YCB Announces Big Profits & Watani Bank Trials Continue

In a statement released last Saturday, the Yemeni Commercial Bank (YCB) announced that its 2007 net profits rose to over YR 1.2 billion instead of YR 933 million in 2006.

The bank added the net profit for each share in 2007 was just YR 273 dropping from 365 achieved in 2006, adding its total assets rose to YR 64 billion against YR 41 billion recorded by the end of 2006.

According to the statement, the customers' deposits increased to reach YR 51.5 billion by the end of 2007 after they were just YR 35 billion during the same period of 2006. Further, the loan interests rose, accounts and treasury bills rose to YR 2 billion against about YR 2 billion recorded by 2006.

Economists doubted the numbers announced by the YCB owned by businessman Mohammed Ali Al-Royishan, one of the senior importers of wheat and flour. They also stressed it is one of four Yemeni banks on the verge of bankruptcy and also expressed their surprise at the announced figures especially with net profits of depositors.

In related news the State Specialized Appeal Court held a session to look into the case of the Watani Bank wherein the chairman of the board of directors Ahmed Al-hamadani and other members are convicted of wasting the bank and depositors' money.

In Saturday's session, the prosecution announced it provided all evidences it had and demanded the court to set the time for the final proceedings.

Al-Hamdani's lawyer appealed against the prosecution's decision which demanded the commercial guarantees with big sums of money against the loans and facilitations provided by Al-Hamdani for some bank customers.

For his part, head of legal affairs – also in charge of liquidation committee – at the Central Bank and submitted a note challenging the illegality of Al-Hamdani and the third accused official's appeal, demanding setting a time for the final proceedings.