Pursuing the missing billions: BDL expands legal offensive to restore deposits

Report by Bassam Abou Zeid, English adaptation by Yasmine Jaroudi

The Banque du Liban (BDL) is seeking to recover hundreds of millions of dollars allegedly siphoned off through suspicious schemes, as well as billions of dollars borrowed by the state over decades, to secure liquidity to help repay depositors.

The move comes as BDL pursues legal action in the case involving the firm Forry, in which former BDL governor Riad Salameh, his brother Raja, and others are under investigation. A forensic review of accounts linked to the case has uncovered additional violations implicating multiple parties, according to officials familiar with the matter.

The central bank is also pressing ahead with lawsuits filed in Europe, particularly in France and Switzerland, where Salameh is also a defendant. The current governor is expected to travel personally to Paris to activate and follow up on these proceedings.

In parallel, the governor announced plans to release a comprehensive, documented report detailing all funds borrowed by the Lebanese state from BDL and how they were spent, covering several decades up to 2023. The amount involved, he said, far exceeds the previously cited figure of $16.5 billion, reaching roughly three times that sum.

The governor also pledged to address the recovery of funds linked to politicians and bankers, promising to disclose the scale of financial transfers made over the years.

Investigations point to a complex network of former BDL officials, bankers, financial sector employees, and companies suspected of unlawfully appropriating depositors' funds. 

The bank said it is determined to pursue those responsible, recover the money, and hold those involved accountable, stressing that the goal is to end what many Lebanese view as a culture of impunity.