A view the Royal Courts of Justice in London, United Kingdom. [Raşid Necati Aslım - Anadolu Agency]
A view the Royal Courts of Justice in London, United Kingdom. [Raşid Necati Aslım – Anadolu Agency]
Kuwait’s public pension fund has accused asset manager Man Group, Swiss bank EFG and others of laundering bribes paid to its late director as a year-long $1 billion trial began at London’s High Court on Monday, Reuters has reported.
The Public Institution for Social Security (PIFSS), which operates Kuwait’s social security and pension scheme, is suing the estate of Fahad Al Rajaan, its director from 1984 to 2014. Al Rajaan was in 2016 convicted in his absence of corruption and embezzling public money in Kuwait and died in London in 2022.
PIFSS alleges that, over the course of two decades, Al Rajaan and his associates received at least $970 million in bribes, described as commission payments which banks and investment companies did not need to pay.
It is suing Man Group, seeking around $156 million, alleging that the London-listed fund was involved in bribes paid to Al Rajaan to obtain PIFSS investment in Man products.
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However, Man – whose CEO Robyn Grew and her predecessors are due to give evidence – say that there is no evidence for the PIFSS case, which a spokesperson said it is defending robustly. “PIFSS has not identified any evidence showing that Man or its current or former employees knew of any wrongdoing,” added the spokesperson.
Man Group’s lawyers said in court filings that the company knew nothing about Al Rajaan’s corruption “let alone intend for any bribery to occur.”
EFG Bank is also fighting the case, in which PIFSS is seeking around $450m for allegedly helping to launder corrupt payments.
“PIFSS’ bid to recover $450m from a bank which paid no bribes and was not to any extent unjustly enriched through its relevant dealings is opportunistic and ill-conceived,” said its lawyer Camilla Bingham in court filings. She added that the Kuwaiti state had already recovered around $600m.
The trial is due to conclude in early 2026.
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