Economy, Business And Markets

CBI Report Required for Closer Probe Into Corruption Case

CBI Report Required for Closer Probe Into Corruption CaseCBI Report Required for Closer Probe Into Corruption Case

The Competition Committee on Wednesday looked into the €650 million ($730 million) corruption case, raised back in 2013 against an Iranian commercial company, Sepid Ostovar Asia, but it called on the Central Bank of Iran to provide its report on the issue.

Previous government agencies, (the CBI and the ministry of mine, industry and trade) allegedly favored the company, violating parliament’s Article 44 (the Privatization Law), giving it an upper hand in the market.

Article 90 Committee’s investigation into the case was prompted by a complaint by lawmaker Ahmad Tavakoli filed in January 15, 2013.

Two reports submitted on the case by the Supreme Audit Court, tasked with controlling the financial operations of state institutions, and the General Inspection Organization were probed into during Wednesday’s meeting, IRNA reported.

For arriving at a more thorough understanding of the case it was settled that reports from the central bank are also necessary. The committee requires “more comprehensive information from the CBI to carry out a closer investigation,” said Reza Shiva, the head of the Competition Committee.

The case involves a sale of €80 million ($89.8 million) and extension of €650 million of credit by the CBI at official foreign exchange rates which are cheaper than market rates for the euro.

Sepid Ostovar Asia’s owner is estimated to have illegally made 4-4.5 trillion rials in profit and increase his company’s market share.

After the central bank submits its report on the issue, the case will be probed further in the Competition Committee’s meeting scheduled for the following week, the report said.