Lebanon’s caretaker Finance Minister Ghazi Wazni on Thursday announced a three-month extension of a deadline to provide all data required for a forensic audit of the central bank after it had declined to submit some information, citing banking secrecy.
The caretaker prime minister and sources have said that Banque du Liban withheld information needed by consultancy Alvarez & Marsal to begin the audit, which is a key demand for foreign financial assistance to help Lebanon tackle a financial meltdown.
On Wednesday, Lebanon’s caretaker Prime Minister Hassan Diab urged BDL to hand over all documents and information requested by Alvarez & Marsal for the audit.
Diab said in a statement that he had instructed Wazni to contact BDL and ask it to hand over the necessary documents, adding that it had provided the firm with only 42 percent of the requested paperwork, citing Lebanese legislation and banking secrecy.
“Any reform not based on the forensic audit of the central bank would only be symbolic reform to cover up the continued approach that brought the country to this state,” Diab said.
“I warn against any attempt to subvert the forensic audit to prevent Lebanese from knowing the truth behind the disappearance of their savings,” he added.
Last July, the Lebanese government hired New York-based Alvarez & Marsal to conduct a forensic audit of the country’s central bank accounts to determine how large amounts of money were spent in a country plagued by corruption.
