Lebanese authorities on Wednesday charged the country's embattled former central bank governor with the embezzlement of $42 million, according to three judicial officials.
Riad Salameh, 73, was charged by the Financial Public Prosecution a day after he was detained following an interrogation by Lebanon's top public prosecutor over several alleged financial crimes.
His case has been transferred to an investigating judge, the officials told The Associated Press (AP), speaking on condition of anonymity in line with regulations.
Salameh ended his 30-year term as central bank governor a year ago under a cloud, with several European countries probing allegations of financial crimes. Many in Lebanon blame him for the crippling financial crisis that has gripped the country since late 2019.
He was appointed in 1993 and initially celebrated for his role in steering Lebanon's economic recovery after a 15-year civil war, and for keeping the economy on an even keel during long spells of political gridlock and turmoil.
Salameh will remain in detention until a hearing is scheduled, likely next week, two judicial sources told Reuters on Wednesday.
After he is interrogated, the presiding judge can decide whether to keep him in detention, the sources said, adding that no decision had yet been taken on the matter. One of them said the judge was expected to schedule a hearing for early next week.
Salameh has for years denied allegations of corruption, embezzlement and illicit enrichment. He insists that his wealth comes from inherited properties, investments and his previous job as an investment banker at Merrill Lynch.
During his hours-long interrogation on Monday, Salameh was asked about a key case in which a company was allegedly hired to manipulate statements and conceal Lebanon’s hemorrhaging finances.
According to two other judicial officials, Salameh appeared to have brought in the company called Optimum to help facilitate embezzling money from the central bank through other accounts, eventually reaching his own.
The financial intelligence unit of the central bank presented bank statements and financial documents to the public prosecution, added the two officials, who spoke on condition of anonymity in line with regulations.
The embattled Salameh is also in the midst of several other cases against him, both locally and internationally.
France, Germany and Luxembourg are also investigating Salameh and close associates over alleged illicit enrichment and the laundering of $330 million.
Salameh has criticized the European investigation and said it was part of a media and political campaign to make him a scapegoat.
Meanwhile, the U.S., the U.K. and Canada have sanctioned Salameh and his close associates, and France issued an international arrest warrant for him, though Lebanon does not hand over its own citizens for extradition.
Lebanon has not appointed a new central bank governor, but a vice governor, Wassim Mansouri. He has been named acting governor.
The crisis-hit country has also been without a president for almost two years and is run by a caretaker Cabinet with limited functions.
