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Istanbul corruption case shows why local reform is urgently needed

by İhsan Aktaş

Mar 22, 2025 - 12:05 am GMT+3
A view shows the front door of Istanbul Mayor Ekrem Imamoğlu's house after he was detained in a corruption probe, in Sarıyer, Istanbul, Türkiye, March 19, 2025. (AA Photo)
A view shows the front door of Istanbul Mayor Ekrem Imamoğlu's house after he was detained in a corruption probe, in Sarıyer, Istanbul, Türkiye, March 19, 2025. (AA Photo)
by İhsan Aktaş Mar 22, 2025 12:05 am

A topic widely discussed in the media last year was the allegation that delegates at the main opposition Republican People's Party (CHP) Istanbul congress and grand congress were bribed with money by Istanbul Metropolitan Municipality Mayor Ekrem Imamoğlu and his close circle. These claims have fueled controversy and remained at the forefront of political discussions for weeks.

At the same time, within CHP circles – particularly those aligned with Imamoğlu – there has been growing speculation that without a substantial financial backing of at least $1 billion, it would be impossible to wrest control of the party from the faction loyal to former CHP leader Kemal Kılıçdaroğlu. In other words, Imamoğlu and his supporters reportedly believe that such a financial war chest is essential to "save the party" from Kılıçdaroğlu’s grip.

This rumor has been circulating widely, echoing through the corridors of Istanbul's municipal offices and university campuses, adding further intrigue to the then-ongoing power struggle within Türkiye's main opposition party.

Before becoming the mayor of Istanbul Metropolitan Municipality (IBB), Imamoğlu was the mayor of Beylikdüzü. The district is located at the westernmost edge of Istanbul and was transformed from a town to a district during Imamoğlu’s tenure as mayor. At the time, massive and unzoned lands created significant land value increases. Amid the development, Imamoğlu, in collaboration with construction contractors, learned to benefit from zoning plans, i.e., public budgets.

A person who used to run a small restaurant in Beylikdüzü now reportedly owns assets worth several billion dollars, which were recently seized by the prosecutor.

Istanbul’s municipal administration traditionally followed a specific governance model. During the ruling Justice and Development Party (AK Party) era, municipalities prioritized investments in infrastructure – roads, highways, water services and mass housing – focusing on the core responsibilities of local government. Approximately 80% of the budget, excluding salaries, was allocated to these essential projects.

Since Imamoğlu took office, however, essential infrastructure investments have stalled. Instead, he has focused on keeping himself in the public eye through low-budget social support initiatives. One of his signature projects was the introduction of 100-square-meter city restaurants, a concept he heavily promoted. He seemed to believe that such small-scale efforts could outshine large-scale infrastructure projects. Yet, as time passed, citizens began to ask, “What happened to the budgets for megaprojects?”

Just as corruption rumors surrounding the IBB intensified, we woke up one morning to a major police operation.

First, allegations surfaced that bribes were exchanged during the CHP congress, with claims that municipal funds were used to secure votes. Those who found these accusations credible filed official complaints.

Meanwhile, media reports circulated footage showing suitcases filled with cash delivered to a location where the money was counted and stacked into "money towers." The funds were allegedly intended for the purchase of the CHP headquarters building, prompting a formal investigation by the prosecutor’s office.

In a separate development, Meral Akşener, former leader of the Good Party (IP), complained to the Interior Ministry regarding her Istanbul faction and IBB group deputy chairperson, Ibrahim Özkan. She accused him of orchestrating a mass defection from her party to Imamoğlu’s camp. Akşener requested an investigation into Özkan's financial dealings, stating: "This man emptied our party and handed it over to Imamoğlu. I want his accounts scrutinized."

Additionally, complaints emerged from individuals who claimed they were asked for bribes when conducting business with the municipality. Those who refused allegedly faced threats and intimidation.

Following an extensive investigation by the Interior Ministry and the prosecutor’s office, what may be the most significant corruption case in Türkiye’s history was uncovered. Eighty-seven individuals from the municipal administration and its affiliated companies are now in custody. Additionally, around 10 suspects have fled, with most now residing abroad.

The investigation is still ongoing, and there is no indictment yet. However, the prosecutor might request arrests while referring the case to court.

Although CHP members claim this is a political operation rather than a legal one, the figures involved in the corruption investigation are staggering. The total budget of the metropolitan municipality, including its subsidiaries, is TL 850 billion (approximately $25 billion at 2024 average exchange rates). It is claimed that the total damage from bribes, corruption or misuse of public resources over the past five years amounts to TL 560 billion, roughly $15 billion.

These figures represent a scale of corruption that is unprecedented and far beyond what Turkish society has ever witnessed.

What we can see from this is that if such irregularities and corruption can occur in a municipality, there are significant gaps in the municipal administration system, i.e., the local government law. Türkiye urgently needs local government reform to ensure that malicious individuals cannot exploit the public’s tax money.

As a wise Anatolian proverb says, "One disaster is worth more than a thousand pieces of advice." Hopefully, this crisis will serve as a turning point for the country, leading to a system where not a single penny of the citizens’ money can be misused.

About the author
İhsan Aktaş is Chairman of the Board of GENAR Research Company. He is an academic at the Department of Communication at Istanbul Medipol University.
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