Abdelmoumene Khalifa : I am not insane and I did not run away

Goden boy Abdelmoumene Khalifa, a suspect in the century scandal Wednesday appeared in court for the first time. He defended himself and told facts which go back to more than 9 years.

I did not go bankrupt

Khalifa said if he did not leave Algeria in 2003, there would have been bloodshed. He denied allegations that money was carried in « bags » at his banks.

« The bankruptcy was caused by French who were behind what appened to my group, » he told the judge.

Asked about the creation of his bank in 1995, Khalifa said he thought about that as the State decided to liberate activities in banks and medicines field.

Judge : how did you change your activity from pharmacy to banking ?

Khalifa : the bank started by doctors and chemists. I have got the idea of creating Khalifa Bank.

He added that he took courses in statistics in Paris in 1995-1997.

Judge : you said in the constitutional contract 125 million DZ which represent the company’s capital quarter was deposited. Did you do it ?

Yes, I did deposit i tat the Public Treasury in Tipaza.

Judge : but reports show that you deposited 85 million DZ only. Yet, the notary gave you the contract before depsoiting the whole value.

Khalifa : we paid the remaining sum, a year later.

Judge : were you able to manage the bank ?

Khalifa : it is said the bank’s director should be a political director more than technical. He also should have knowledge about banks.

Judge : but tere are necessary regulations to manage banks.

Khalifa : because of that, I took courses.

The Algeria Bank commissioner confirmed our legal procedures

Khalifa : we conducted legal procedures and the Algeria Bank Lakssassi confirmed that in all the investigation phases.

Judge : how is that ?

Khalifa : there are many legal and administrative procedures we can not talk about them meticulously.

Judge : your bank underwent 10 inspection operations. Were you informed about errors which were found out ?

Khalifa : Yes, I was and we submitted a report about that.

Judge : were there other private banks ?

Khalifa : yes, there were.

Judge : how was the work environment ? how did you deal with people and public institutions ?

Khalifa : we used competition policy either with people or with public and private enterprises. We made procedures easier. Because of that, Khalifa Bank experienced a prosperity phase.

Judge : when did public enterprises start depositing their money at your bank ?

Khalifa : four months after the bank creation, public enterprises started transferring their accounts to Khalifa Bank in return for 7 percent interest rate.

Judge : what was your way of dealing with that money ?

Khalifa : there was a team in charge of transferring money.

Judge : when did you think of creating companies ? what is the first company you established after the bank ? how did you ave the idea of entering aviation field ?

Khalifa : It was Khalifa Airways. The bank was meant to carry money and Khaifa Airways was meant to carry people. They are similar activities.

Judge : what is the relation between Khalifa Bank and Khalifa Airways ?

Khalifa : it was a client.

Judge : why did you create Khalifa TV ?

Khalifa : our aim was to improve Algeria’s image in view to the situation at that time.

Judge : do you think you gave a good image ?

Khalifa : I tried to do so.

Judge : but public TV stations existed.

Khalifa : right but there was a need for diversity. Public TV channels did not say all the truth.

Judge : was money transfer from the bank to enterprises conducted through the law ?

Khalifa : it was conducted through the finnace foreign department.

Judge : when did you leave Algeria ?

Khalifa : I went to England in January 2003 after I had stayed in the US for 48 hours. I stayed in the UK until I was brought to Algeria.

Judge : why didn’t you go to France ?

Khalifa : because I don’t like France and French do not like us.

Judge : why did you leave Algeria ?

Khalifa : The Central Bank decided to freeze Khalifa Bank activities. We called them but in vain. Finally, we found out that laws were violated.

Judge : according to some officials at your bank, you gave orders to give money to clients by phone.

Khalifa : that’s not true. I did not did that on the phone. I am not insane to use the phone to withdraw billions.

Judge : so why was all that noise made ?

Khalifa : since September 2002, I had known that Kalifa Bank activities would be frozen and then liquidated. Because of that, I chose to quit.

Judge : how could you leave while you owned more than 10 companies in Algeria ?

Khalifa : if I did not leave in 2003, there would be bloodshed.

Judge : as you say that you did not do anything wrong, why did you run away ?

Khalifa : I did not run away but it was to responde those who made a consiparcy against me.