Rafic Hariri - Corruption

Corruption

Hariri was considered as the principal actor in the widespread corruption that plagued Lebanon during the Syrian occupation. His wealth grew from less than $1 billion dollars when he was appointed prime minister in 1992, to over $16 billion when he died. The Company for the Development and Reconstruction of Beirut's Central District, known as Solidere, in which Hariri is the primary shareholder, expropriated most property in the central business district of Beirut, compensating each owner with shares in the company, were worth as little as 15% of the property's value. That Hariri and his business associates profited immensely from this project was an open secret.

Hariri and his protégés were not the only beneficiaries of this spending spree. In order to secure support from militia chieftains, and pro-Syrian ideologues that Damascus had installed in the government, Hariri allowed kickbacks from public spending to enrich all major government figures. Contracts for the import of petroleum were awarded to the two sons of President Elias Hrawi.

As result of the growing criticism and popular discontent with Hariri's policies, the government banned public demonstrations in 1994 and relied upon the Army to enforce the decree. In return for a relatively free hand in economic matters, Hariri cooperated with Syria's drive to consolidate its control over Lebanon. Under the guise of "regulating" the audiovisual media, the government placed control of all major television and radio stations in the hands of pro-Syrian elites. Supporters of Michel Aoun were also perpetually harassed and detained.

He is mainly credited with the widespread corruption that followed the war and the crippling damages done to the economy, with the public debt rising from $2.5 billion to over $40 billion and economic growth slowing from 8% to –1% during his time as prime minister.