Turkey’s investigation into a multi-billion-dollar investment fund scandal has revealed what Justice Minister Akin Gürlek described as a “comprehensive criminal network” reaching into financial markets and the financial bureaucracy. He made the remarks on Tuesday in an interview with NTV.
The investigation began in mid-September over allegations of widespread market manipulation affecting the savings of nearly half a million investors. Gürlek said members of the network allegedly used bribery to weaken oversight and manipulated selected shares to take control of the market.
Investigators are examining 433 suspects. According to Gürlek, 112 have been jailed pending trial, 186 have been conditionally released and 38 are still being sought. He also said the inquiry includes political figures linked to criminal organisations in the fund market, without naming them.
Korkmaz Enes Ergun, head of the Borsa Istanbul stock exchange, was detained on Saturday. The supplied report says he was remanded on suspicion of accepting bribes and membership of an organisation formed to commit crimes.
The investigation has also prompted changes among financial officials. The head of Turkey’s capital markets regulator was dismissed by presidential decree after prosecutors began investigating his predecessor, while a deputy finance minister resigned after his son-in-law was jailed pending trial in the case.
Gürlek said authorities had collected around 30 billion lira in cash, real estate and shares, and would pursue funds transferred abroad. The government has called for the voluntary return of money obtained through market manipulation. Erdoğan’s office said on Tuesday that payments totalling 97.3 billion lira had been made to nearly 250,000 investors by 30 October.
Sources: Euronews English.