BEIRUT: Lebanese bankers refuted again some media allegations that Lebanon is a safe haven for fleeing Syrian deposits as Washington sent a senior treasury official to check if financial institutions are complying with U.S. and European efforts to foil any attempt by Damascus to evade sanctions.

U.S. Treasury Assistant Secretary for Terrorist Financing Daniel L. Glaser, who held talks with Prime Minister Najib Mikati, Central Bank Governor Riad Salameh and a number of representatives from the banking community, called on Lebanese authorities to protect the financial sector from the potential of Syrian attempts to evade U.S. and European financial sanctions.

“We don’t see the alleged billions of dollars fleeing Syria to Lebanese banks. The banks’ growth in assets and deposits in the first nine months of this year was lower than 2010 and this by itself is another proof that no Syrian deposits have entered the banking system,” Makram Sader, the secretary-general of the Association of Banks in Lebanon, told The Daily Star.

Both Mikati and Finance Minister Mohammad Safadi reiterated to Glaser that no Syrian deposits have entered Lebanon since the crisis erupted in Lebanon’s neighbor.

“Our policy, irrespective of the position of other countries, centers around the protection of our financial institutions and depositors,” Sader said.

He added that although there is no Security Council resolution which prohibits banks from dealing with Syria, the local banks nevertheless are keen to protect the interests of their depositors and for this reason the banks are fully aware that they risk future transactions in Europe and the United States by violating the sanctions.

“This is a matter of discipline. Each bank will work according to its interest. Neither the Central Bank nor the government can force you to work against your vested interest,” Sader said.

Mikati told the U.S. official that the Lebanese banking sector is the main engine of growth for the economy and that’s why no Lebanese, whether he is in the public sector or banks, will be prepared to expose himself to any risk.

The prime minister insisted that the Central Bank is taking all the proper measures to protect Lebanese banks.

Another banker, who spoke on condition of anonymity, said that Glaser repeated the old U.S. position regarding the risk of accepting Syrian funds but did not suggest to the Lebanese that they should close Lebanese banks operating in Syria.

“Glaser underlined the importance of transparency and the protection of both the banks and the depositors. He did not dictate anything on us during the meeting,” the banker said.

He added that Lebanese banks have no desire to defy the international community nor take any uncalculated risk in the future.

This is Glaser’s first visit to Lebanon as assistant secretary, according to a statement made by the U.S. Embassy.

The embassy said that Glaser underscored in his meeting the need for Lebanon to take the necessary steps to ensure a transparent and well-regulated financial sector for Lebanon’s continued prosperity.

He also stressed the need for authorities to protect the Lebanese financial sector from potential Syrian attempts to evade U.S. and EU financial sanctions.

He reiterated the U.S. view that it is important to ensure that the current instability in Syria does not undermine the Lebanese financial sector.

Glaser also called for Lebanon to meet all of its international obligations, including cooperating with and funding the Special Tribunal for Lebanon. He renewed the commitment of the United States to a stable, sovereign and independent Lebanon.