Iran may confiscate Zanjani’s assets in Turkey-linked graft case

All assets belonging to Babak Zanjani -- supposedly the richest businessman in Iran who also has alleged ties with the prime figure in Turkey's graft scandal -- might be confiscated, as sought in the indictment of his trial, known as the biggest corruption case in Iran's recent history.

The Turkish daily Hürriyet reported on Monday the third session of the first hearing into Zanjani's trial, which started on Oct. 3, and cited the Tehran deputy chief prosecutor who continued to be the reader of the 237-page indictment following the first and second sessions that were held on Saturday and Sunday.

While referring to the charges against Zanjani -- which are mainly charges of fraud, money laundering and corruption both within Iran and in several other countries, including in Turkey -- the deputy chief prosecutor said, “I [therefore] demand the confiscation of all of the defendant's assets in Iran and other countries, including those assets that have been fraudulently transferred to his associates, in the national interests of the Islamic Republic of Iran.”

Zanjani, believed to be the richest man in Iran who has reportedly $14 billion in assets, is known for helping the Iranian government evade the Western sanctions that were imposed on the country over its disputed nuclear program.

Zanjani is accused of embezzling $2.7 billion of state money while trading oil for the National Iranian Oil Company (NOIC) on behalf of the Iranian government. He was arrested in late 2013 and his case started after 630 days pending trial, reportedly with the charges lodging in a 40,000-page (or 209 volumes of books) lawsuit, eventually building up the 237-page indictment.

After asserting that some of Zanjani's fraudulent operations took place in Turkey, Malaysia and Tajikistan in addition to those in Iran, the deputy chief prosecutor said that Zanjani and his two former partners had spent $235 million from Iran's oil money to buy the Turkish airline, Onur Air.

Turkish media had reported in May 2013 that the private airline Onur Air was sold to Kudret Tuncel and businessman Mahdi Shams, who at the time lived in Dubai with a British passport. Claims were made at the time that Qeshm Airlines, which belonged to Shams' official partner Zanjani, was the real purchaser of Onur Air.

Similarly, in August Amir Abbas Soltani, a member of Iran's special parliamentary committee investigating Zanjani's case, told the media they had obtained certain information that a great amount of Zanjani's money was in Turkey and managed by Reza Zarrab, an Iranian businessman living there.

When a series of corruption investigations went public on Dec. 17, 2013 in Turkey, Zarrab and several senior government officials were implicated in bribery and mischief cases while in office. The investigations were later covered by the Justice and Development Party (AK Party) government which dismissed the prosecutors who were overseeing the investigations and arrested the police officers helping them, accusing them of attempting, but failing, to overthrow the government.

In June, Zarrab was given the “export champion” award in the jewelry sector, raising the question of whether he had been helping his alleged associate Zanjani in transferring the embezzled Iranian state money to Turkey through the fraudulent purchase of jewelry.

Zanjani and two of his partners in Iran are accused of corruption or “fasad-fil-ardh” -- an Arabic term in the Iranian legal system that is translated as “spreading mischief on earth.” If their crimes are proven, the chief public prosecutor says it will ask for the execution of all three men as the sentence for “fasad-fil-ardh” in Iran's judicial system, based on Islamic law, is death.

http://www.todayszaman.com/business_iran-may-confiscate-zanjanis-assets-in-turkey-linked-graft-case_400796.html