BEIRUT: Four oil refinery employees have been charged in illegally profiting from the sale of subsidized heating oil fuel, termed the “red gasoil scandal” by the media, judicial sources said Friday.
The sources, speaking to The Daily Star on condition of anonymity, said Court of Accounts Prosecutor Judge Bassam Wehbe filed Thursday charges against the four individuals, accusing them of inflicting harm, wasting public money and damaging the public interest.
They said the case has been referred to trial at one of the Accounts Court.
Lebanon has two oil refineries: one in Tripoli, north Lebanon, and another in Zahrani, south of the country.
Toward the end of January 2011, the Court of Accounts launched a probe into allegations that distribution companies had profited illegally by purchasing VAT-exempted red gasoil and then later selling the fuel after the subsidy was lifted.
Reports said distribution firms illegally reaped an estimated $800,000 in profits in 24 hours.
But oil sector experts suggest hoarding was taking place throughout the VAT-free period.
Sources close to the court had told The Daily Star in January that 10 public employees would be named in the investigations.
Wehbe has said that the court’s investigation was focused on exposing the role of around 100 distribution companies that were involved in the hoarding of VAT-free gasoil.