“The High Criminal Court in the Kingdom of Bahrain has adjourned the money laundering case filed against Majid Al-Refai, former Chief Executive Officer of Bank Alkhair, until the ruling session on the 8th of July 2012. Majid Al-Refai is accused of money laundering, fraud and illegally raising donations without prior licensing from Bahraini authorities. Al-Refai has thus far failed to attend any of the court hearings in relation to the money laundering case, contravening the Criminal Procedures Law of the Kingdom of Bahrain,” the bank in a statement said.
In January 2011, Bank Alkhair filed a criminal complaint against Majid Al-Refai with Bahrain’s General Prosecutor for unlawfully acquiring and laundering funds from one of the Bank’s associate companies. Al-Refai instructed the Bank’s associate to make a considerable donation to a fraudulent charity, WMF Consulting Company W.L.L., which he incorporated in Bahrain, bearing the same name of an established charitable foundation based in Geneva. The funds were later transferred from the company in Bahrain to Majid Al-Refai’s personal account. Following the review of the complaint, the General Prosecutor of Bahrain issued a warrant for Majid Al-Refai’s arrest and transferred the case to the High Criminal Court of Bahrain.
Majid Al-Refai is also on trial for forging the Articles of Association of Bank Alkhair as well as committing 58 criminal offences during his tenure as Chief Executive Officer of the Bank. The criminal offences mainly relate to personally appropriating and squandering Bank funds and shredding and destroying over 8000 critical Bank documents. The High Criminal Court is expected to issue its ruling on the criminal case against Al-Refai during the forthcoming hearing on the 26th of June, 2012.
A number of rulings have been issued against the former Chief Executive Officer in Bank Alkhair’s favour. In March 2012, the Bahrain Chamber of Dispute Resolution dismissed a claim by Majid Al-Refai for compensation of BD1 million for his termination from the position of Chief Executive Officer of the Bank. In May 2012, Bahrain’s Supreme Fifth Civil Court also dismissed a claim brought by Al-Refai and three of his associates, requesting the nullification of the General Assembly’s resolution, issued in October 2010, to remove Al-Refai from the Bank’s Board of Directors.