Mubarak sons’ stock embezzlement case adjourned to Sept. 18
Alaa and Gamal Mubarak during thursday trial - YOUM7/Maher Iskandar

CAIRO: Giza Criminal Court adjourned Thursday the trial of Alaa and Gamal Mubarak—the sons of former President Hosni Mubarak— and six other defendants in their stock embezzlement case to Sept. 18, Youm7 reported.

The defendants are accused of obtaining money unlawfully by selling the National Bank of Egypt (NBE) to the National Bank of Kuwait, embezzling money from the public fund and damaging the Egyptian economy and national banking system through manipulating the stock exchange.

The prosecution accused the defendants of receiving 2.5 billion EGP ($349.5 million) in the bank sale in violation of capital market and Central Bank of Egypt (CBE) laws Youm7 reported.

The court allowed the defendants to leave the dock to question a witness who said he had known of the defendants’ intention to sell the bank since March 2007.

The last trial session featured intense security and a ban on media coverage.  New investigation reports obtained from the attorney general were discussed, and Gamal was authorized to question one of the witnesses about the case.

According to a report provided by Maher Ahmed Salah el-Din, a former head of the Egyptian Capital Market Authority (ECMA) and a witness in the case, bank transaction reports prove existing relations between the defendants, including Gamal and Alaa, who he said were masking their identities while dealing with stock market exchanges.

Gamal asked Salah el-Din about the role and power of the authority in tracing capital market fraud, and whether or not violations have been found in the deal selling the NBE. Salah el-Din denied any wrongdoing on his or the ECMA’s part, and said he examined the documents provided by both banks.

Salah el-Din did not answer most of the questions related to the authority’s communication with other control authorities, such as the stock market or the Central Auditing Organization, but admitted there were not enough studies regarding NBE.

Gamal’s lawyer, Fareed el-Deeb was reportedly furious over Salah el-Din’s “vague” answers.

The Mubarak brothers are accused of stock embezzlement, with the participation and facilitation of the CEO and board of directors at the NBE, which allowed them to make illegal profits after manipulating the bank’s shares in the market.

The General Prosecution had estimated the amount of funds illegally seized by the Mubarak brothers at 2.5 billion EGP, in violation of capital market laws and the Central Bank of Egypt’s when they took control of the NBE’s market shares.

The brothers were able to transfer their money into secret private accounts in Cyprus and the United Kingdom, Al-Dostor reported Thursday.

Gamal’s assets in Cyprus were officially frozen last March, after the European Commission found evidence of him owning shares in Bullion Co. Ltd, based on a report by the Egyptian Initiative for Personal Rights demanding an investigation into his assets.

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