Libyan sovereign wealth fund sues Belgian prince for fraud over reforestation project

Libya's sovereign wealth fund has filed a criminal complaint against Prince Laurent of Belgium, accusing him of fraud and extortion linked to his bid to reclaim funds from a failed reforestation project, lawyers said on Friday.

Law firm Jus Cogens, which represents the Libyan Investment Authority (LIA), said it filed the complaint against Prince Laurent for extortion, fraud and illegal influence this week.

"We have communicated factual elements to the investigative judge showing, according to us, that Prince Laurent abused his status as a public office holder", said Christophe Marchand, founding partner at Jus Cogens.

A lawyer for the prince said the complaint "was not serious".

The prince, brother of the king, and Libyan authorities signed a multimillion euro contract in 2008 aimed at reforesting desert regions of inland Libya. The project collapsed with the outbreak of civil war in Libya in 2011.

The LIA alleges that the prince exerted "unacceptable pressure" in an attempt to obtain payment of nearly 70 million euros ($78.52 million) he says he is owed by the Libyan Ministry for Agriculture.

"It's pathetic", the prince's lawyer Laurent Arnauts said in a statement.

"Libyan dignitaries are trying to save face because they've just lost a 13th time before the Belgian courts and in Luxembourg".

Libya has been under international sanctions since 2011 and the country's 14 billion euros sovereign wealth is currently frozen in Brussels-based bank Euroclear.

(Reuters)