Marianne Hoayek, a senior adviser at Lebanon’s Central Bank and a former assistant to Governor Riad Salameh, has been indicted for money laundering as part of an investigation into the alleged embezzlement of more than $330 million.
She was also indicted for criminal conspiracy and placed under judicial supervision with a prohibition on contact and exercising at the central bank, and an obligation to pay a bail of €1.5 million after her hearing before a judge in France on Friday.
Ms Hoayek, 43, is suspected of having received funds embezzled from Lebanon’s Central Bankthrough Forry Associates, a company owned by Riad Salameh’s brother, Raja Salameh. He is suspected of playing a pivotal role in an alleged money laundering scheme within the central bank.
Investigators suspect Forry was created to siphon money by taking a 0.38 per cent commission from the Bank of Lebanon each time it bought instruments, including certificates of deposit, Eurobonds and Treasury bills, without performing any services in exchange
The money was then used to purchase expensive property in Europe, including Germany, France and Belgium, and the UK belonging to the governor and his relatives.
“Marianne Hoayek contests these accusations and will provide proof that these funds came mainly from donations from her father,” her lawyer Mario Stasi told AFP. Ms Hoayek’s late father was a wealthy businessman.
According to a leaked request for assistance from Swiss investigators to the Lebanese judiciary in 2021, Ms Hoayek is suspected of having received at least $1.1 million from Forry through her company, Rise Invest SA, between 2008 and 2013.
Switzerland is one of six European countries, along with France, investigating transactions related to the alleged embezzlement from the central bank.
In March 2022, authorities in France, Germany, and Luxembourg seized assets worth €120 million ($130 million) related to Mr Salameh as part of co-ordinated operation.
This is the third indictment in the French investigation into the governor since the case was entrusted to Judge Aude Buresi in 2021.
In March, Marwan Kheireddine, chief executive of Lebanese bank Al Mawarid, was indicted in Paris for the same charges. He is suspected of having falsified bank documents to account for Riad Salameh’s wealth.
In July 2022, Anna Kosakova, 46, the romantic partner of Riad Salameh, was also indicted for criminal conspiracy, organised money laundering and aggravated tax fraud.
Once praised as the guardian of the financial sector, Mr Salameh, 72, is now facing growing accusations over the country’s financial collapse.
He has denied any wrongdoing.
He said he accumulated his fortune when working for US investment bank Merrill Lynch before assuming the role of governor at the central bank in 1993.
The French and German judiciaries have issued arrest warrants for Riad Salameh over accusations including money laundering and fraud, which led to Interpol issuing a Red Notice in May.
He was then questioned by a Lebanese judge in Beirut, who confiscated his French and Lebanese passports and banned him from leaving the country, without making a decision regarding his potential removal from office.
Mr Salameh continues to serve as the governor of the central bank until his mandate expires at the end of July 2023,
Ponzi Scheme
Following the 2019–20 Lebanese protests, the Banque du Liban deposits declined by $31bn in one year, and the loan portfolio of lenders fell by $18bn, thus putting the country in its first financial crisis in three decades. T salameh , who has benefitted from an aura of prestige during 30 years, often referred to as the “magician” of finance, was, since March 2020, associated with this financial crisis by several opinions pages . According to them, Riad created a Ponzi scheme which has lasted for 30 years and which has led the State into bankruptcy and the national currency fall . French president Emmanuel Macron made the same comparison, calling for more transparency in the Lebanese financial system
The governor answered those allegations that “the interest rates paid in Lebanon were lower than those paid in Egypt and Turkey.” Also, he believes that he is “taken as a scapegoat.”
Sources: National / AFP/ News Agencies
Leave a Reply
You must be logged in to post a comment.