Egypt’s High Court in central Cairo. AFP
Egypt’s High Court in central Cairo. AFP
Egypt’s High Court in central Cairo. AFP
Egypt’s High Court in central Cairo. AFP

Former Egyptian PM Ahmed Shafik acquitted of corruption charges


Kamal Tabikha
  • English
  • Arabic

An Egyptian criminal court has acquitted former prime minister and presidential candidate Ahmed Shafik of two sets of corruption charges.

Also acquitted on Wednesday were Capt Tawfiq Assi, chairman of the holding company for EgyptAir, and former civil aviation minister Ibrahim Manaa.

Both were charged with colluding with Mr Shafik to misappropriate public funds.

A second charge, also dropped, related to his use of public funds set aside for the renovation of a park in Heliopolis, Cairo.

Mr Shafik, Capt Assi and Mr Manaa had previously been acquitted of these charges, only for the rulings to be overturned after an appeal by Egypt’s prosecutor general to the Court of Cassation.

Mr Shafik returned to Egypt from political exile in 2017.

After he arrived he was questioned about the charges. He was charged with trying to destabilise Egypt but released soon after.

In 2018, Mr Shafik said he intended to run against President Abdel Fattah El Sisi, but retracted his bid days after his announcement.

He said his distance from Egypt while he was in the UAE made him ill-equipped to be president.

Mr Shafik was a long-time companion of ousted president Hosni Mubarak, having served as a senior fighter pilot under him during the 1973 October War.

His military career culminated in Mr Shafik’s appointment as prime minister in January 2011.

He took the role during protests in Tahrir Square, which led to a regional period of tumult.

His stint as prime minister lasted a little over a month, ending when the interim Supreme Council of the Armed Forces took control of Egypt.

In 2012, Mr Shafik ran for president, narrowly losing to Muslim Brotherhood candidate Mohammed Morsi. Mr Shafik left for the UAE soon after his election loss.

A few months after his departure, Morsi issued an arrest warrant against him due to his closeness to the Mubarak government, many members of which were sentenced to prison for corruption.

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Transmission: 10-speed automatic
Power: 420hp @ 5,600rpm
Torque: 621Nm @ 4,100rpm​​​​​​​
​​​​​​​Fuel economy, combined: 12.9L / 100km

The specs: 2018 GMC Terrain

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Engine: 2.0-litre turbocharged four-cylinder

Power: 252hp @ 5,500rpm

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Fuel consumption, combined: 7.4L  / 100km

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Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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THREE
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While you're here
The specs

AT4 Ultimate, as tested

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Match info

Australia 580
Pakistan 240 and 335

Result: Australia win by an innings and five runs

Final scores

18 under: Tyrrell Hatton (ENG)

- 14: Jason Scrivener (AUS)

-13: Rory McIlroy (NIR)

-12: Rafa Cabrera Bello (ESP)

-11: David Lipsky (USA), Marc Warren (SCO)

-10: Tommy Fleetwood (ENG), Chris Paisley (ENG), Matt Wallace (ENG), Fabrizio Zanotti (PAR)