Asia in Review Archive

Mongolia

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15 April 2018

Mongolia: Former PM’s arrested over corruption case

(dql) In the context of an investigation into a copper mine joint venture in 2009 and 2015, Mongolia’s anti-corruption agency arrested two former Prime Ministers on suspicion of misuse of power:  Bayar Sanj, Prime Minister at the time of the signing of the original investment deal in 2009, and Saikhanbileg Chimed, Prime Minister at the time the agreement on the expansion of the mine was sealed in 2015. [Reuters]

Prior to the high-level arrests, a former finance minister had alraedy been detained. [AiR 2/4/2018]

8 April 2018

Mongolia: Arrests in high-profile graft probe

(dql) Mongolia’s Independent Authority Against Corruption announced this week the arrest of former Finance Minister Bayartsogt Sangajav in the frame of an investigation into alleged abuse of power in the context of investment talks for the Oyu Tolgoi copper mine, Mongolia’s giant mining joint venture between Turquoise Hill Resources, a majority owned subsidiary of Anglo-Australian Rio Tinto, and the Mongolian Government with the former holding 66% ownership and the latter 34%.

The arrest of Bayartsogt comes amid an ongoing criminal investigation of the Swiss Office of the Attorney General into a seized bank account which according to court documents had been used to transfer 10 million USD to Bayartsogt in September 2008 who on behalf of Mongolia signed an agreement with Canadian Ivanhoe Mines in 2009 to develop the giant mine. [Reuters]

In a related investigation into a 2015 financing deal for the mine’s underground expansion between Turquoise Hill, Rio Tinto and the government of Mongolia former Mongolian Prime Minister Saikhanbileg Chimed, in office for two years until 2016, has been asked to return from the US to justify himself to the prosecutors while the former chief executive of the state-owned entity holding Mongolia’s stake in Oyu Tolgoi, who signed the deal, and the former director general of the General Department of Taxation were arrested. [Financial Times]

17 November 2017

Bleak outlook for the Mongolia’s future

In office since October, Prime Minister U Khurelsukh is lacking a consistent agenda and strategy to fight corruption and to enhance the civil service and judiciary, the root causes for Mongolia’s current political crisis reflected by three governments within two years. Caught up with factionalism within his ruling Mongolian People’s Party, he will fail to lead the country out of this crisis, Julian Dierkes and Mendee Jargalsaikhan predict in this article [East Asia Forum].

6 October 2017

New Mongolian Prime Minister

Following the impeachment of Jargaltulgiin Erdenebat and his cabinet on grounds of corruption weeks ago, Deputy Prime Minister Ukhnaagiin Khurelsukh has been elected as new Prime Minister by the ruling Mongolia People’s Party [The Straits Times].

18 August 2017

For Mongolia’s new president is Mongolia first and China last

Mongolia’s new President Khaltmaa Battulga won the presidential election with a nationalistic, anti-China campaign. Since more than a month in office, a core issue and challenge of his administration will be to balance the relation-ships of Mongolia with Russia and China [East Asia Forum].