Mongolia ex-PM accused of buying luxury Manhattan flats with corrupt funds

Sukhbaatar BatboldGetty Images

According to US government, Mongolia’s former prime minister allegedly used the money of a dishonest plan to purchase two luxurious apartments in New York City.

Prosecutors are seeking to seize the prime real estate in midtown Manhattan, worth a total of$ 14m ( £11m ).

They allege Sukhbaatar Batbold, who served as PM from 2009- 2012, bought the flats after his family- managed company was awarded a big mining contract.

Mine is the key sector in Mongolia. Mr Batbold has denied the charges.

The Mongolian lawmaker, 60, still sits in congress.

In a speech released by Reuters, Batbold’s attorney Orin Snyder said,” Mr. Batbold looks forward to his time in court, when he will have the opportunity to protect himself against these false says.”

According to US federal prosecutors, he purchased two apartments close to Central Park, one at The Carlton House, a building that is only a block away from Carnegie Hall, and a condominium unit in the Park Imperial, a 70-story glass building, a few doors away.

Google Maps street view of The Carlton House in midtown Manhattan

GOOGLE

They accuse him of “funnelling millions of dollars from mining contracts through illegitimate shell companies to finance his family’s lavish lifestyle.”

According to FBI Assistant Director in Charge James Smith, Batold’s alleged behavior, which allegedly profits from public corruption, comes at the expense of the law-abiding citizens he governed.

When Mr. Batbold was prime minister, a business he controlled through intermediaries was given a$ 68 million mining contract, according to US prosecutors, despite the business, known as Catrison, having no prior mining operations or history. Its one and only director was a former linguist.

Millions of dollars from that contract and other mining contracts were then diverted into foreign bank accounts and passed through shell companies. According to US prosecutors, some of that money was used to finance the purchase of the Manhattan apartments.

According to their court claim, Mr. Batbold’s eldest son allegedly used one of the apartments, and the address was listed as his US postal address.

Although Mr. Batbold is not facing charges himself, the properties could be forfeited by the state if the court rules that Mr. Batbold’s claims are true.

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