A senior banking source has revealed that officials from the Central Bank of Egypt (CBE) have prepared a list of Muslim Brotherhood-affiliated companies that will be seized due to several irregularities, including foreign currency smuggling abroad.
The source pointed out that the list awaits the approval of the CBE's governor, Hesham Ramez.
The companies in question have apparently engaged in the secret transfer of funds for importers, in return for a commission of up to 10 percent. The bank considers these transactions currency smuggling, particularly considering these private companies are not exchange companies and should therefore not be involved in the transfer of funds.
The companies will not be shut down, but their assets will be seized by the state and the management of the businesses will be assigned to government agencies.
The source added that the bank does conduct detailed inspections on exchange companies, particularly those that have ties to the Brotherhood. He pointed out that the bank decided last Thursday to close down three companies for a period of two to three months.
CBE inspectors recently discovered those companies had an excess of funds estimated at LE20 million, as well as hidden accounts for the surplus funds. Exchange companies are prohibited from exceeded the limits of their authorized capital and any amount above the maximum is considered a smuggling of funds or an indication of dealings on the black market.
Edited translation from Al-Masry Al-Youm
