Lebanon’s Salameh to Remain in Detention until Hearing Is Scheduled, Sources Say

Riad Salameh Governor of the Lebanese Central Bank speaks during a press conference in Beirut, Lebanon, 11 November 2019. (EPA)
Riad Salameh Governor of the Lebanese Central Bank speaks during a press conference in Beirut, Lebanon, 11 November 2019. (EPA)
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Lebanon’s Salameh to Remain in Detention until Hearing Is Scheduled, Sources Say

Riad Salameh Governor of the Lebanese Central Bank speaks during a press conference in Beirut, Lebanon, 11 November 2019. (EPA)
Riad Salameh Governor of the Lebanese Central Bank speaks during a press conference in Beirut, Lebanon, 11 November 2019. (EPA)

Former Lebanese central bank chief Riad Salameh, who was arrested on Tuesday over alleged financial crimes, will remain in detention at least until a hearing is scheduled, likely next week, two judicial sources told Reuters on Wednesday.

After the hearing, the presiding judge can decide whether to keep Salameh in detention, the sources said, adding that no decision had yet been taken. One of them said the judge was expected to schedule a hearing for early next week.

Reuters could not immediately reach a lawyer for Salameh.

Salameh, 73, was the bank governor for 30 years but his final years were marred by the collapse of Lebanon's financial system along with charges of financial crimes, including illicit enrichment through public funds, by authorities in Lebanon and several Western countries.

The state-owned National News Agency said prosecutor Ali Ibrahim, to whom the case was referred by public prosecutor Jamal al-Hajjar on Wednesday, charged Salameh with "embezzlement, theft of public funds, forgery, and illicit enrichment", before referring the case to investigating judge Bilal Halawi, who will set the date for the hearing.

Two judicial sources told Reuters on Tuesday that Salameh had been held on charges of accruing more than $110 million via financial crimes involving Optimum Invest, a Lebanese firm that offers income brokerage services.

The authorities have not published the charges against him.

Neither Salameh nor his lawyer responded to requests for comment on Tuesday. Salameh has previously denied all accusations of financial crimes.

Tuesday's charges are separate from previous charges of financial crimes linked to Forry Associates, a company controlled by Salameh's brother, Raja. The brothers - who deny any wrongdoing - were accused of using Forry to divert $330 million in public funds through commissions.



Oil Tanker Loading Crude at Libya’s Brega Port, Engineers Say

 A view of pipelines and a loading berth of the Marsa al Hariga oil port in the city of Tobruk, east of Tripoli, Libya, Aug. 20, 2013. (Reuters)
A view of pipelines and a loading berth of the Marsa al Hariga oil port in the city of Tobruk, east of Tripoli, Libya, Aug. 20, 2013. (Reuters)
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Oil Tanker Loading Crude at Libya’s Brega Port, Engineers Say

 A view of pipelines and a loading berth of the Marsa al Hariga oil port in the city of Tobruk, east of Tripoli, Libya, Aug. 20, 2013. (Reuters)
A view of pipelines and a loading berth of the Marsa al Hariga oil port in the city of Tobruk, east of Tripoli, Libya, Aug. 20, 2013. (Reuters)

The 600,000-barrel oil tanker Front Jaguar was loading at Libya's Brega port on Wednesday, engineers told Reuters and Kpler data showed, despite a blockade that has halted other exports.

The tanker was permitted to load oil from storage after exports had been halted at major Libyan ports, the engineers said, without giving further details.

Crude exports at major Libyan ports have been shut for nearly a week and oil output has plummeted since eastern authorities in the divided country ordered a shutdown to all oil production on Aug. 26.

The eastern authorities' declaration was in response to western factions moving to oust veteran Central Bank of Libya (CBL) Governor Sadiq al-Kabir and replace him with a rival board.

Libya's two legislative chambers said on Tuesday they had agreed a mechanism for resolving the dispute over control of the CBL, which receives revenue from Libya's oil exports, the vast bulk of the national wealth.

Crude exports remained halted at Zueitina port on Wednesday but the 5,000 tons-capacity tanker Gaz United was expected to arrive there on Thursday to load propane, engineers there told Reuters on Wednesday.

The crisis over control of the CBL threatens to spiral and could end a four-year period of relative peace in the major oil exporter long split between factions in its east and west.

The National Oil Corporation, which controls Libya's oil resources, declared force majeure at the 70,000 barrels per day El Feel oilfield on Monday. Reuters had reported last week that output was halted there.

NOC said on Aug. 28 that total oil output dropped by more than half from typical levels to just over 590,000 bpd. It was not immediately clear where current production stood.

Reuters reported on Saturday that Libya's Sarir, Messla and Nafoura oilfields had been ordered to resume production by their operator, Arabian Gulf Oil Company, an NOC subsidiary.

About 150,000 barrels per day of output from Sarir and Messla was arriving at Hariga port for local consumption, while any excess was being stored, engineers at the fields said on Wednesday.