Lost Trillion Case
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The Lost Trillion Case, also known as the Missing Trillion Case, () was an
embezzlement Embezzlement (from Anglo-Norman, from Old French ''besillier'' ("to torment, etc."), of unknown origin) is a type of financial crime, usually involving theft of money from a business or employer. It often involves a trusted individual taking ...
scandal in
Turkey Turkey, officially the Republic of Türkiye, is a country mainly located in Anatolia in West Asia, with a relatively small part called East Thrace in Southeast Europe. It borders the Black Sea to the north; Georgia (country), Georgia, Armen ...
involving the use of forged documents by the
Welfare Party The Welfare Party (, RP) was an Islamist political party in Turkey. It was founded by Ali Türkmen, Ahmet Tekdal, and Necmettin Erbakan in Ankara in 1983 as heir to two earlier parties, National Order Party (MNP) and National Salvation Party ...
(, RP) executives to prevent the return of Treasury grants in amount of around one trillion old
Turkish lira The lira (; Currency sign, sign: Turkish lira sign, ₺; ISO 4217, ISO 4217 code: TRY; abbreviation: TL) is the official currency of Turkey. It is also legal tender in the ''de facto'' state of the Turkish Republic of Northern Cyprus. One lira i ...
, i.e. ₺ in currency following the ban of the party in 1998. Party leader and former prime minister
Necmettin Erbakan Necmettin Erbakan (29 October 1926 – 27 February 2011) was a Turkish politician and political theorist who served as the 23rd prime minister of Turkey from 1996 to 1997. He was pressured by the military to step down as prime minister and was la ...
as well as 68 party officials received prison sentences after a court trial, although the former's was commuted to house arrest.


Background

The Welfare Party, an Islamist political party in Turkey founded and led by Necmettin Erbakan (1926–2011), had received grants from the Treasury in accordance with the applicable laws. In June 1998, the coalition cabinet of Erbakan was forced to resign following the submission of a memorandum by the military on February 28, 1997. The same year, the
Constitutional Court A constitutional court is a high court that deals primarily with constitutional law. Its main authority is to rule on whether laws that are challenged are in fact unconstitutional, i.e. whether they conflict with constitutionally established ru ...
banned the Welfare Party on the grounds that it tried to overthrow Turkey's secular system and to promote
Islamic fundamentalism Islamic fundamentalism has been defined as a revivalist and reform movement of Muslims who aim to return to the founding scriptures of Islam. The term has been used interchangeably with similar terms such as Islamism, Islamic revivalism, Qut ...
. Erbakan was suspended from active politics for a term of five years. The bans were upheld by the
European Court of Human Rights The European Court of Human Rights (ECtHR), also known as the Strasbourg Court, is an international court of the Council of Europe which interprets the European Convention on Human Rights (ECHR). The court hears applications alleging that a co ...
as well. The Treasury requested the return of the financial aid worth around one trillion lira (₺ in ) from the then-closed RP. The amount was rounded from 896 billion lira (₺ in ). The party executives declared that the funds were spent on party activities. However, an investigation found that the amount was converted into 10 million
Deutsche Mark The Deutsche Mark (; "German mark (currency), mark"), abbreviated "DM" or "D-Mark" (), was the official currency of West Germany from 1948 until 1990 and later of unified Germany from 1990 until the adoption of the euro in 2002. In English, it ...
(
Euro The euro (currency symbol, symbol: euro sign, €; ISO 4217, currency code: EUR) is the official currency of 20 of the Member state of the European Union, member states of the European Union. This group of states is officially known as the ...
in ) and was then deposited in Yapı ve Kredi Bankası. Early in 1997, the amount was withdrawn from the bank.


Trial and conviction

In the beginning of 1999, Erbakan and 78 party members were prosecuted by the First High Penal Court of Sincan in
Ankara Ankara is the capital city of Turkey and List of national capitals by area, the largest capital by area in the world. Located in the Central Anatolia Region, central part of Anatolia, the city has a population of 5,290,822 in its urban center ( ...
. They were accused of embezzling trillions by forging 139 official party documents with the intention to hide the grants, which the Treasury ordered back. The case became known as the "Lost Trillion Case" or the "Missing Trillion Case" (). Among the defendants were prominent politicians like Åževket Kazan, former
Minister of Justice A justice ministry, ministry of justice, or department of justice, is a ministry or other government agency in charge of the administration of justice. The ministry or department is often headed by a minister of justice (minister for justice in a ...
, and
Ahmet Tekdal Ahmad () is an Arabic male given name common in most parts of the Muslim world. Other English spellings of the name include Ahmed. It is also used as a surname. Etymology The word derives from the root ( ḥ-m-d), from the Arabic (), from t ...
, co-founder and first leader of the party. In March 2002, Erbakan received a prison sentence of two years and four months. The court convicted 68 party officials to sentences of up to one year and two months in prison. The court's decision was approved by the Supreme Court of Appeals.
Abdullah Gül Abdullah Gül (; ; born 29 October 1950) is a Turkish politician who served as the 11th president of Turkey from 2007 to 2014. He previously served for four months as Prime Minister of Turkey, Prime Minister from 2002 to 2003, and concurrently s ...
, who was the vice chairman of the party responsible for foreign affairs, joined another Islamist party, the
Virtue Party Virtue Party (, FP) was an Islamist political party established on 17 December 1997 in Turkey. It was found unconstitutional by the Constitutional Court and then banned on 22 June 2001 for violating the secularist articles of the Constitution. A ...
(, FP), in 1998. He was re-elected into the parliament in
1999 1999 was designated as the International Year of Older Persons. Events January * January 1 – The euro currency is established and the European Central Bank assumes its full powers. * January 3 – The Mars Polar Lander is launc ...
. His
parliamentary immunity Parliamentary immunity, also known as legislative immunity, is a system in which politicians or other political leaders are granted full immunity from legal prosecution, both civil prosecution and criminal prosecution, in the course of the exe ...
at the time of the trial spared him from prosecution. Erbakan's imprisonment was adjourned four times as he submitted medical reports about his poor health condition. The last adjournment took place in July 2005 for six month time. After the end of the term, he applied for the re-opening of his case, which was rejected in first and second instance. In April 2006, the Supreme Court of Appeals annulled the court's decision from March 2002. In accordance with the in-the-meantime-amended law, the court reduced Erbakan's sentence to eleven months and two days in house arrest. Erbakan began to serve his sentence at his summer residence in
Altınoluk Altınoluk, formerly Papazlık, is a summer resort and neighbourhood of the municipality and district of Edremit, Balıkesir Province, Turkey Turkey, officially the Republic of Türkiye, is a country mainly located in Anatolia in West A ...
of
Edremit, Balıkesir Edremit is a municipality and district of Balıkesir Province, Turkey. Its area is 682 km2, and its population is 167,901 (2022). It is situated at the tip of the gulf with the same name ( Gulf of Edremit), with its town centre a few kilomet ...
in house arrest in May 2008. Upon his application of pardoning, Abdullah Gül, at that time the
President of Turkey The president of Turkey, officially the president of the Republic of Türkiye (), is the head of state and head of government of Turkey. The president directs the executive branch of the national government and is the commander-in-chief of the ...
, pardoned Erbakan on permanent health grounds in August 2008.


Former Turkish President's testimony

Abdullah Gül Abdullah Gül (; ; born 29 October 1950) is a Turkish politician who served as the 11th president of Turkey from 2007 to 2014. He previously served for four months as Prime Minister of Turkey, Prime Minister from 2002 to 2003, and concurrently s ...
had been exempted from the trial due to his parliamentary immunity. Later, as he became state president in August 2007, he could not be brought before the court as, according to the Constitution, presidents may not be tried for any allegations other than treason. The re-opened case in 2008 referred to him as a "suspect". He expressed his willingness to appear before the court. However, the case remained for him frozen until the end of his presidency term in August 2014. The criminal court in
Ankara Ankara is the capital city of Turkey and List of national capitals by area, the largest capital by area in the world. Located in the Central Anatolia Region, central part of Anatolia, the city has a population of 5,290,822 in its urban center ( ...
decreed that Gül testifies for charges of falsifying official documents as the crime was committed before his presidency. Judicial experts are of the opinion that he would have been acquitted even he was tried because his responsibilities in the party were not of financial nature. As an example, RP officials Şevket Kazan,
Recai Kutan Mehmet Recai Kutan (5 April 1930 – 7 October 2024) was a Turkish politician who was the leader of the Felicity Party (SP). Life and career Kutan graduated from ITU obtaining a degree in civil engineering in 1952. Until 1973, he worked as an ...
,
Oğuzhan Asiltürk Oğuzhan Asiltürk (25 May 1935 – 1 October 2021) was a Turkish politician. He served as Minister of Industry and Technology and Minister of the Interior as well as chairman of the executive board of the Felicity Party. Biography Asiltürk at ...
, the deputy chairman and even the general accountant were all acquitted in the past. Gül announced his readiness to testify in the "Lost Trillion Case" right after he handed over his post as state president in late August. In November 2014, he testified before the court with the motive of "having justice operate flawlessly and seamlessly" and "in order not to leave any doubt on any issue". On December 6, 2014, the Head Public Prosecutor of Ankara announced its conclusion in the case as
nolle prosequi , abbreviated or , is legal Latin meaning "to be unwilling to pursue".Nolle prosequi
. refe ...
("unwilling to pursue") due to missing evidence required for a public lawsuit.


References

{{Scandals in Turkey Corruption in Turkey Political scandals in Turkey 1997 crimes in Turkey 1997 scandals Welfare Party Trials in Turkey