Australian Exec Steps Down Over Cambodian Corruption Allegations

Office workers are reflected as they walk past the Australian Securities Exchange building in central Sydney. Reuters

Australian Exec Steps Down Over Cambodian Corruption Allegations

Khmer Times / Cheang Sokha and Mark Tilly Monday, 21 March 2016 

The head of the Australian Security Exchange (ASX) has stepped down after the launch of an investigation by Australian and US authorities over an alleged $200,000 bribe made with his knowledge to a company connected to one of Prime Minister Hun Sen’s sisters and facilitated by one of his nephews in a bid to acquire an online gambling license in the Kingdom in 2010.

Elmer Funke Kupper was head of Tabcorp, an Australian gambling operator, at the time, who along with a number of advisors and surveyors were attempting to win the Cambodian government’s support to back an online gambling market in the lead-up to the lucrative 2010 FIFA World Cup.

According Australia’s Fairfax Media, the $200,000 payment was made by a US consulting firm connected to one of Mr. Hun Sen’s sisters and facilitated by one of his nephews.

Hun To, one of Mr. Hun Sen’s nephews, was contacted by Khmer Times yesterday while he was waiting for a flight to Australia at Phnom Penh International Airport.

He said he did not know who Mr. Funke Kupper was.

“I never dealt with them on any business, I only make business with my relatives there,” he said.

Mr. To, who has several businesses in Australia, questioned Mr. Funke  Kupper’s actions in Cambodia.

 

“He is a rich man in Australia, why send small money of only $200,000. What type of business is he dealing [in Cambodia]?”

When told the deal was made through one of the premier’s nephews, Mr. To said: “You have to find who is in Samdech (Hun Sen’s) family.

“He has many nephews. Why is Samdech’s nephew always linked to me? I am at the airport now awaiting a flight to Australia.

“You have to find out who is that nephew of Samdech and what business he is dealing with. Samdech has many nephews, not just me. There should be a clear investigation.” he said.   

Mr. Funke Kupper, who left Tabcorp to run the ASX,

the body that is in charge of regulating stock market rules in Australia, is now the subject of a joint criminal investigation by Australian and US anti-corruption authorities.

Phay Siphan, the spokesman for the Council of Ministers, said it was inappropriate to associate the prime minister with the allegations as family members have their own businesses that have no relation to the government.

“Hun Sen’s sisters are not affiliated with the government, so why involve the prime minister’s name with these allegations?” he said.

Mr. Siphan said that if bribes were made, it was because of Mr. Funke Kupper’s own corrupt practices.

“We do not support corruption. If a bribe was made, it is because of these corrupt businessmen in Australia.”

Preap Kol, the Executive Director of Transparency International Cambodia, welcomed the investigation.

“We believe it is appropriate for the Australian government to investigate this and it would be important to enclose the results of this investigation,” he said. “If there is evidence of such a violation, we would like to see a serious response from the government.”

Mr. Funke Kupper told Fairfax Media last week that he was unaware that the payment was made.

“I can’t recall anything like that. You should always contact the company in relation to these matters,” he said.

Tabcorp’s online gambling venture in Cambodia ended in 2011.