by reuters — BEIRUT — Raja Salameh, the brother of the head of Lebanon’s central bank, was arrested on Thursday following his interrogation at a court house east of Beirut, judge Ghada Aoun told Reuters. A judicial source separately said that Aoun had charged Salameh with “complicity in illicit enrichment” that also involved his brother, central bank governor Riad Salameh. Riad Salameh has not been charged with a crime and has denied all accusations against him. He did not immediately respond to a request for comment. Reuters could not immediately reach legal representatives for his brother for comment.
by arabnews.com — Najia Houssari — BEIRUT: A Lebanese judge has issued a travel ban against Creditbank Chairman Tarek Khalife and frozen the bank’s assets, including properties and vehicles, as part of an investigation into alleged money laundering. Mount Lebanon Public Prosecutor Judge Ghada Aoun issued the order after activists filed a lawsuit against several Lebanese banks. Creditbank is the sixth lender Aoun has taken action against after Bank of Beirut, SGBL, Bankmed, Bank Audi and Blom Bank. It is the second judicial measure taken within 24 hours against banks in Lebanon.
Earlier, Judge Miriana Anani, head of the Enforcement Department in Beirut, seized all the shares, properties and assets of one of Lebanon’s largest banks, Fransabank. The assets will be auctioned if the bank fails to return a deposit belonging to Ayad Garbawy Ibrahim, an Egyptian national who is among hundreds of depositors unable to access his funds at Fransabank. Ibrahim is taking legal action against the bank to recover the $35,000 he claims is owing. Judge Aoun on Thursday also issued an arrest warrant for Raja Salameh, brother of the governor of the central bank, Riad Salameh, following an investigation. The Pioneers of Truth activist group said that Salameh had been arrested on the basis of a complaint it filed 10 days ago accusing him of money laundering through fake companies.
The judicial proceedings have angered the banking sector, and the Association of Banks is expected to discuss strike action at a general assembly on Friday. Prime Minister Najib Mikati described the judges’ decisions as “arbitrary and irrational judicial proceedings.” “With all due respect to the judiciary, there is a general impression that some of what is happening does not conform with the judicial norms,” he said. “The rights of depositors are our priority. However, the exaggerated way through which the judicial rights and issues related to banks are being tackled is dangerous and could undermine the remaining confidence in the banking system.” Mikati said: “The depositors will, once again, pay the price, and I am afraid things will escalate if defects are not addressed.”