France issues arrest warrant against head of Lebanon’s Central Bank

An arrest warrant was issued in Paris against the governor of Lebanon’s central bank after he failed to appear before French investigators for questioning over corruption and money-laundering allegations.

French prosecutors and an investigating magistrate are probing Riyad Salameh, along with his brother and a close aide, on allegations that he illegally enriched himself and laundered hundreds of millions of dollars of public money for personal gain.

Once revered as a financial expert who stabilized Lebanon’s precarious finances through years of instability, the 30-year Banque du Liban veteran has been the subject of intense scrutiny since Lebanon’s financial collapse in 2019, which Three-quarters of the population were thrown into poverty.

Salameh, 72, is under investigation in Lebanon and at least five European countries for alleged financial crimes, but still enjoys the support of many of Lebanon’s powerful political leaders.

Salameh and his brother Raja Salameh have strongly denied the allegations against them. Salameh has repeatedly stressed that his personal wealth stems from his previous job as an investment banker, as well as family inheritances.

A person related to the French investigation said that the arrest warrant issued in France will be publicized abroad. But it was unlikely to be acted upon in Lebanon.

Salameh’s French lawyer Pierre-Olivier Sur asked the summons to appear to be “invalid” because it was sent 10 days before the scheduled hearing.

Salameh said in a statement that the arrest warrant was “in violation of the laws” and that he would appeal against the decision. He also accused French investigating judge Aude Buresse of “judgment based on double standards”.

During a preliminary hearing scheduled for Tuesday, French investigators were set to question Salameh to determine whether there was enough evidence to justify filing preliminary charges against him. Since he was not present, they were not able to make such a determination, the person close to the investigation said, but they may file preliminary charges in absentia at the end of the investigation, if appropriate.

The arrest warrant could complicate Salameh’s tenure as governor. His current term ends in July and he has publicly stated that he plans to step down, despite no clear plans for his succession. With widespread debate over whether a caretaker government with limited powers could appoint his replacement, some political leaders are privately discussing the possibility of extending Salameh’s term.

Last month, a judge in Lebanon lifted a travel ban placed on Salameh during his investigation. But it was widely believed that he would not travel to France, for fear that he might be detained there.

European investigators, including from France, have visited Lebanon several times this year to question Salameh and dozens of others in connection with state corruption allegations.

The European investigation stems from a Swiss investigation that was launched more than two years ago. Swiss authorities suspect Salameh and his brother Raja of embezzling more than $300 million from the central bank from 2002-2015, according to a letter from the Swiss attorney-general’s office requesting legal assistance from Lebanese authorities. November 2020.

Swiss investigators alleged that the offshore company, Fori Associates, was controlled by King, with over $300 million then funneled from Fori into Swiss bank accounts controlled by the two brothers. Both Riyadh and Raja Salameh have denied wrongdoing.

In March 2022, assets worth more than $130 million related to the investigation were frozen by Eurojust, citing ongoing investigations in Luxembourg, France and Germany. Salameh has appealed against the verdict.

A second person familiar with Salameh’s case said that lawyers had filed a request with Lebanese courts to suspend the European investigation until Lebanon’s own investigation was completed, arguing that parallel The European Inquisition undermined Lebanon’s judicial sovereignty. In February, Beirut’s public prosecutor brought preliminary charges against Salameh, his brother and the head of Salameh’s central bank executive office.

Last week, a high-profile Lebanese judge who was leading the investigation into Salameh was removed from office.

An arrest warrant was issued in Paris against the governor of Lebanon’s central bank after he failed to appear before French investigators for questioning over corruption and money-laundering allegations.

French prosecutors and an investigating magistrate are probing Riyad Salameh, along with his brother and a close aide, on allegations that he illegally enriched himself and laundered hundreds of millions of dollars of public money for personal gain.

Once revered as a financial expert who stabilized Lebanon’s precarious finances through years of instability, the 30-year Banque du Liban veteran has been the subject of intense scrutiny since Lebanon’s financial collapse in 2019, which Three-quarters of the population were thrown into poverty.

Salameh, 72, is under investigation in Lebanon and at least five European countries for alleged financial crimes, but still enjoys the support of many of Lebanon’s powerful political leaders.

Salameh and his brother Raja Salameh have strongly denied the allegations against them. Salameh has repeatedly stressed that his personal wealth stems from his previous job as an investment banker, as well as family inheritances.

A person related to the French investigation said that the arrest warrant issued in France will be publicized abroad. But it was unlikely to be acted upon in Lebanon.

Salameh’s French lawyer Pierre-Olivier Sur asked the summons to appear to be “invalid” because it was sent 10 days before the scheduled hearing.

Salameh said in a statement that the arrest warrant was “in violation of the laws” and that he would appeal against the decision. He also accused French investigating judge Aude Buresse of “judgment based on double standards”.

During a preliminary hearing scheduled for Tuesday, French investigators were set to question Salameh to determine whether there was enough evidence to justify filing preliminary charges against him. Since he was not present, they were not able to make such a determination, the person close to the investigation said, but they may file preliminary charges in absentia at the end of the investigation, if appropriate.

The arrest warrant could complicate Salameh’s tenure as governor. His current term ends in July and he has publicly stated that he plans to step down, despite no clear plans for his succession. With widespread debate over whether a caretaker government with limited powers could appoint his replacement, some political leaders are privately discussing the possibility of extending Salameh’s term.

Last month, a judge in Lebanon lifted a travel ban placed on Salameh during his investigation. But it was widely believed that he would not travel to France, for fear that he might be detained there.

European investigators, including from France, have visited Lebanon several times this year to question Salameh and dozens of others in connection with state corruption allegations.

The European investigation stems from a Swiss investigation that was launched more than two years ago. Swiss authorities suspect Salameh and his brother Raja of embezzling more than $300 million from the central bank from 2002-2015, according to a letter from the Swiss attorney-general’s office requesting legal assistance from Lebanese authorities. November 2020.

Swiss investigators alleged that the offshore company, Fori Associates, was controlled by King, with over $300 million then funneled from Fori into Swiss bank accounts controlled by the two brothers. Both Riyadh and Raja Salameh have denied wrongdoing.

In March 2022, assets worth more than $130 million related to the investigation were frozen by Eurojust, citing ongoing investigations in Luxembourg, France and Germany. Salameh has appealed against the verdict.

A second person familiar with Salameh’s case said that lawyers had filed a request with Lebanese courts to suspend the European investigation until Lebanon’s own investigation was completed, arguing that parallel The European Inquisition undermined Lebanon’s judicial sovereignty. In February, Beirut’s public prosecutor brought preliminary charges against Salameh, his brother and the head of Salameh’s central bank executive office.

Last week, a high-profile Lebanese judge who was leading the investigation into Salameh was removed from office.