AK Party deputy chair steps down amid $44 million stock-profit allegation

  • Fatma Betul Sayan Kaya stepped down as AK Party deputy chair amid stock-trading allegations.
  • 163 million lira was allegedly invested before about 2.17 billion lira was received from sales.
  • Turkish authorities supported financial stability after funds failed to meet withdrawals from almost half a million investors.

Fatma Betul Sayan Kaya, a deputy chair of President Tayyip Erdogan’s ruling AK Party, stepped down after opposition politician Zeynel Emre alleged that she and her husband, Ilyas Kaya, made a large profit trading Ozata Denizcilik shares before a market selloff. Emre said the couple invested a combined 163 million lira ($3.3 million) in April this year and later received about 2.17 billion lira ($44 million) from selling the shares. Kaya said she had asked Erdogan to relieve her of all her duties so the allegations could be investigated, taking political responsibility while the claims were examined. The allegations followed a crisis in Turkey’s investment fund industry, where suspected manipulation in thinly traded stocks triggered a liquidity crisis and caused prices to tumble on September 16. Turkish authorities moved to support financial stability after some funds failed to meet withdrawals from almost half a million investors. Ozata Denizcilik said its chairman, Ozdemir Ataseven, and vice chairman, Gokhan Ataseven, had been jailed pending trial as part of the investigation.

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