Libya: Former Libyan Foreign Bank CEO Arrested For Misappropriating Oil Wealth

The former CEO of Libyan Foreign Bank, which was bank responsible for handling Libya’s oil wealth, has reportedly been arrested for fraud.

According to Bloomberg, Mohamed bin Youssef has been charged with “squandering funds and mismanaging the bank’s assets.”

Libya’s oil revenues have been a sticking point in Libya’s recovery, with warring factions controlling either the oilfields or the money—not both.

The bank’s leadership has been another source of contention, which resulted in bin Youssef being ousted back in 2018 for allegedly falsifying profits and making risky investments that LFB’s chairman says cost the bank $1.6 billion.

But things might not be that clear. In fact, who currently sits in the bank’s top spot is almost as clear as who is in charge of the county’s oil. Bin Youssef claims that he is still officially listed as the bank’s CEO.

Libya’s oil revenues have been hit hard by the blockade that has been in effect since January, with Libya’s National Oil Company (NOC) claiming that it has lost billions in oil revenue to date.

While some ports and oilfields have reopened in the past week, Libya’s oil production is just a shell of what it used to be when it was producing more than a million barrels per day.

Oil prices were stressed on Monday as reports of the blockade liftings showed that Libya’s oil production had risen from 100,000 bpd to 250,000 bpd.

However, these central bank uncertainties may trigger even more chaos in the oil sector as warring parties try to make sure “their man” is installed in the top bank position.

Source:www.energynewsafrica.com