Egyptian billionaire denounces Saudi corruption crackdown

Orascom Development Holding AG

01/12/2017 14:51

* Sawiris says Saudi purge unlawful, dangerous 
    * Businessman says others too frightened to speak out 
 
    By Crispian Balmer 
    ROME, Dec 1 (Reuters) - Egyptian billionaire businessman 
Naguib Sawiris condemned on Friday a crackdown on graft in Saudi 
Arabia, saying the purge had undermined the rule of law in the 
Kingdom and would deter investment. 
    In unusually outspoken comments, Sawiris, a well-known 
business figure in North Africa and the Middle East, also 
accused Qatar of destabilising the region, and said there were 
only a handful of Arab nations that were safe to invest in. 
    Saudi security forces rounded up dozens of members of the 
country's political and business elite last month on the orders 
of Crown Prince Mohammed bin Salman in what was billed as a war 
on rampant corruption.  urn:newsml:reuters.com:*:nL8N1NJ19L 
    Sawiris, whose family's Orascom businesses have interests 
ranging from construction to telecommunications, said 
influential figures should stand up to the Crown Prince, whom he 
referred to as "this young man". 
    "We need to tell him 'no'. There is the rule of law and 
order. You have a transparent process. Where is the court? What 
is the evidence? Who is the judge?" he told a conference in 
Rome, questioning the Crown Prince's motives. 
    "Are you not part of this? Where did you get your money? 
Didn't you do this? What is the system?" he said. 
    Prince Mohammed has said Saudi Arabia needs to modernise and 
has warned that without reform, the economy will sink into a 
crisis that could fan unrest. Critics say his purge is aimed at 
shoring up his own power base, which the Saudi government 
denies. 
    Sawiris said "everyone with a conscience" should speak out, 
but added that many were too frightened to do so. 
    "Everyone is scared because they have interests there, they 
have the oil, they have the money. But you need to have a 
conscience. When I say this, I know I am done-for in Saudi 
Arabia. No more business (there). Ok, I don't care." 
    A monthly Reuters poll published on Thursday showed Middle 
East fund managers had become more positive towards Saudi 
Arabian equities after an initial market sell-off following the 
launch of the anti-graft drive.  urn:newsml:reuters.com:*:nL8N1NX138 
    But Sawiris, who is not known to have major investments in 
Saudi Arabia, predicted business leaders would steer clear of 
the country in future. 
    "I think after what happened in Saudi Arabia, no one will 
invest there," he said. 
    Sawiris also took aim at Iran, accusing the country of 
interfering in the affairs of its neighbours. He likewise 
denounced Qatar, saying it was funding terror groups. 
    "Why don't they take care of the prosperity of their own 
people instead of financing crazy clergymen who push young men 
to go and kill?" he said. 
    A group of Arab nations led by Saudi Arabia and Egypt cut 
ties with Qatar in June, accusing it of fomenting instability. 
Qatar, a tiny Gulf state, has denied supporting militants. 
    Asked where was safe to invest in the Arab world, Sawiris 
mentioned Egypt, Morocco, Tunisia, Jordan and Sudan, but 
jokingly dismissed Lebanon.  
    "The problem with Lebanon is they are all sharks and they 
leave nothing to anyone. Only a crazy person would invest in 
Lebanon," he said. 
 
 (Reporting by Crispian Balmer; Editing by Peter Graff) 
 ((crispian.balmer@thomsonreuters.com; +390685224351; Reuters 
Messaging: crispian.balmer.reuters.com@reuters.net)) 
 
Keywords: SAUDI BUSINESSMAN/