DDMA Headline Animator

Wednesday, December 6, 2017

Saudi Prince Released After $1 Billion Deal, Official Says

By Alaa Shahine
November 29, 2017

Prince Miteb bin Abdullah, one of the most senior Saudi royals detained in the kingdom’s corruption crackdown, has been released after reaching a settlement deal believed to exceed the equivalent of $1 billion, an official involved in the anti-graft campaign said.

Prince Miteb, who headed the powerful National Guard until earlier this month, was released Tuesday, the official said on condition of anonymity in discussing matters under the supervision of the public prosecutor. At least three other suspects have also finalized settlement deals, the official said. It wasn’t immediately possible to reach Prince Miteb, son of the late King Abdullah, for comment.

The public prosecutor has decided to release several individuals and will proceed with the prosecution of at least five others, the official said. The prosecutor has complete authority over the investigation, including whether to accept or reject any settlement proposal and whether to take any suspect to court, the official said.

Prince Miteb’s release, less than a month since his arrest, shows the speed at which Saudi Arabia wants to settle the corruption probe that involved the sudden arrests of royals and billionaires such as Prince Alwaleed bin Talal. The crackdown has shaken the kingdom and reverberated across the world as analysts, bankers and diplomats assess its impact on power in the world’s biggest oil exporter.

$100 Billion Settlement

Crown Prince Mohammed bin Salman, the kingdom’s predominant leader known as MBS, said the majority of those being detained had agreed to pay back some of the money they had gained illegally in exchange for their freedom. The prince said authorities could recover as much as $100 billion in settlements.

Some suspects started making payments to settle cases in exchange for freedom, people with knowledge of the matter said last week. Businessmen and officials signed agreements with authorities to transfer a portion of their assets to avoid trial and have started to transfer funds from personal accounts to government-controlled accounts, the people said, asking not to be identified because the discussions are private.

“Most princes arrested will certainly try to buy their way out, and we will see more of them doing just that to avoid jail time," said Raihan Ismail, an associate lecturer at the Centre for Arab & Islamic Studies at the Australian National University in Canberra. “This process lacks accountability and integrity. I doubt that detailed charges will ever be released, especially if settlements are reached.”

Five-Star Prison

The crackdown has turned the palatial Ritz Carlton in Riyadh, which hosted U.S. President Donald Trump in May, into a five-star detention center for about 200 of Saudi Arabia’s richest and most influential people.

The country’s Attorney General Sheikh Saud Al Mojeb said suspects had been granted legal access. His office, however, has yet to release details of the charges or allow access to the suspects and their lawyers, making it difficult to independently asses the cases.

King Salman fired Prince Miteb shortly before midnight Nov. 4 and announced the formation of an anti-corruption commission headed by the crown prince. Prince Miteb’s arrest fueled speculation that the crackdown was more about tightening the crown prince’s grip on power, a claim he dismissed as “ludicrous” in an interview with the New York Times’ columnist Thomas Friedman this month.

The opacity of the system doesn’t take away “from the political capital that MBS probably earned from this from the Saudi public” by declaring war on corruption, Hani Sabra, founder of New York-based Alef Advisory wrote in a report. “We continue to believe that MBS’s risky domestic gambits are likely to succeed.”

— With assistance by David Tweed

Source: Bloomberg.
Link: https://www.bloomberg.com/news/articles/2017-11-28/saudi-prince-released-after-1-billion-settlement-official-says.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.