Pusula and Tera Holding executives arrested in capital markets probe

ISTANBUL

Five people, including the chairmen of Pusula Holding and Tera Investment Holding, have been arrested as part of an ongoing investigation into investment funds.

Among those arrested are Serdar Turhan, Chairman of Pusula Holding, and Emre Tezmen, Chairman of Tera Investment Holding, along with executives Alper Özturk, Emre Alkin, and Kerem Alkin.

The five suspects were taken into custody during the investigation and later referred to the Istanbul Courthouse.

Following questioning by prosecutors, the suspects were formally referred to a criminal court. The court subsequently ordered the detention of all five individuals pending trial.

The investigation is part of a broader probe into transactions carried out in Turkey’s capital markets.

Goldman Sachs analysts said in a report that Turkish money markets saw $1.8 billion worth of outflows in the week to Sept. 11.

Turkish Lira deposits, on the other hand, have increased by $12 billion as of Sept. 15, outpacing the inflows to FX and gold deposits in the banking system on a valuation-adjusted basis, they said.

Turkish investors exiting money market funds are likely transferring their savings to lira deposits, according to the analysts.