The Egyptian Financial Supervisory Authority (EFSA) has rejected the efforts exerted by EFG-Hermes chief executives Yasser El Mallawany and Hassan Heikal towards reconciliation regarding the stock manipulation case in which the ousted president Hosni Mubarak’s sons, Gamal and Alaa, face charges along with other defendants.
EFSA has mentioned that the defendants have to pay back first the sum of money they seized which worth EGP 2.15 billion so as to consider the reconciliation.
Worth mentioning that during the investigations, Yasser El Mallawany has referred the request to the attorney general seeking to settle business disputes through financial reconciliation. The defendant acquired a controlling stake in Al Watany Bank of Egypt (AWB) with the least prices and then gradually acquired along with other defendants 80% of the Bank’s shares through investment fund managers, financial portfolios and brokerage companies. Afterwards, he as well as the other defendants controlled the Bank’s board and became representatives of the largest shareholders.
The attorney general has referred El Mallawany’s reconciliation request to the EFSA which stated that the defendant has to pay back first the amount they paid for the asset at the time of the sale, rather than any accrued interest.
