Türkiye's Savings Deposit Insurance Fund (TMSF) has secured a legal victory in the U.S. in a debt recovery case involving a school alleged to have links to the Gülenist Terror Group (FETÖ), according to a statement released by the institution on Tuesday.
The TMSF said the bankruptcy administration of Bank Asya, which is managed by the fund, prevailed in a lawsuit filed before the Kings County Supreme Court in New York seeking repayment of a loan extended to Brooklyn Amity School.
The court ruled that the school must repay the outstanding debt, along with accrued interest, related to a $15.5 million (TL 717.64 million) loan package provided by Bank Asya in 2011 for the purchase and renovation of school property.
According to the TMSF, the financing consisted of five separate loans that were granted with unusually favorable terms, including a 19-year maturity period and a four-year grace period before repayments were due.
The fund said court records showed that the loans were issued following a recommendation by Ali Akbulut, a former member of Bank Asya's board of auditors and one of its major shareholders.
After the failed coup attempt of July 15, 2016, the school reportedly stopped making loan payments. During proceedings in the U.S., the defendants argued that Bank Asya's bankruptcy resulted from political circumstances in Türkiye and therefore eliminated their repayment obligations.
However, in its June 1, 2026 ruling, the New York court rejected those claims and ordered repayment of the debt with interest.
The TMSF also noted that reports prepared by Türkiye's Banking Regulation and Supervision Agency (BDDK) found that the loans had been extended without sufficient financial due diligence and under highly favorable conditions.
The decision is seen as a significant legal victory for the TMSF in its long-running efforts to recover assets and outstanding debts linked to Bank Asya following the bank's collapse.
FETÖ is also known for its global network of schools and associations it founded while it disguised itself as an international nonprofit group with religious undertones long before the coup attempt.
