May 9. But as he is believed to have a twin brother, there have been rumors that a ringer has been appearing in his place. A source at the May 9 reception said that Saduloev's double is unlikely to have greeted quite so many people as he appeared to know.

Merely gossip
Officials at Orienbank have been emphatic that nothing has happened to Saduloev and that the rumors are nothing more than "old ladies gossiping at the marketplace". Radio Free Europe/Radio Liberty (RFE/RL) correspondents in Tajikistan have reported that at least two officials at the bank said they had seen Saduloev "just half an hour ago". Saduloev's deputy, Umed Davlatzoda, is reported by RFE/RL as claiming that Saduloev is alive and well but does not want to comment on the rumors.

Orienbank has repeatedly refused to put calls for Saduloev through to him, and he has not responded to messages. The bank website announced on May 30 that their chairman was fully occupied. "Beginning from 10th May this year for three weeks, Mr Khasan Asadullozoda, the chairman of Orienbank OJSC, held meetings with heads of governmental and international entities and commercial structures being clients of the bank for the purpose of further development and enhancement of cooperation. During the meetings, the parties conducted in-depth and comprehensive analysis of the bilateral relations, [and] gave consideration to comments and suggestions on further improvement of banking and implementation of new types of bank services, which would cut operational expenses and therefore increase their income."

Such meetings, Orienbank said, "are planned to be regular in the future. They will give a fresh impetus to the development and boosting of financial and credit relations between the bank and its clients through joint implementation of large credit and commercial finance projects."

An official at Orienbank, identifying himself as Rustam Abdullaevich and as a personal assistant to Saduloev, agreed on Tuesday to relay to Saduloev the text of all references to Saduloev in this story, with the request that he review and respond. At publication deadline, there had been no reply.

There have been signs and rumors of a falling-out between Rahmon and Saduloev for some time, possibly encouraged by outside powers or by internal factions backing Saduloev to succeed Rahmon as president of the financially desperate country.

On April 8, Radio Imruz, a Tajik language broadcaster owned by Saduloev's Orienbank group, went off the air, allegedly on account of "technical problems". A few days before the closure order, Imruz had reported on a protest in the eastern city of Khorog, claiming that local people were unhappy with low and often unpaid wages, as well as with growing food prices. The radio had also revealed the IMF default notice against the central bank.

Rahmon's political standing has already been undermined in the two key foreign capitals where he has counted on support - in Oslo, Norway, and in Washington, DC. Despite lobbying by Hydro executives for an official visit by Rahmon to Norway, the Foreign Ministry in Oslo has refused point-blank. US sources in Washington say they "are not currently planning for a presidential visit to the United States".

In London, which is also headquarters of the EBRD, the High Court has already ruled against the Rahmon-appointed management of the aluminum plant. According to Justice Morison of the High Court's Queens Bench Division, in an opinion dated May 18, 2006, Talco/TadAZ "are not the victims of fraud, they have been the perpetrators of it in this litigation. [Talco] has been involved in deliberate attempts to mislead the [Arbitration] Tribunal and have committed acts which in this jurisdiction are serious crimes [forgery and attempting to gain a pecuniary advantage by fraud]."

What Hydro executives have gained from their contracts with the aluminum plant and the BVI companies will be explained by Saduloev, if he finally testifies. If he is dead, or on the run, when the case finally comes to trial, Hydro's potential vulnerability is considerable.

With 1.2 billion shares on public issue, worth currently 95 billion Norwegian krone (US$18 billion), Hydro's share price has been on a rollercoaster since last November. It hit a low of 47.94 krone in January, and then recovered to a high of 87.70 krone in May. It has been falling since then.

Hydro spokesman Halvor Molland has told Asia Times Online: "Hydro has a zero tolerance towards corruption and we are following Hydro's guidelines in all parts of the world where we are doing business. We have spent a lot of time discussing issues concerning transparency and corporate governance [in Tajikistan] with the World Bank and EBRD and other NGOs [non-governmental organizations]."

John Helmer has been a Moscow-based correspondent since 1989, specializing in the coverage of Russian business.

(Copyright 2008 Asia Times Online (Holdings) Ltd. All rights reserved. Please contact us about sales, syndication and republishing.)

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