Central Bank’s ex-deputy governor charged with corruption

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NP News - May 12
Bo Bo Nge, a deputy governor of the Central Bank appointed by the NLD government, was charged under Anti-Corruption Law in Naypyidaw, according to the statement released by State Administration Council (SAC) on May 10.

The investigation team of the Anti-Corruption Commission files against the ex-deputy governor Bo Bo Nge after he was arrested for more than one year.

From January 1, 2018 to January 31, 2021 when he was serving as the CBM’s deputy governor and was responsible for managing Foreign Exchange Management Department၊ Financial Institutions Supervision Department, and Accounts Department, the private banks holding the authorized dealer licenses reported the dollar transactions to the CBM via the Electronic Reporting System – ERS. There were a total of more than 290,000 times of dollar transactions for ‘above 10,000 USD incoming from the abroad’ (which is amounted to over 170,000 million dollars) reported by the licensed banks during the aforesaid period. The investigation team picked out and examined seven transactions (amounting to USD 73 million, Yen 30 million and Euro 100,000) which were processed as per request; finding that the State lost more than 102 million MMK only for the stamp tax that has to be received from the relevant entities and companies, according to the announcement.

In 2018, USD 5 million was deposited at the Small and Medium Enterprises Development (SMED). The SMED reported to the CBM via the ERS with respect to that transaction. However, the CBM failed to inspect it and confirmed deposit to the account of Open Society Myanmar-OSM. Without proper and enough inspection on this ambiguous deposit, the OSM’s personnel withdrew over 1,900 MMK (equal amounted to more than 1.4 million USD) from the SMED’s OSM account. According to the estimation made by Internal Revenue Department on the related transactions, more than 360 million MMK would be generated as the income tax only from the arisen case. However, the State lost it by virtue of the negligence of the CBM.

The CBM’s officers proposed to deposit the loan received USD 350 million at the banks with higher interest rate. But Bo Bo Nge made decision by himself to deposit at Singapore’s SMBC. As a result, the State lost more than 0.39 million USD (more than 665 million MMK) based on comparing two interest rates. Therefore, the investigation team filed against Bo Bo Nge under Section 55 of the Anti-Corruption Law.

Bo Bo Nge was arrested by the SAC involving in the earliest detainee lists on 1st February 2021. However, the SAC files against him with corruption after more than one year of arrest as the case he involved is too much complex.

He returned to Myanmar during the NLD government.

Rumours arose through social media that he died on February 8, 2021 while he was detained by the SAC.

https://npnewsmm.com/news/627c8059e325307a446313b7

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