What was the involvement of Khalid Bin Mahfouz in the BCCI affair in 1991?
Khalid Bin Mahfouz was an investor in BCCI and for a time a non-executive director. At no stage did he hold an executive position in the bank. When BCCI collapsed, Khalid Bin Mahfouz, together with others, was indicted in New York State on the grounds that he had withdrawn sizeable investments in the bank just before its collapse. Khalid Bin Mahfouz vigorously contested the allegations because he had acquired the right to “put” his shares in BCCI at the time he made his investment, and had legitimately exercised that right.
