Lebanon Suspends Financial Watchdog Amid Allegations of Burying Financial Crimes
• Lebanon suspended its capital markets oversight authority, which had uncovered financial scandals, a “dangerous” move per a board member
• The authority's role was to oversee markets to protect investors from fraud; its financial investigations exposed irregularities at a firm tied to Lebanon’s central bank
• This follows scandals involving the central bank governor, who faces arrest warrants and sanctions over money laundering accusations that he denies
• A source says the suspension is temporary, just due to low funding, but others allege it enables financial crimes to be buried
• A lawyer argues this is part of a “settlement” on financial crimes, reducing accountability and venues for defrauded investors to claim rights