Billionaire businessman Beny Steinmetz was placed under house arrest until January 2 after being questioned by Israeli police in relation to allegations of bribery and corruption in Africa, mining company BSG Resources (BSGR) said on Monday.

Earlier, Israeli authorities said they had detained a prominent businessman, who an official said was due to appear in court for a remand hearing.

Israeli police did not name the individual but said in a statement that he, along with other Israelis living abroad, was suspected of paying tens of millions of dollars to senior public officials in Guinea to advance their businesses.

Forwarding the News

Thoughtful, balanced reporting from the Forward and around the web, bringing you updated news and analysis each day.

Terms(Required)

I agree to the Forward's Terms of Service and Privacy Policy

Email(Required)

“This development is in the aftermath of ongoing and what BSGR believes to be obsolete investigations surrounding bribery and corruption against BSGR,” the company said in a statement, adding it believed the allegations to be baseless.

A spokesman for Steinmetz in Israel said he was not commenting at this stage.

BSGR said the investigations were initiated by the government of Guinea with international police organizations in the United States, Britain and Switzerland.

A government spokesman declined to say whether Guinea was involved in the case but said the government would fight corruption and uphold the principle of judicial independence.

“The Guinean government will assume its responsibilities and will respect the commitment of the head of state to fight against corruption,” Damantang Albert Camara said.

BSGR described Steinmetz as an adviser to the company, which is headquartered in the Channel Islands and is a mining arm of Steinmetz’s business conglomerate.

A BSGR spokesman told Reuters that Steinmetz does not sit on BSGR’s board or have an executive role, but “is the beneficiary of the foundation which owns BSG Resources.”

A Guinean government panel reviewing the West African nation’s mining deals investigated how BSGR obtained the rights to the Simandou deposit, one of the world’s largest untapped iron ore resources, in 2008.

Mining giant Rio Tinto and BSGR have both launched legal claims over the rights to Simandou.

Guinea’s former minister of mines, Mahmoud Thiam, was arrested in New York last week on charges he was involved in bribery payments linked to Guinea’s mining industry.

The Forward is free to read, but it isn’t free to produce

I hope you appreciated this article. Before you go, I’d like to ask you to please support the Forward.

Now more than ever, American Jews need independent news they can trust, with reporting driven by truth, not ideology. We serve you, not any ideological agenda.

At a time when other newsrooms are closing or cutting back, the Forward has removed its paywall and invested additional resources to report on the ground from Israel and around the U.S. on the impact of the war, rising antisemitism and polarized discourse.

Readers like you make it all possible. We’ve started our Passover Fundraising Drive, and we need 1,800 readers like you to step up to support the Forward by April 21. Members of the Forward board are even matching the first 1,000 gifts, up to $70,000.

This is a great time to support independent Jewish journalism, because every dollar goes twice as far.

—  Rachel Fishman Feddersen, Publisher and CEO

2X match on all Passover gifts!

$90 → $180 $180 → $360

$360 → $720

Other amount