Turkey detains 15 in Katilimevim share-manipulation investigation

  • Turkish authorities detained 15 people in the Katilimevim share investigation.
  • Justice Minister Akin Gurlek said prosecutors opened proceedings against 25 suspects.
  • The Capital Markets Board imposed two-year trading bans on 38 people last week.

Turkish authorities detained 15 people on Monday in an investigation into transactions involving shares of Katilimevim, a listed Turkish savings financing company. Justice Minister Akin Gurlek said prosecutors had opened proceedings against 25 suspects, leaving 10 at large. The Capital Markets Board last week filed criminal complaints against 38 people over alleged manipulation involving Katilimevim and two other listed companies and imposed two-year trading bans on them. The detentions form part of a broader crackdown on suspected share-price manipulation amid a liquidity crisis that has shaken Turkey’s investment fund industry, prompting regulators to freeze scores of funds and order their liquidation. Authorities also froze financial and asset transactions involving executives and officials linked to nine named investment and asset-management firms. The government instructed banks, notaries, land registries and MASAK (Turkey’s financial-crimes watchdog) to block transfers or reductions of assets under investigation. Transactions by board members, authorized signatories, their spouses and close relatives that could reduce their assets must receive prosecutors’ clearance. Gurlek said the investigation was continuing.

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