Armies of Liberation

Jane Novak's blog about Yemen

Yemen’s institutional revolution hits oil sector

Filed under: Corruption, Oil — by Jane Novak at 10:33 am on Thursday, March 8, 2012

Its too bad no body is seizing assets as this guy likely has uber bucks abroad. The National Petroleum Company is only a year old; it used to be the state owned Safer Oil Co. which was abruptly dissolved last March as protests spread, likely to give the books a new start and hide evidence of mass smuggling, embezzlement. ( Safer took over Block 18 , the big one, in 2005 after Yemen failed to renew the long standing license for Hunt Oil.)

Although books begin in 2011, corrupt institutional practices (like beating employees) remained. The reason for the institutional revolution is not only the upper management withholding (stealing) workers salaries but quite frequently beating and imprisoning employees. Most ministries have “private prisons” including the Endowments Ministry.

Yemen also needs good labor unions but with hyper-politicization, corrupt Sanaa regime loyalists are management, and the state often “cloned” the workers unions with a regime created look-alike.

Yemen Post Director of the Yemeni Petroleum Company Omar Al-Arhabi has resigned following a wave of protests organized by the company’s employees.

They accused Al-Arhabi of standing behind assaults against some of the employees who headed to the cabinet demanding the resignation of Al-Arhabi.

They said Al-Arhabi was involved in corruption issues and looting of the company’s assets, threatening to carry out an inclusive strike from March 16th if a new director is not appointed.
Al-Arhabi attributed his resignation to health reasons that forced him to resign.
In a resignation letter presented to President Abdu Rabo Mansour Hadi, Al-Arhabi said he did best to maintain and develop the company and its employees, indicating that he could provid the oil derivatives during the political crisis that hit the country in 2011.
A committee presided over by the State Minister Jawhra Hamoud along with ten representatives of the financial and oil ministries was formed with the aim of resolving the problems of the company and its employees.
Media sources revealed that Al-Arhabi had left the country after two days of his resignation.
Some employees of the company cited that they were interrupted by armed men affiliated with Al-Arhabi they prevented them from heading to the cabinet to sit in.
Well-informed sources said that the government accepted the resignation of Al-Arhabi and tasked the Oil Minister Hisham Sharaf to appoint a new director.
What is recently known as the institution revolution hit many public authorities and resulted in the ouster of tens of corrupt officials in Yemen, as employees and students insisted on firing them.
Several military and security units demanded the removal of officers accused of corruption or involvement in the deadly crackdown on protesters.

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