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8. (C) Hoseah then turned to his concerns regarding Tanzania's anti-corruption struggle. He noted that President

Kikwete does not appear comfortable letting the law handle corruption cases which might implicate top level officials.

According to Hoseah, President Kikwete is hesitant to pursue cases which may implicate XXXXXXXXXXXX.

9. (C) Referring to the widespread rumors of corruption within the Bank of Tanzania (Ref B), Hoseah remarked that

XXXXXXXXXXXX In Hoseah's view, Kikwete's recent appointment of three new deputy BOT governors was XXXXXXXXXXXX. The DCM remarked that XXXXXXXXXXXX responses to allegations

XXXXXXXXXXXX were opaque and even projected a sense of impunity. "Your perception is correct," Hoseah responded, adding, "there is a sense of impunity with XXXXXXXXXXXX because he and XXXXXXXXXXXX are so closely intertwined. Kikwete would find it very difficult to fire him."

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