Citadel Capital says Egypt lifts travel ban on chairman

Reuters, Monday 20 Jun 2011

Ahmed Heikal is free to travel after the public prosecutor drops a ban placed in mid-April

Egypt's public prosecutor dropped a travel ban imposed in April on the chairman of private equity firm Citadel Capital , Ahmed Heikal, the company said on Sunday.

Heikal was ordered not to travel as investigators probed corruption allegations against several business leaders and government officials after a popular uprising ousted President Hosni Mubarak in February.

Citadel stock tumbled 10 per cent after the ban was announced on 14 April. The shares have lost a third of their value since the start of the year.

The public prosecutor said in April that Heikal and former prime minister Atef Obeid were accused of involvement in embezzlement of public money and profiteering.

"The public prosecutor has agreed today to remove the name of Ahmed Heikal, the company's chairman, from the list of people banned from travelling," Citadel said in a statement.

Dubai-based Abraaj Capital has held talks with Citadel with a view to possibly buying a stake in the firm, a source familiar with the matter said last week. Abraaj's Egypt Vice President Hisham Moussa said he was not aware of the talks.

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