Kuwait’s public pension fund has claimed that UK-based Man Group, Swiss bank EFG, and others helped hide bribe money that was paid to its former boss, Fahad Al Rajaan. The case started on Monday in a London court and is expected to last a year.
Corruption Lawsuit
Kuwait’s Public Institution for Social Security (PIFSS), which manages the country’s social security and pension system, is suing the estate of Fahad Al Rajaan, who was its director general from 1984 to 2014, according to Reuters.
The pension fund claims that Al Rajaan and his partners took at least $970 million in bribes over 20 years. These bribes were described as commission payments, even though investment companies and banks didn’t need to pay them.
In 2016, a court in Kuwait found Al Rajaan guilty of corruption and stealing public money. He was tried in absentia (meaning he wasn’t present at the trial) and later died in London in 2022.
PIFSS is asking for about $156 million from Man Group, saying it was part of the bribery scheme to get the pension fund to invest in Man’s products. PIFSS is also asking for $450 million from EFG Bank, claiming the bank helped hide the illegal payments.
Responses to the Allegations
Man Group says there is no proof for PIFSS’s claims and that it is strongly defending itself. A spokesperson said, “PIFSS has not shown any evidence that Man or its employees knew about any wrongdoing.” Man’s lawyers also said the company did not know about Al Rajaan’s corruption or have any intention to be part of bribery.
EFG Bank’s lawyer, Camilla Bingham, said in court papers that the bank did not pay any bribes and did not benefit unfairly from the situation. She also mentioned that Kuwait had already recovered around $600 million.
What’s Next
The trial in London is expected to finish in early 2026.
