Lebanon Indicts Salameh in Financial Crimes Case

A Lebanese judge on Monday indicted former Central Bank Governor Riad Salameh and former Bank Audi CEO Samir Hanna on financial crime charges, including embezzlement and illicit enrichment. Salameh, who led the central bank for three decades, has been embroiled in several scandals but has long denied wrongdoing.

According to a judicial source, the case involves the alleged embezzlement of tens of millions of dollars and accusations that Hanna paid bribes to Salameh. It is the first case related to the former governor in which a representative of Lebanon’s private banking sector has also been charged.

Swiss organization Accountability Now said the allegations involve the embezzlement of $154m in 2010 and $102m in 2012.

The transactions were allegedly carried out through four companies in the Cayman Islands. The current central bank governor, Karim Souaid, confirmed that the bank had previously filed a criminal complaint over the alleged misuse of public funds.

Salameh is currently under medical supervision at a hospital near Beirut and was taken into custody after failing to appear at a hearing. Hanna, 88, posted $1m bail and remains free pending trial.

Salameh was released last year after 13 months in custody on record bail of more than $14m. He faces prosecution in Lebanon as well as investigations abroad, including in France, Switzerland and Germany.

(Reuters, Max)