Lebanese Judge Orders Asset Freezes for Individuals Tied to Major Banks

FILE PHOTO: A view of Lebanon's Central Bank building in Beirut, Lebanon April 23, 2020. REUTERS/Mohamed Azakir/File Photo
FILE PHOTO: A view of Lebanon's Central Bank building in Beirut, Lebanon April 23, 2020. REUTERS/Mohamed Azakir/File Photo
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Lebanese Judge Orders Asset Freezes for Individuals Tied to Major Banks

FILE PHOTO: A view of Lebanon's Central Bank building in Beirut, Lebanon April 23, 2020. REUTERS/Mohamed Azakir/File Photo
FILE PHOTO: A view of Lebanon's Central Bank building in Beirut, Lebanon April 23, 2020. REUTERS/Mohamed Azakir/File Photo

A Lebanese judge has ordered a protective freeze of some properties and company stakes of 14 individuals with links to some of Lebanon’s biggest banks, a move the lenders said could further isolate them from international financial networks.

The asset freezes, listed in a judicial document seen by Reuters, are part of a legal complaint lodged by lawyers belonging to a civil society group on behalf of Lebanese depositors.

Lebanon’s banks were once among the world’s more profitable lenders, funneling funds from a scattered diaspora into state coffers in return for high interest rates. But as Lebanon’s economic meltdown gathered pace and dollar remittaces dried up, the financial system was starved of funding.

The complaint accuses local banks, which have frozen customers out of their deposits and blocked them from transferring cash abroad since the crisis erupted in late 2019, of crimes including negligence and fraud.

Lenders have denied any wrongdoing and have repeatedly said that customers’ deposits are safe.

“The Lebanese banks, the majority of them, have taken over the deposits of their customers and then against the law lent these deposits to the government and to the central bank, which spent it on their international commitments and on salaries,” Hasan Bazy, one of the lawyers who brought the case forward, told Reuters, adding that more complaints would be forthcoming.

“These banks and their managers have assets in companies and have real estate and we wanted these to be blocked so that they can be used as a guarantee for the money of depositors in case it can’t be retrieved.”

A judicial source confirmed the judge’s decision, which can still be appealed by the individuals in question after they have been legally informed of the decision.

In response to the judge’s order, the Association of Lebanese Banks said it respected judicial authority but that such decisions could push more foreign correspondent banks to curtail their business relations with Lebanon’s financial system.

“The constant attack on banks and bankers is not the ideal way to get deposits back, which we assure are safe,” the association said in a statement.

Lebanon’s central bank governor Riad Salameh warned last month about the loss of correspondant banking relations in a letter to the public prosecutor.

But Bazy said more legal complaints would soon follow: “This is the first in a series of cases we plan to file, ultimately targeting around 70 banks.”



Carney Vows to Transform Canada Economy to Withstand Trump

Canada's Prime Minister Mark Carney speaks at a press conference in Ottawa, Ontario, on May 2, 2025 - AFP
Canada's Prime Minister Mark Carney speaks at a press conference in Ottawa, Ontario, on May 2, 2025 - AFP
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Carney Vows to Transform Canada Economy to Withstand Trump

Canada's Prime Minister Mark Carney speaks at a press conference in Ottawa, Ontario, on May 2, 2025 - AFP
Canada's Prime Minister Mark Carney speaks at a press conference in Ottawa, Ontario, on May 2, 2025 - AFP

Prime Minister Mark Carney promised Friday to oversee the biggest transformation of Canada's economy since the end of the Second World War to enable it to "stand up" to Donald Trump.

Carney led the Liberal Party to a dramatic fourth mandate in elections on Monday after a campaign focused on the US president's threats to Canada's economy and sovereignty.

Liberals fell just short of the 172 seats needed for majority control of parliament, but with 169 confirmed wins they will be in a strong position to pass legislation. Recounts in two closely contested electoral districts saw the party lose a seat in Quebec province but gain another in Ontario.

At his first press conference since his victory, Carney struck a determined note.

Known for weighing his words carefully, he said that he was "in politics to do great things, not to be something."

"And now that Canadians have honored me with a mandate to bring about big changes quickly, I will work relentlessly to fulfill that trust," he said.

Canada's strained relations with the United States -- historically, its close ally and biggest trading partner -- was among his "immediate priorities," he said, announcing a trip to Washington next Tuesday to meet with Trump on trade and security issues.

Canadians elected him "to stand up to President Trump," he said, adding that he will act "with focus and determination."

"Our focus will be on both immediate trade pressures and the broader future economic and security relationship between our two sovereign nations," said Carney.

But he warned also not to expect any "white smoke" from their first meeting signaling a sudden breakthrough.

Carney reiterated his message from the campaign that he believes the old relationship between the two North American neighbors "based on steadily increasing integration is over."

"The questions now are how our nations will cooperate in the future," he said.

Trump "respects strength," he added, explaining that this was why he was preparing the country for major changes including a massive build-up of infrastructure and new housing.

The Conservatives, the main opposition party, as well as the Bloc Quebecois, the third-largest party in Parliament, both called for unity after the elections to fight US levies including on the automotive and steel sectors.

Carney, who previously headed the Bank of Canada and the Bank of England, promised to maintain counter-tariffs on American products as long as Washington's measures were in place.

"This will be an incredibly exciting time as we take control of our economic destiny to create a new Canadian economy," Carney said.

To this end, he promised to abolish existing trade barriers between Canadian provinces by July 1 to expand the economy, and to strengthen trade with "reliable allies."

"Canada has what the world needs, and we uphold the values the world respects," he said.