Ethiopian bankers charged with graft

The bankers appeared in court with top businessmen

By Nita Bhalla in Addis Ababa

The president of the state-owned Commercial Bank of Ethiopia and 40 of the bank's top executives have been charged with illegally granting loans and overdrafts.

The bankers appeared along with 13 businessmen at the Federal High Court on Tuesday, charged with handing out a total of $105m to top businessmen.

Ethiopia's newly established Federal Ethics and Anti-Corruption Commission has accused them all of "enriching themselves at the expense of the state".

The commission seems to be leaving no stoned unturned to prove the government is committed to rooting out all forms of corruption.

Unlawful loans

In its eight months of existence, it has filed charges against senior government officials including a former defence minister, as well as top bankers and businessmen.

Unlawful loans allegedly amounted to $105m

In the latest case, prosecutors said the bankers were charged with abuse of power by conspiring with the businessmen to secure unlawful loans.

The defendants include the president of the Commercial Bank of Ethiopia, Tilahun Abbay, executive vice-president, Hapte Selassie Hagos and three former vice-presidents, Nasser Hassen, Alazar Dessie and Hailu Legesse.

All 53 defendants were denied bail and detained.

The hearing was adjourned until 5 February after defence lawyers requested more time.

The government formed the commission in June last year in a drive to crack down on high-level corruption.

Disgraced former Deputy Prime Minister Tamirat Layne is serving an 18-year prison term after being found guilty of corruption.

Former Defence Minister Siye Abraha and his three brothers have also appeared in court.