Former Lebanon central bank governor detained in corruption probe

Riad Salameh, the former governor of Lebanon's central bank, has been charged with embezzling $42 million following his detention during an interrogation by the country's top public prosecutor. This legal action comes after a 30-year tenure that ended amid widespread criticism and allegations of financial misconduct, which many believe contributed to Lebanon's ongoing financial crisis that began in late 2019. Salameh's case has been referred to an investigating judge, indicating the seriousness of the charges against him. The investigation into Salameh includes scrutiny from several European nations, including France, Germany, and Luxembourg, which are probing claims of illicit enrichment and the laundering of $330 million. Salameh has consistently denied any wrongdoing, attributing his wealth to inherited properties and previous employment as an investment banker. However, evidence presented by the central bank's financial intelligence unit suggests that he may have facilitated embezzlement through a company hired to manipulate financial statements. The situation has escalated to the point where international sanctions have been imposed on Salameh and his associates by the U.S., U.K., and Canada. France has also issued an international arrest warrant for him, although Lebanon's laws prevent the extradition of its citizens. This complex web of allegations and investigations highlights the broader issues of corruption and financial mismanagement that have plagued Lebanon's economy. As the legal proceedings unfold, the implications for Lebanon's financial stability and governance remain significant. The case against Salameh not only reflects the challenges of accountability in a country grappling with economic turmoil but also raises questions about the future of financial governance in Lebanon.