Myanmar has started controlling illegal cash flow from George Soros and Alexander Soros’ Open Society Foundation to Open Society Myanmar, Myawady TV announced during night hours news on March 15.
Open Society Foundation is providing financial support to NGO, INGOs and CSOs across the world.
George Soros, chairman of Open Society Foundation, met with Daw Aung San Suu Kyi for the first time in New York, the United States, on September 24, 2016. Together with his son Alexander Soros, he met Daw Aung San Suu Kyi for the second time in Nay Pyi Taw on January 11, 2017. They discussed the opening of Open Society Myanmar as a branch of their foundation, said the Myawady TV news.
In October 2018, officials from Open Society Myanmar arrived at SMED Bank in Wadan Street in Yangon opened a bank account with US$100. US$5 million was deposited in the Open Society Myanmar’s bank account on December 20, 2018.
Open Society Foundation’s sending of US$5 million to the SMED Bank did not send documentation to and seek permission from the foreign currency management department of the Central Bank of Myanmar. Despite sending a report under electronic reporting system (ERS) after permission had been granted, mixed reporting was made under ERS.
Regarding the money, a memorandum of understanding was signed between the SMED Bank and Open Society Myanmar. The US$5 million was deposited in the bank without interest. The agreement on the spending of the money is due to be invalid on April 30, 2021. The deposit amount was only US$5 million from 2018 to 2021 and no further deposit was found, the Myawady TV news said.
After scrutiny, it is also found that US$1.4 million out of the deposited 5 million was withdrawn, exchanged for Ks1999.9 million (Ks1,400 per dollar) on February 8, 2021 and spent without legal procedures.
Twenty four banks in Myanmar came under scrutiny to control accounts flow of Open Society Myanmar. Then, it is found that US$3.81 million and Ks375 million were deposited in four banks namely KBZ Bank, AYA Bank, SME Bank and CB Bank. Accordingly, those bank accounts came under control.
Effective action will be taken against the SMED Bank in accord with the relevant laws while Open Society Myanmar will also face legal action for violating the association law and rules, the Myawady TV announced.
