Jacques Chirac, right, talks with the president of Burkina Faso, Blaise Compaore, left, behind the Gabonese president, Omar Bongo Ondimba. PATRICK KOVARIK / AFP PHOTO
Jacques Chirac, right, talks with the president of Burkina Faso, Blaise Compaore, left, behind the Gabonese president, Omar Bongo Ondimba. PATRICK KOVARIK / AFP PHOTO

Former French president accused of taking millions from African leaders



A new corruption scandal threatens to engulf French politics seven months before presidential elections after claims that Jacques Chirac and Dominique de Villepin, formerly France's president and prime minister, collected $US20 million in handouts from African leaders.

Robert Bourgi, a lawyer who served Mr Chirac as a key emissary between former French colonies and the Elysée palace, talks in an interview with the French newspaper Journal de Dimanche of suitcases stuffed with banknotes to help finance election campaigns.

He identifies five African leaders - Abdoulaye Wade (Senegal), Blaise Compaoré (Burkina Faso), Laurent Gbagbo (Ivory Coast), Denis Sassou Nguesso (Congo-Brazzaville) and Omar Bongo (Gabon) - as the sources of payments totalling $10m (Dh36.7m) for Mr Chirac's 2002 presidential campaign alone.

Mr de Villepin, best known internationally for leading France's opposition to the invasion of Iraq, was the secretary general of Mr Chirac's Elysée operations. He later served as foreign minister and prime minister and is a 2012 presidential hopeful, intent on opposing his centre-right adversary, President Nicolas Sarkozy.

The allegations, angrily denied by both men, who say they will sue Mr Bourgi for defamation, could hardly have been timed to cause more controversy and damage.

Mr Chirac, 78 and in ailing health, is currently being tried in his absence on corruption charges dating from his long spell as mayor of Paris.

Tomorrow, a Parisian court is to hand down judgment in a separate criminal case in which Mr de Villepin is accused of plotting to implicate Mr Sarkozy in false allegations that kickbacks for overseas defence sales were routed into illegal bank accounts. Judges will rule on a prosecution appeal against the 2010 outcome of the first trial, when Mr de Villepin was acquitted.

Even by the standards of a country accustomed to intermittent stories of questionable political and financial activity, the accusations levelled by Mr Bourgi, born in Senegal to Lebanase parents, are extraordinary.

His mentor was Jacques Foccart, the late president General Charles de Gaulle's chief adviser on African affairs and a man deeply - and, it is now claimed, murkily - embroiled in France's tangled relations with the continent.

After serving Mr Chirac, Mr Bourgi became Mr Sarkozy's African adviser, a fact considered significant by those critical of the content and timing of his allegations.

Mr Bourgi told the Journal de Dimanche he thought of Gen de Gaulle and "felt ashamed" after one mission to deliver money from Mr Bongo, then president of Gabon, who is now deceased.

"With large remittances, I was awaited like Santa Claus," he said. "Normally, a lunch with Jacques Chirac would be organised for the African donor and then the funds would be handed over in the office of the secretary general (Mr de Villepin). Once I was late … I had a big sports bag containing money that was so heavy it hurt my back. Bongo and Chirac were seated comfortably in the secretary general's office. I greeted them, and put the bag behind the sofa. Everyone knew what it contained. That day, I thought of the Le Général, and felt ashamed."

On another occasion, he claimed, Mr Compaoré, the president of Burkina Faso, suggested hiding $3m in four djembés - African drums - because of Mr de Villepin's renowned love of art.

The Journal de Dimanche introduced a long interview with Mr Bourgi with a headline about "25 years of secret practices" under Mr Chirac - in other words, the period during and prior to his terms as president. The claims also feature in a book written by the French investigative journalist Pierre Péan, due out this week.

Mr Chirac, through his lawyers since he now suffers from memory loss and declining physical health, and Mr de Villepin wasted no time in responding to the allegations.

Jean Veil, a senior figure in Mr Chirac's legal team, told Agence France-Presse: "It is somewhat suspect, and in all honesty scandalous, that Mr Bourgi should have waited until he was no longer able to defend himself before relieving his delicate soul of these crushing weights that have been on his conscience for so many years."

Mr de Villepin said when confronted by Journal de Dimanche that he had become adept at anticipating dirty tricks.

Later, he went on national television to denounce the allegations as lies, questioning the timing of Mr Bourgi's account and calling it "serious, outrageous and having all the detail of bad thrillers".

Such underhand transactions he said, reflected "neither the practice nor spirit of Jacques Chirac's presidency".

Lawyers acting for both politicians plan to initiate libel proceedings against Mr Bourgi, who insisted on Europe 1 radio yesterday that he was telling the truth while admitting that he had no proof. "In such areas, there is no proof, no trace," he said.

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Investing success often hinges on discipline and perspective. As markets fluctuate, remember these guiding principles:
  • Stay invested: Time in the market, not timing the market, is critical to long-term gains.
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Emergency

Director: Kangana Ranaut

Stars: Kangana Ranaut, Anupam Kher, Shreyas Talpade, Milind Soman, Mahima Chaudhry 

Rating: 2/5

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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The Africa Institute 101

Housed on the same site as the original Africa Hall, which first hosted an Arab-African Symposium in 1976, the newly renovated building will be home to a think tank and postgraduate studies hub (it will offer master’s and PhD programmes). The centre will focus on both the historical and contemporary links between Africa and the Gulf, and will serve as a meeting place for conferences, symposia, lectures, film screenings, plays, musical performances and more. In fact, today it is hosting a symposium – 5-plus-1: Rethinking Abstraction that will look at the six decades of Frank Bowling’s career, as well as those of his contemporaries that invested social, cultural and personal meaning into abstraction. 

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Cryopreservation: A timeline
  1. Keyhole surgery under general anaesthetic
  2. Ovarian tissue surgically removed
  3. Tissue processed in a high-tech facility
  4. Tissue re-implanted at a time of the patient’s choosing
  5. Full hormone production regained within 4-6 months