[Information obtained from a reader of this blog. Unedited]
A word in his majesty Erdogan’s mouth these days is an analogy to ‘Clean Hands Operation in Italy’. He lately forces pro-Ataturk, Pro-Republic intellectuals and dissident writers, illustrators and opposing newspapers to go under a financial investigation, fire employees in TV institutions when he doesnt like what they write, he has them get arrested, imprisoned, while helping rising new supporting TV channels. One wonders why doesnt he ever let Kanal 7(Channel 7), Kanal 24(Channel 24) and Yeni Safak (New Dawn) newspaper go under financial investigation?
Lets go back to the days before these companies were founded and check out prosecutors’ indictments and inspectors’ reports. Before November 3rd, 2002 (election day).. 8 experts from ‘the Board of Account Experts’ at the Ministry of Finance written a 600 page report completed in two years. The reports were based on official documents and witnesses. According to the report, there is a $40 million fraud scheme. Some of the people involved were detained. Who were they?
About 70 people including Former Director General of IGDAS Fuat Sengul, Former Mayor of Istanbul and AKP Chairman Erdogan, Ironi Agency partner and Kanal 7 anchorman Ahmet Hakan Coskun, IGDAS Marketing and Sales Manager Ibrahim Mujdat Oguz, Ironi Agency partners Taci Erdemir and Mehmet Ozhusrev, Lonca Inc. employee Rasim Ozdemir and IGDAS officer Mahmut Yilmaz, IGDAS debt collector Metin Sahin, IGDAS Istanbul Anatolian Region Branch Assistant Manager Yusuf Aydinoglu.
Former Director General of IGDAS Fuat Sengul said ‘Why are you arresting just us while you do nothing to our superiors’ (referring Former Mayors Erdogan and Gurtuna) in his interrogation. Mehmet Sisman, who was taken into custody in relation to the front companies Erek Advertising and Er Offset used in payment of 1.5 trillion TL from IGDAS to Ironi Agency, said in his testimony: “Erdogan’s advisor Tufan Mengi called me and he said he needs fake invoices for IGDAS. So i introduced my friend Ayhan Erim, who does this type of work, to Tufan Mengi… I got 5 billion Turkish liras for introducing him”. Now, lets take a look at the report prepared by Civil Service Chief Inspector Candan Eren (He was first displaced, and is now related to Ergenekon and Balyon cases in which it is widely claimed that Erdogan sends whoever is opposing him to jail by using these two major cases) and then presented to SSC.
The report included allegations that Erdogan was involved in organized criminal activity, bid-rigging in auctions and making preparations for jihad.
Some of the allegations were committing organized crime, bid-rigging, favoritism, nepotism, overpayment, fraud, working for a secret cause, jihad preparation, embezzlement, oppression, neglecting the laws, failure to comply with money-saving measures in auctions, putting municipality at a huge loss by hiring third part people or companies for jobs that can be done by using municipal facilities..
Despite the reports and indictments, Erdogan stated in front of the cameras: ‘I am speaking very openly and directly, people who made these allegations should prove us to be guilty, otherwise they are low, dishonest, dishonorable people’. But they were proved guilty and after November 3rd, 2002, they got the diplomatic amnesty.
Erdogan claimed he cant live on a monthly salary of 9 billion TL.
Appearing as a dollar billionaire in 7 years, Erdogan says he cannt live on Prime Minister’s salary.
His wealth was announced as follows on the day he was a Istanbul Mayor candidate: ‘An apartment in Kasimpasa, a co-opt share at Maltepe, 376 square-meters of land at Bolluca-Gaziosmanpasa, 10% of the shares of Burak Food and Trading Limited Company’ (article published on Sabah on Feb 20, 1994)
7 years later, Rahmi Koc (one of Turkey’s wealthiest man) stated: “Mr Erdogan saved one billion dollars” (August 3, 2001, CNN Turk)
He bought a dry cargo ship to his son Ahmet Burak Erdogan for $2,323,000. There is still a joke going on about his statement after allegations about how he got all this money, he called the ship a ‘mini-ship’. (If you google ‘gemicik’, you can find out some good caricatures or comments.)
His other son Bilal Erdoan bought an apartment in the US for $216,000.
In addition, these two brothers own a villa worth of 1 trillion TL based on ‘deed records’. Erdogan bought a 450 square-foot similar villa in the same area for himself. He says, if he doesnt do trade, if he doesnt get money from trade, he cannt live on.
His wealth was announced on March 1, 2010:
376 square-meters of land at Bolluca-Gaziosmanpasa now worth 40 thousand TL and a 2000 square-meter land at Guneysu-Dumankaya village worth 10 thousand TL. In his bank accounts, after company stock sales, retirement bonuses, retirement and deputy salaries added, he has 2 million 366 thousand 109,95 TL (around 1 and a half million dollars 150534 183.42) in his bank account. Compared to September 2007 figures, his wealth increased 562 thousand 255 TL in cash and 187 thousand 500 in loans. Not to mention the wikileaks document about his 8 accounts in Swedish banks.
Minister of Finance, a defendant on trial for fake invoices.
Defendant Minister of Finance Kemal Unakitan’s son Abdullah Unakitan earns 366 billion TL sitting and doing nothing. But How?
On April 17, 2003, the customs duty on corn imports decreased by 20%. In august, his son imports 4000 tons of corn. After he is done, on August 8, the customs duty increased back to 45% again.
He also got involved in importing pasteurized eggs. First, his company, AB Food Ind. and Trade Co. is rewarded by 2.5 million TL worth of incentive offers and before he starts business, tax rates on pasteurized eggs is down to 8% from 18%.
In other words, Minister of Finance works for his own family.
Again Kemal Unakitan sold his own property to himself and he made 1 trillion 244 billion in 19 months. His company BEM Foreign Trade Inc. bought a real estate at Foca-Izmir for 15 billion TL. Same estate was sold to a private financial company on May 10. 2002 for 1 trillion 260 billion TL. Selling company’s partner is Kemal Unakitan same as buying company’s general manager.. He also got away without paying corporation tax and the company was liquidated.
219 auctions for road making in 13 days.
AKP government was formed on November 18, 2002. Yet in the first 13 days, till December 31, 2002, there were 219 road making auctions. Total procurement costs were 52 trillion and each auction was set up in a way that it wont exceed 750 billion TL, so they wont have to deal with Court of Accounts on any fraud investigation.
Why would a government who says they were never involved in corruption tries to escape from Court of Accounts inspection?
AKP supporter got $2 million worth project without an auction
Operating loading and unloading at TCDD (Turkish State Railroad Co.) Izmir Port which has a $70 million profit annually, was given to Reha Denizcilik (Reha Maritimes Co.) for 15 years without an auction. They have the option to extend the contract for 15 more years if they desire (total 30 years). The company was formed a week before the agreement. One of the biggest shareholder of this company is the Director Manager of AKP Bakirkoy County Rahmi Genc. He leaves the company after selling his shares.
The Savings Deposit Insurance Fund, administrated and represented by the Banking Regulation and Supervision Agency., purchased Ceylan Group-owned Delux Resort Hotel in Antalya for $52 million in exchange for the Ceylan Group’s debt owed to a bank. Then the hotel was sold to a pro-AKP company for $25 million. State had $27 million loss from this transaction.
Minister of Interior’s genius son
Minister of Interior, Abdulkadir Aksu – (who is alleged in at least one WikiLeaks document to have been seriously involved in illegal activity, ties to the heroin trade, well-known predilection for teenage girls, and his son’s open Mafia links. Ironically after wikileaks documents, he has been assigned to chair of the Wikileaks commission in the parliament to investigate if the allegations are true or not…) – runs an investigation/inspection for Turkey Jocket Club after he is assigned as the minister. Jockey Club hires his son Murat Aksu as company lawyer for a monthly salary of 7.5 billion TL.
Another privatization looting
Gemlik Fertilizer Industry Co was privatized for $83,1 million. Only the land the factory was built including 154 housing estates worth $120 million.
Only a small part of the land of Superbank privatized for $3 million 751 thousand was sold for $13 million 750 thousand.
Sumerbank founded 50 years ago by Cotton Fabrics Inc. was sold to a 47 partner Joint Venture Group (OGG) for $3 million 741 thousand by the Privatization High Council. The head of the OGG is Manisa AKP Mayor Bulent Kar. The group’s first act is to sell 55 acre portion of a total of 90 acres to KIPATESCO company for $13 million 750 thousand to build a shopping center. Thus company made quadrupled the profit in 4 and a half months. Moreover they have 35 more acres to sell. This also doesnt include the profit made from selling trillions worth of scrap. Bulent Kar clearly stated that the informal agreement between OGG and the Council didnt aim to ease the economy.
Minister of Transport Binali Yildirim’s son Erkan Yildirim bought a ship for 200 thousand euros in Italy by borrowing money from Santour GmbH in Germany. Binali Yildirim was the General Manager of Santour GmbH before becoming a deputy. In return, A ship owned by Turkey Maritime Enterprise was rented to Santour GmbH without an auction.
The AKP government sold 14.76% shares of TUPRAS (Turkey Oil Refinary Inc.) illegally to an Israeli businessman Ofer for $446 million after negotiations behind close doors. The shares worth proved to be much higher than this figure in 6 months when an auction was held to sell 51% stake. Council of State decreed the auction as illegal but the ruling never took effect.
Erdogan claimed he never met Ofer, then he admitted he saw him once. It appears he met him several times.
Kemal Unakitan met Ofer family multiple times to talk about auction negotiations for Kusadasi, Galataport (claimed to be one of the biggest looting and reconstruction rant but the auction was canceled and trying to re-auction) and Tupras.
Following list has been prepared as of September 5, 2002, but updated as of January 20,2011. Today a lot of names mentioned in this list are members of the parliament and serve as ministers in Parliament, which provides them a diplomatic amnesty. Here is the list of the bureaucrats accused of corruption including Municipal Company General Managers, County Mayors, Municipal Contractors and close friends of Recep Erdogan, who served in the Municipality of Istanbul.
Kemal Unakitan: Minister of Finance between 2002-2009, still a member of the parliament. He has 9 different cases and charged for organizing criminal activity and embezzlement. Ironic that he got the “Finance Minister of the Year award by a magazine called The Banker.
Idris Naim Sahin: AKP member of the Board of Founders. Former General Secretary of the Istanbul Municipality. He is a deputy in the Parliament. Defendant of Akbil and ALBAYRAKLAR cases.
Mehmet Mustafa Acikalin: Former General Secretary of the Istanbul Municipality. He is a deputy in the Parliament. Defendant of Akbil, ALBAYRAKLAR and IGDAS cases.
Akif Gulle: Vice-Chairman of the AKP. Former Head of Department of Personnel at Istanbul Municipality. He is a deputy in the Parliament. Defendant of Billboard case.
M. Hilmi Guler: Vice-Chairman of the AKP. He is the Minister of Energy and Natural Sources in the Parliament. Defendant of IGDAS case.
Adem Basturk: He is again the general secretary of the Istanbul Municipality. He got this job during Gurtuna’s term and dismissed by Minister of Interior inspectors. He was a candidate for the Parliament in the last elections. Defendant of Albayraklar and IGDAS cases.
Huseyin Besli: Former Press Adviser to the Municipality of Istanbul. Member of the Parliament in 2nd term. Defendant of IGDAS case.
Hamza Albayrak: Istanbul Municipality, the former Chairman of the Audit Committee. He is a deputy in the Parliament, had lawsuits for misconduct as well.
Nevzat Pakdil: IETT former Director General. He is a deputy in the Parliament.
Mehmet Ali Bulut: The AKP member of the Board of Founders. ISTON (Istanbul Concrete Elements and Ready-Mix Concrete Factories Ind. and Trade Co. – a municipal company) former member of the board. He is a deputy in the Parliament.
Mikail Arslan: Istanbul Municipality, the former Director of Slum Housing Department. He is a deputy in the Parliament. Defendant of Akbil case.
Mehmet Mehdi Eker, Istanbul Municipality, the former Director of Veterinary Medicine. He is the Minister of Agriculture.
Zulfu Demirbag: istanbul Municipality, the former Director of Road Maintenance. He was a deputy in the Parliament. Defendant of Albayraklar case.
Mustafa Ilıcalı: Istanbul Municipality, the former head of Research Planning and Coordination Department. He is a deputy in the Parliament. Defendant of Albayraklar case.
Ali Mazak: Istanbul Municipality, the former Director of Cemeteries. He was a parliament candidate during 22. term now he is the head of directorate of libraries and museums, istanbul Municipality.
Selami Uzun: Istanbul Municipality former Head of Control Department which manages municipal police as well. ALBAYRAK defendant case. He is a deputy in the Parliement. Defendant of Albayraklar case and he was facing 36 years of prison.
Lokman Ayva: Former Disability Coordination Director of the Municipality of Istanbul. Istanbul 3 regional parliamentary candidate. He is a deputy in the Parliement.
Binali Yildirim: Former Director General of Istanbul Sea Buses. Following the rumors he was sacked by Gurtuna for renting food-stands to his relatives illegally. Now he is the Minister of Transportation and a Member of Parliament from Istanbul.
Ayhan Bolukbasi: the former Director General of a municipal company Spor Inc. He currently serves as the General Director of Istanbul Sports Activities Administration Trade Corporation.
Gulsey Erol: Former General Manager of Istanbul Municipality Hamidiye Water Inc. He was a parliament candidate of Istanbul, right now no records of him on internet.
Mehmet Sekmen: Former Mayor of Kartal. He was dismissed because of charges for fraud and misconduct. He returned to his job after a court’s decision. He became a member of the Parliement during the interrogations.
Recep Koral: Former Mayor of Gaziosmanpasa. He is a member of the Parliement, he had lawsuits about fraud and misconduct as well.
Yusuf Tulun: Mayor of Sariyer in his second term.
Yahya Bas: Former Mayor of Gungoren. Former member of the Parliement. He is expected to be a parliament candidate in the next elections in June, 2011 and he is the head of Gungoren Football Club.
Nusret Bayraktar: Former Mayor of Beyoglu. He is a deputy in the Parliement.
Ali Ibis: Former City Council member of the FP. FP Member of the Board of Directors during Erdogan’s term in Istanbul Municipality. City contractor. He is a deputy in the Parliement.
Nurettin Canikli: He was an Istanbul Defterdar deputy during Refahyol period. It is claimed that he is the one who pushed the button for Akbil fraud. He is the financial coordinator of Albayraklar group and also the AKP member of the Board of Founders. He is a deputy in the Parliement. Thanks to him, Kanal 7 and Albaywaklar was financed by him and Yeni Safak and Kanal 24 are results of these fraud schemes.
Mehmet Vecdi Gonul: He is a deputy in the parliament for the 3rd term. He was the head of Turkish Court of Accounts (which supposed to inspect government expenses) during Erdogan’s term as mayor of Istanbul. He is Erdogan’s most tristed and respected fellow.
Zeki Ergezen: He is a deputy in the parliament for the 3rd term. Close friend of Erdogan. His relatives took bids in IGDAS as well as sites for KIPTAS.
Resul Tosun: He is a deputy in the parliament for the 2nd term. He is a columnist at Yeni Safak newspaper which belongs to – unsurprisingly- Albayraklar group.
Hayati Yazici: Erdogan’s attorney. now deputy in the parliament. He was also the lawyer of defendants responsible for burning 37 people live trapped in a hotel.
Fatih Recep Saracoglu: Owner of ERTE Construction company one of the favorite contractors of Istanbul Municipality. He was a candidate for the parliament. He is also one of the member of AKP Board of Founders.
Saim Bagbars: Owner of AY-SA and EN-SA contractor companies also one of the favorite contractors of Istanbul Municipality. He was a candidate of the parliament, now called a benevolent holding owner.
Nevzat Pakdil: Former General Director of IETT (Istanbul Safe Public Transportation Inc). He also got the position General Manager of Personnel and Principles during REFAH-YOL coalition. Now a member of the parliament. He is a defendant of Billboard case.
Ali Temur: He and Erbakan were sentenced to 1 year in prison for improper use of Treasury funds paid to RP. He showed his residence as Netherlands. While police was looking for him to arrest, he continued his campaign and got elected as a member of the parliament from Giresun. He is still a member of the parliament.
Halil Urun: He was an advisor to the directing manager of ISKI. He was convicted of insulting Ataturk, which was postponed due to conditional discharge law. He became a member of the parliament, while the lawsuits were issued. Now he is still advising at Istanbul Municipality.
Cemal Kaya: Under 2. Clean Energy operation the phone records in the reports showed how the AKP descended into the swamp of corruption. According to the phone records, Cemal Kaya, a member of the parliament, calls Ibrahim Selcuk, a businessman and requests to get auctions for Aram Co., the company registered under his wife’s name and he talks about how much discounts they should have, he finds the auctions small and wants to have bigger contracts. The Indictment includes Ibrahim Selcuk’s talk to Idris Naim Sahin (check above) about pressuring Chairman of the Audit Committee Cevdat Malkoc.
Cevdat Malkoc switched from CHP to AKP, after corruption casesm he resigned from the parliament and he was convicted. He is a member of the parliament again this term.
Huseyin Celik: Throughout the history of Turkish Republic, a public institution asked for an investigation for corruption allegations against a Minister. Minister of Education opened 62 bids for construction of 135 elementary schools on June 7, 2004. The results are ministry accepted different bid prices for different cities while the schools are supposed to be standard and none of the companies bid the lowest three got any of the bids. Due to bid-rigging allegations, Public Procurement Authority requested an investigation, it was denied in the parliament by AKP votes. He is still member of the parliament, vice-president of AKP and party speaker.