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Submitted by ctv_en_6 on Thu, 09/09/2010 - 09:39
Afghan security forces used batons on unruly customers scrambling to withdraw their savings on September 8 from a branch of the graft-hit Kabulbank, the country's biggest private financial institution.

Kabulbank's troubles have threatened to add a financial crisis to Afghanistan's other woes, with military and civilian casualties at record levels as a Taliban-led insurgency grows and ahead of parliamentary elections on September 18.

Officers from the National Security Directorate struggled to maintain control of up to 200 people outside one branch in the capital as desperate customers tried to take out money ahead of a three-day Muslim holiday.

The crisis developed after the company's top two directors resigned amid unproven media allegations of corruption.

The central bank on September 6 ordered the assets of Kabulbank's former chairman Sher Khan Farnood and chief executive officer Khalilullah Fruzi to be frozen, together with those of several other shareholders and major borrowers, pending an inquiry.

Afghan President Hamid Karzai's spokesman promised the bank's customers their savings were safe and told them to be calm.

VOVNews/Reuters

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