Feral Jundi

Monday, January 24, 2011

Industry Talk: Security Firms Are The Target Of A Corrupt Afghan Government Once Again

“The lack of transparency makes it very difficult to operate effectively: The rules change every day depending on which department you are talking to,” said a second executive with one of the security firms, who spoke on the condition of anonymity. “We’ve heard of companies being pulled up on everything from taxes to vehicle registrations to visas.”

     What can I say? This Afghan government is corrupt and greedy, and is doing all they can to juice this industry and the US.  From the taxation game to this crap, what’s next?

     One funny side note is that Xe was not on this latest list.  I guess they win for the moment. lol –Matt

Security firms are accused of breaking Afghan laws

By Joshua Partlow and Rajiv ChandrasekaranSunday, January 23, 2011

KABUL – The Afghan government has accused several prominent private security companies, including some that work with the U.S. government, of committing “major offenses,” a move that U.S. officials fear could hasten their departure from the country.

A list compiled by Afghan officials cites 16 companies, including several American and British firms, for unspecified serious violations and seven others for having links to high-ranking Afghan officials, according to a copy obtained by The Washington Post.

A decision to ban the major violators and those that have relationships with senior Afghan officials would affect firms that provide about 800 guards for the U.S. Agency for International Development projects and about 3,000 who work on military construction projects for the coalition, said a senior U.S. official.

“We’re wringing our hands over this,” the official said, speaking on the condition of anonymity because of the sensitivity of the issue. “We’re waiting to hear which companies will get disbandment notices and when they will have to disband.”

Among those listed as major offenders are Triple Canopy, based in Reston; Washington-based Blue Hackle; and the British firm G4S, the parent company of ArmorGroup North America, which provides security for the U.S. Embassy in Kabul.

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Friday, January 21, 2011

Logistics: SKA Air & Logistics And Somalia

“The line between disorder and order lies in logistics…”- Sun Tzu 

     I have had the opportunity to see SKA Air and Logistics in action in Iraq as have many contractors, and these guys have been busy.  They provide a very unique capability that involves setting up logistics and air services in war zones.  They are doing it in places like Iraq and Afghanistan, and they are also trying to do this in Somalia.

     So why am I bringing these folks up now?  Well with all of the news of Saracen International in Somalia, or Erik Prince’s supposed involvement, to me the other interesting story that everyone is missing is the logistics side of this operation. That SKA was listed along with Saracen International for contracts in Somalia. Talk about a tough contract?

    Below I have listed as many stories as I could find about SKA and their recent dealings in Somalia.  From what I can gather, they had a contract to modernize the airport in Mogadishu and to modernize and manage the seaport. (a boat with all of their stuff and tools is in an Oman port as we speak) These two key logistics hubs are absolutely vital for any kind of future development in that country.  They are also vital to any stability operations or anti-piracy operations.

     What is also interesting about this contract, as with the Saracen contract, is that there is some heart ache within the ever changing government of the TFG in Somalia as to the particulars of the contracts. If the contracts were signed under different political leadership, then all sorts of issues pop up.  Of course the corrupt aspects of this ever evolving government want to ensure they get paid or get a cut of the action.  Then there are the warlords that currently manage or have control over the airport or seaports. Then there is Al Shabab and the Islamists and their influence on the situation. All of these forces add extreme complexity to establishing a contract and the services that go with.  But that is what SKA gets when dealing with a failed state and an active war zone. Like I said, this will be a very challenging contract to fulfill.

     As for jobs, if you check out their career section they have one position available for work at the seaport in Mogadishu. No word about guard contracts. From the website, SKA used Fijians as guards in Iraq. Who knows, maybe Saracen is involved with that aspect of the contract? I would speculate though that whatever company is used for guard services, the force would be a mix of local guard forces and the standard expat management.  Hopefully someone from the company can pop up and fill in the blanks.

     On a side note, oil exploration is ramping up in Puntland. One of my readers pointed this out to me and I thought this was an interesting tie in with the anti-piracy initiatives Saracen International has signed onto in that region. Are they connected, who knows, but these oil companies do benefit from a stable and secure Somalia. –Matt

Somalia: Nation Hands Over Mogadishu Airport to Foreign Company

SKA Air & Logistics to manage Aden-Adde International airport

Somalia: SKA Air And Logistics Denies It Takes Over Mogadishu Airport

Mogadishu port dispute

 

Welcome to SKA Air & Logistics

SKA Air & Logistics is a world-class provider of aviation services and logistics. The teams that currently make up SKA have been operating in Iraq since 2003 and are now expanding the operations in Kuwait, the UAE, Afghanistan and the African Continent. Our diverse capabilities include a wide range of Aviation Services, Ground Logistics, Life Support, Fuel Supply Chain Management, Camp Construction, and Security Services. We specialize in moving people and equipment smoothly and safely in challenging environments. We pride ourselves on combining unique solutions with unrivaled service helping you achieve your goals in the most difficult environments   and our motto, “Doing Difficult Jobs in Difficult Places.” is not just a marketing slogan it is a matter of proven historical record.

Security

SKA Air & Logistics operates its own Security Force to ensure the security of all our installations, aircraft, staff and cargo. Chosen for their robustness, loyalty and unblemished record of service, the SKA Security Force is managed by former British and US military personnel and we currently operate security teams comprising of former Fijian Military staff. At the higher level we have members of senior management with extensive experience of military operations and the international security industry. Our security services include:

Asset Protection

Emergency & Contingency planning

Full Logistical & Administrative Security

Cash in Transit Services

Aviation flight Security

Static Guard Force

(more…)

Cool Stuff: CSIS Debate–Doug Brooks Vs. TX Hammes On The Benefits Of Using Armed Contractors

Thursday, January 20, 2011

Industry Talk: The Booming Private Security Industries Of Pakistan And India

     Below I have posted two snapshots of the private security industries in Pakistan and India. In a nutshell, those industries are exploding with growth. In Pakistan, terrorism is the driver of this increase. In India it is a combination of economic expansion along with terrorism as the drivers.

     Of course Pakistan and India are very mistrustful of one another, and there is also the growth of their defense industries to meet the needs of their militaries. Interesting stuff and definitely an area to keep a watch on. –Matt

Boom in Pakistan’s private security industry

January 18, 2011

Pakistan’s deteriorating  law and order has led to a boom in the private security industry in the country. Companies are investing millions of dollars to train and update their security operations.

 An estimated 30,000 private security guards have found employment with 400 private security agencies that have sprung up in Pakistan in recent years. These guards are paid about ten thousand Pakistani rupees a month… well above the minimum wage of six thousand.

Specialist security guards and bodyguards make around 25 thousand rupees.

Training includes special focus on the deadliest of enemies, the suicide bomber. Iqbal Mahmood, the trainer at Security 2000 explains how to look for one. “If someone is draped in white dress, particularly resembling a white shroud is a sign that the person has come ready to die. This is usually the first sign, secondly when the body looks a bit out of proportions; particularly the chest is raised higher than a normal human being is another give away sign that this person might be a suicide bomber,” says Mahmood.

The security industry in Pakistan is worth around 60 million dollars a year. Visit any luxury hotel in Pakistan and you’ll see where the money is being spent.

Zahid Shah, Security Manager at Pearl Continental Hotel says, “We have tried to maintain and standardise our security arrangements by beefing up this location with various kinds of systems, there can be hydraulic blockers, there are electronic barriers, there are sniffer dogs, besides of course the manual arrangements which is comprising of the security guards and the supervisors that we have.”

Story here.

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Booming private security agencies seek PE funding

Paramita Chatterjee & Pramugdha Mamgain

18 Jan, 2011

As rapid economic expansion creates a booming market for private security services, small and mid-sized companies in the sector are seeking risk capital infusion to further expansion plans. Growing public infrastructure in the form of roads, airports, shopping malls and commercial complexes has triggered a boom in the market for security services that is expected to grow five-fold to reach a size of 30,000 crore by 2015.

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Monday, January 17, 2011

Industry Talk: Afghanistan’s Push To Tax US Contractors Could Renew Tensions

     “DOD and State and the primes are telling them ‘No, you’re subs, don’t pay taxes??” the company official said. But “the Afghan government has become so hard to work with on so many fronts that I’m not sure whether this issue is still in the embassy’s top ten list of things.”

     Another contracting executive said there was “tension in the embassy” between those officials who work on helping the Afghan government collect more revenue so it can pay its own way, and those “responsible for working on behalf of U.S. business.”

     “We know we’re going to have to pay at least $8 billion to $10 billion a year for the next 10 years to keep these guys running,” the executive said. “The International Monetary Fund and the World Bank are putting heat on the government to create a tax base. Some of the biggest cash flow into the country is Western aid.”

     This is interesting.  You have two forces at play here.  There is the IMF and World Bank who want Afghanistan to have a tax base, and you have the US that is supposed to protect US business from being taxed.

     My view on it is that Afghanistan benefits from this western aid because their main goal is to get that country on it’s feet. Taxing these aid providing companies is wrong, and I certainly hope the US embassy will work to protect American companies from these blood suckers. –Matt

Afghanistan’s push to tax U.S. contractors could renew tensions

By Karen DeYoung and Joshua PartlowSunday, January 16, 2011

The Afghan government is ramping up efforts to tax U.S. contractors operating there – an effort that could raise millions for the cash-strapped government but could also provoke fresh confrontation with the United States, according to U.S. and Afghan officials.

Taxation of U.S. government assistance is barred by U.S. law, as well as by a number of bilateral accords between Afghanistan and the United States. But the wording in the documents is vague, and the two governments disagree on what “tax-exempt” means.

Non-Afghan contractors who have recently received tax bills for work done under U.S. government programs say they have appealed to the Defense and State departments to clarify the matter with the Afghans. But they have been told simply to ignore the bills and “stand up for our rights,” said one official of an American company that has multiple U.S defense contracts in Afghanistan.

(more…)

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