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Yemen's central bank dismisses UN corruption allegations

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Yemen's central bank dismisses UN corruption allegations
News

News

Yemen's central bank dismisses UN corruption allegations

2021-01-28 20:46 Last Updated At:20:50

Yemen's central bank dismissed United Nations allegations that the Yemeni government misused millions of dollars donated by Saudi Arabia to buy essential commodities for the Yemeni people

A report by a panel of U.N. experts released to the media this week accused the internationally recognized government of implementing a scheme to illegally divert to traders $423 million in Saudi money.

The report says the funds were meant to buy rice and other supplies for Yemenis suffering from the country's six-year civil war.

“The government of Yemen is, in some cases, engaging in money-laundering and corruption practices that adversely affect access to adequate food supplies for Yemenis, in violation of the right to food,” the panel said.

The Central Bank of Yemen said Wednesday the report was based on “misleading claims and information” propagated by “enemies of Yemen.”

The Yemeni government had not responded to the report as of Thursday afternoon.

According to the U.N. report, the $423 million scheme involved illegally transferring public money to traders, with 48% going to a single holding corporation, the Hayel Saeed Anam Group, known as HSA.

The HSA Group said in a statement the allegations were “baseless” and denied them “in the strongest terms.”

The CBY said the Saudi money was disbursed according to “highly transparent procedures” that met international standards of due diligence, according to an official statement.

The bank vowed to provide a thorough rebuttal backed by evidence and documents at a later stage, the statement said.

Yemen's conflict between a Saudi-led coalition supporting the internationally recognized government and the Iranian-backed Houthi rebels has been catastrophic, killing more than 112,000 people. It has created the world’s worst humanitarian crisis, brought Yemen to the brink of famine and wrecked infrastructure.

The war began with the 2014 Houthi takeover of the north, where the majority of Yemenis live, including the capital, Sanaa. This prompted a destructive air campaign by the Saudi-led coalition the following year, aimed at restoring the government.

The U.N. experts also accused the Houthi rebels of diverting at least $1.8 billion in aid funds in 2019 that was supposed to go to the government to pay salaries and provide basic services to citizens.

The report said the Houthis perform government functions including collecting taxes and other state revenue, “a large portion of which is used to fund their war effort” — not to help the Yemeni people.

JERUSALEM (AP) — A ship traveling in the Gulf of Aden came under attack Thursday, officials said, the latest assault carried out by Yemen's Houthi rebels over Israel's ongoing war on Hamas in the Gaza Strip.

The attack comes after the U.S. military said early Thursday an allied warship shot down a Houthi missile targeting a vessel the day before near the same area. The Houthis claimed that Wednesday assault, which comes after a period of relatively few rebel attacks on shipping in the region over Israel’s ongoing war on Hamas in the Gaza Strip.

In Thursday's attack, a ship was targeted just over 25 kilometers (15 miles) southwest of Aden, the British military's United Kingdom Maritime Trade Operations center said.

The captain “reports a loud bang heard and a splash and smoke seen coming from the sea,” the UKMTO said. “Vessel and all crew are safe.”

The attack was also reported by the private security firm Ambrey.

Houthi military spokesman Brig. Gen. Yahya Saree claimed the attack late Thursday, identifying the ship the rebels tried to target as the MSC Darwin.

European Union forces separately shot down a drone launched from Houthi territory on Thursday, Gen. Robert Brieger said. Separately on Wednesday, the British warship HMS Diamond began the first in the Royal Navy to shoot down a missile since 1991 when it destroyed a Houthi missile targeting merchant ships.

The Houthis have launched more than 50 attacks on shipping, seized one vessel and sank another since November, according to the U.S. Maritime Administration.

Houthi attacks have dropped in recent weeks as the rebels have been targeted by a U.S.-led airstrike campaign in Yemen and shipping through the Red Sea and Gulf of Aden has declined because of the threat. American officials have speculated that the rebels may be running out of weapons as a result of the U.S.-led campaign against them and firing off drones and missiles steadily in the last months.

However, Wednesday's attack was the first one by rebels in some time. An explosion struck some 130 kilometers (80 miles) southeast of Djibouti in the Gulf of Aden, the UKMTO said.

Early Thursday, the U.S. military’s Central Command said the explosion came from a coalition warship shooting down the missile likely targeting the MV Yorktown, a U.S.-flagged, owned and operated vessel with 18 U.S. and four Greek crew members.

“There were no injuries or damage reported by U.S., coalition or commercial ships,” Central Command said.

Saree claimed that attack but insisted without evidence that the missile hit the Yorktown. Saree also claimed the Houthis targeted another ship in the Indian Ocean, without providing proof. The Houthis have made repeated claims that turned out to not be true during their yearslong war in Yemen.

The Houthis have said they will continue their attacks until Israel ends its war in Gaza, which has killed more than 34,000 Palestinians there. The war began after Hamas-led militants attacked Israel on Oct. 7, killing 1,200 people and taking some 250 others hostage.

Most of the ships targeted by the Houthis have had little or no direct connection to Israel, the U.S. or other nations involved in the war. The rebels have also fired missiles toward Israel, though they have largely fallen short or been intercepted.

In this photo provided by the Ministry of Defence (MoD), a Sea Viper missile is launched from HMS Diamond to shoot down a missile fired by the Iranian-backed Houthis from Yemen, Wednesday, April 24, 2024. Yemen’s Houthi rebels fired a large barrage of drones and missiles targeting shipping in the Red Sea Wednesday. (LPhot Chris Sellars/MoD Crown copyright via AP)

In this photo provided by the Ministry of Defence (MoD), a Sea Viper missile is launched from HMS Diamond to shoot down a missile fired by the Iranian-backed Houthis from Yemen, Wednesday, April 24, 2024. Yemen’s Houthi rebels fired a large barrage of drones and missiles targeting shipping in the Red Sea Wednesday. (LPhot Chris Sellars/MoD Crown copyright via AP)

In this photo provided by the Ministry of Defence (MoD), members of the HMS Diamond's Bridge team shoot down a missile fired by the Iranian-backed Houthis from Yemen, Wednesday, April 24, 2024. Yemen’s Houthi rebels fired a large barrage of drones and missiles targeting shipping in the Red Sea Wednesday. (LPhot Chris Sellars/MoD Crown via AP)

In this photo provided by the Ministry of Defence (MoD), members of the HMS Diamond's Bridge team shoot down a missile fired by the Iranian-backed Houthis from Yemen, Wednesday, April 24, 2024. Yemen’s Houthi rebels fired a large barrage of drones and missiles targeting shipping in the Red Sea Wednesday. (LPhot Chris Sellars/MoD Crown via AP)

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