Alvarez & Marsal to resume forensic audit of Lebanese central bank on Thursday

Audit is a prerequisite for Lebanon to access billions from international lenders

Lebanon's President Michel Aoun, right, and Finance Minister Youssef El Khalil, centre, meet a delegation from Alvarez & Marsal. Photo: Reuters

International consultants will resume a financial audit of Lebanon's central bank on Thursday, President Michel Aoun revealed on Twitter.

The president and Finance Minister Youssef El Khalil met James Daniel, general manager of Alvarez & Marsal, on Wednesday.

Mr Daniel confirmed the global consultants will resume the audit, Mr Aoun said.

Conducting a transparent audit of the central bank is a prerequisite for Lebanon to access billions of dollars in debt relief and loans from international lenders after two years of financial meltdown.

الرئيس عون استقبل، في حضور وزير المال يوسف الخليل، المدير العام لشركة "الفاريز ومارسال" جايمس دانيال الذي أطلعه على مباشرة الشركة غداً التدقيق المالي الجنائي في حسابات مصرف لبنان بعد إنجاز كل الترتيبات المتعلقة بذلك pic.twitter.com/OoFHaADwSK

— Lebanese Presidency (@LBpresidency) October 20, 2021

“The general manager of Alvarez & Marsal James Daniel briefed him [the president] on the company’s resumption of the forensic audit into the accounts of the Banque du Liban tomorrow, after completing all necessary arrangements,” the Lebanese Presidency said in a tweet.

The previous Lebanese government had tasked the consultants to conduct an audit of the Lebanese central bank last year, but Alvarez & Marsal terminated the contract last November after the bank refused to hand over all the necessary documents.

Last month, Mr El Khalil signed a new a forensic audit agreement with the company.

The central bank cited a banking secrecy law, when it refused to hand over the documents,.

In December parliament voted to lift banking secrecy laws for the central bank and public institutions for a year. The finance ministry said in April that the central bank had agreed to hand over the documents needed for the forensic audit.

The finance ministry had previously said that A&M will submit its report to the government within 12 weeks of starting its work.

Updated: October 20, 2021, 11:33 AM