Ibrahim Nafi', former editor of the Egyptian government daily Al-Ahram, former chairman of the Al-Ahram Institute's board of directors, and current member of the Egyptian Shura Council, is suspected of embezzling some 3.5 billion Egyptian pounds (L.E.), or about $608 million, during his term as editor of the paper and chairman of the board of directors of the Al-Ahram Institute.

Nafi' has in the past faced investigation on charges of antisemitism in France, following MEMRI's translation of an article in his paper Al-Ahram that included a blood libel against the Jews. Nafi' was prosecuted under French law because the paper is also printed there. [1]

On February 24, 2006, Salah Al-Ghumri, Nafi's successor as the paper's editor and as chairman of the Al-Ahram Institute's board of directors, barred Nafi' from the office he still used at the Al-Ahram Institute, after the theft of files from Al-Ghumri's office - files which contained documentation of the main suspicions of embezzlement against Nafi', his sons, and his cronies at the institute. Currently, Nafi' is writing his column for Al-Ahram from his home. [2]

In light of the suspicions against Nafi', Egyptian Justice Minister Mahmoud Abu Al-Leil demanded that the Shura Council's Constitution and Legislation Committee remove Nafi's immunity as a Shura Council member. However, the committee rejected this request pending a discussion of his case, which was scheduled for March 22, 2006. [3]

Mustafa Bakri, member of the Egyptian parliament and editor of the Egyptian opposition paper Al-Usbu', investigated Nafi's case and published the results: far-reaching embezzlement by Nafi', his two sons, and his cronies. Bakri wrote that Nafi's salary as head of the Al-Ahram Institute had been L.E. 3 million (about $500,000) a month, and that currently his personal assets tallied L.E. 3 billion - in contrast to the L.E. 3,100 he had had in 1978. [4] Nafi', for his part, denied the allegations, and said that he had not received a salary of L.E. 3 million a month, or even L.E. 3 million a year. [5]

The following are the highlights of the Al-Usbu' investigation into Ibrahim Nafi''s embezzlement:

While Al-Ahram Owed Banks, Taxes, and Social Insurance - Nafi' Received Over Half a Million Dollars Every Month

According to the Al-Usbu' report, the Al-Ahram Institute "owes about L.E. 1 billion to banks and other [institutions]; it also owes taxes and social insurance [...] Most of the companies [under] the Al-Ahram Institute are losing [money]." Nafi's successor Salah Al-Ghumri found that Nafi' was receiving as salary L.E. 3 million a month, or half a million dollars, along with an additional L.E. 116,000 in percentages of circulation profits and advertising profits, as well as grants and income from Al-Ahram's companies. In addition, he freely spent money from the institute's accounts and embezzled funds - leaving the institute unable to pay its taxes.

Nafi's Sons' Company InterGroup had a Monopoly on Importing Institute Supplies

Al-Usbu' found that Intergroup, the company established by Nafi's sons Ahmad and Omar and senior institute official Hassan Hamdi, "was given a monopoly on importing all the institute's [office] supplies [...] and everyone in the institute was forbidden to purchase any supplies from any other company [...] Many recent publications were printed on [costly] chromo paper and caused great losses to the institute - but the institute continued [...] buying paper and ink from the company [...] regardless of the losses that this was incurring [...]"

During the Time Nafi' Worked for Al-Ahram, His Assets Increased From L.E. 3,100 to L.E. 3.5 Billion

According to the report, "data show that Nafi's wealth increased from L.E. 3,100 in 1978 [when he began working at Al-Ahram] to L.E. 3.5 billion in 2005 [when he left] [...] "

The report found that "a spider's web [of Nafi's cronies], who number no more than 30, [...] receive some L.E. 10 million a month in fees, salaries, and grants. This is while the institute's 10,000 clerks and journalists receive the sum of L.E. 20 million [all together] [...]

"[Also], the institute owned 250 Ford Mondeo cars, which were sold after a while as junkers, at L.E. 4,000 ($695) each - much lower than their value. Don't be surprised when you hear that the buyer was one of Nafi's sons."