Syrian entangled in Hariri assassination to be deported


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Abu Dhabi // A purported former Syrian intelligence officer who was once a key witness in the 2005 assassination of the former Lebanese prime minister Rafiq Hariri was found guilty of entering the UAE on a false passport and sentenced to six months in jail yesterday followed by deportation.

Mohammed Zuhair al Siddiq was arrested in Sharjah last April, and had been held by the State Security authority for "entering the UAE on false documents". Since Siddiq was incarcerated in April, his six-month sentence will end on October 15. Siddiq became known for testifying at a UN tribunal that Syria ordered the assassination of Mr Hariri, helping create a damning case against Syria before he was himself discredited.

Siddiq testified before the State Security Court that he had been given a passport by French intelligence, and claimed he entered the country with the knowledge and permission of the Ministry of Interior. State Security, however, denied any knowledge of Siddiq's presence in the country. Siddiq fled Damascus sometime after the February 14, 2005, bombing that killed Mr Hariri and 22 others in Beirut. He later testified to the UN tribunal that Syria had ordered the assassination.

He was labelled a key witness by the tribunal but Syria adamantly denied the allegations and questioned his claim of being an intelligence officer. The tribunal later called Siddiq's reliability as a witness into question. In October 2005, Lebanese prosecutors charged him in absentia with murder in connection with the assassination of Mr Hariri and 21 others in the car bombing in February that year.

He was arrested under an international warrant in a Paris suburb in October 2005, but the French government released him a few months later when neither Lebanon nor Syria would guarantee he would not be executed if extradited. His whereabouts were unknown until his arrest was reported in Dubai in April of this year. It remains unclear to which country he will be deported. In cases in which a foreigner enters the country using a false passport, the UAE deports the person to the country of origin.

If the country of origin cannot be determined, the respective embassies are contacted to verify nationality. Mr Siddiq's lawyer is appealing deportation on the grounds that he faces the execution if he is returned to Syria. myoussef@thenational.ae

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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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