Irrawaddy-July 10
Singapore’s United Overseas Bank (UOB) will shut all of Myanmar junta-linked Myanmar Airways International (MAI)’s bank accounts by August 15, after beginning the process by imposing restrictions and heightened scrutiny on the airline’s accounts earlier this month. Despite MAI’s appeal to maintain the bank accounts, “UOB has remained firm in closing the account,” a recent letter sent to MAI’s business partners said. The letter, signed by the airline’s CEO Saravanan Ramasamy, does not explain why UOB is closing MAI’s accounts, but their closure follows US sanctions on two Myanmar state-owned banks that conduct international transactions last month. The junta used the two banks to facilitate payment for weapons and materials that allow it to continue its violence and oppression, the US said. The MAI letter said UOB will cancel the five accounts it has at the bank by August 15. The letter includes an email from a UOB executive outlining a three-step process for canceling the five accounts and advises MIA that there will be enhanced monitoring of the accounts during their phase out as well as “delays in the processing of payments and collections.” MAI accounts were unable to receive cash and cheque deposits from July 1, according to the email. Restrictions on payments from the MAI accounts will be imposed from July 21 and all payments into them will be blocked. The accounts will be canceled on August 15, with “any remaining balance remitted out,” the email from the UOB executive says. MAI is owned by crony U Aung Aung Zaw, the chairman of the 24 Hour Group of Companies, which also runs carrier Air KBZ. Both airlines were previously owned by arch-crony U Aung Ko Win, owner of the KBZ Group of Companies. Air KBZ and MAI were sold to 24 Hour Group in late 2018. Neither company provided details about the deal. Read more at:
