Yemen – Houthi militias issue a new law allowing them to steal Yemenis’ funds
The Houthi terrorist militia has made progress in drafting legislation that would allow them to loot bank savings under the guise of fighting usury, allowing them to take over other commercial banks after taking over others under the pretext of bankruptcy.
Earlier this week, the Houthi coup government sent a letter to the so-called House of Representatives, which includes 20-25 parliamentarians, demanding the approval of what it called the “bill to prevent the theft of deals”, Asharq al-Awsat newspaper reported.
In its application, the group stressed the need to approve the law, with the aim of prohibiting all forms of Arab transactions in civil and commercial transactions that are visible and hidden.
Banking sources in Sanaa warned of the danger of this step, which represents a prelude to seizing the interest of bank savings for thousands of citizens, especially since most commercial banks have refused to disburse savings and deposits in their possession since September 2014; that is, before the Houthi coup under the pretext of war and lack of liquidity.
This is why some depositors were able to withdraw their deposits after they were transferred to government-controlled areas, but after paying commissions up to 30%, while many were unable to do so; because this kind of operation has been suspended by the bank.
Banking sources also warned that the move would further reduce deposits in areas controlled by militias and increase depositors’ reluctance to deal with commercial banks, saying: This will reflect on banking activity in general, and threaten the failure of other commercial banks that still resist fees and the deterioration of economic conditions resulting from the war.
“The move is in the interest of the exchange, which has spread in areas controlled by militias on an unprecedented scale, most of which are owned or are attended by prominent Houthi leaders”, it said. These companies now play the role of commercial banks, and, despite violating the law, they open credits to importers, opening bank accounts for major traders.
Commercial sources believe that behind this step is a plan by the militias to seize billions of riyals as profits to government agencies, especially the Insurance and Pensions Authority and Corporation, which invested billions of riyals from retirees’ money in treasury bonds and similar commercial banks.
The sources believe that the Houthis’ maneuver is aimed at raising real estate prices after they finished their control over large areas in Sanaa, Hodeidah, Ibb and Dhamar. They will be the beneficiaries after closing the door to individuals and entities that used to invest their money in commercial banks.
This step comes at a time when recent reports confirmed that the so-called “judicial guard” of militias has seized more than $170 million in the value of money, companies, institutions, and associations’ imports.
The total value of funds and revenues withheld from personal assets, real estate and property was reported to be more than $2 billion.
