Ahmed Kamel – Egypt Daily News
Egypt’s Public Prosecution has opened an expanded investigation into suspected waste of public funds linked to land allocated to Zamalek Sporting Club in the 6th of October Gardens area, after uncovering evidence that the club sold parts of buildings that were never constructed to state-affiliated entities.
According to investigative findings, Zamalek Club received approximately 780 million Egyptian pounds in payments for units in buildings that had not yet been built, and in some cases before obtaining presidential approval or securing the required construction permits from the New Urban Communities Authority. The purchasing entities are described as public bodies whose funds are classified as public money and whose activities fall outside the scope of sports-related use.
Prosecutors said the funds received by the club are now under detailed review to determine how they were spent, amid growing suspicions of public fund mismanagement. The case has triggered wide-ranging inquiries by oversight authorities tasked with safeguarding state assets.
The investigation centers on a plot of land allocated to Zamalek Club in 2003. Records show that the land was withdrawn multiple times over the years due to the club’s failure to demonstrate seriousness in development or comply with reallocation conditions. The most recent withdrawal decision was issued in 2020.
Subsequently, the club was granted a final two-year grace period to complete construction, set to expire on April 3, 2024. However, an on-site inspection conducted by the New Urban Communities Authority found that construction progress did not exceed 2 percent of the planned works.
Investigators also revealed that the club submitted a new request to expand the built-up area and sought an additional four-year extension to complete the project. Under the authority’s regulations, such a request requires approval from the presidency, given the failure to meet the construction deadline that had previously been extended with presidential consent.
In light of these findings, the Public Prosecution has appointed a specialized committee of experts from the Illicit Gains and Public Funds Department to examine the case in detail. The committee has been tasked with reviewing financial transactions, contractual arrangements, and compliance with allocation and construction regulations. Prosecutors said the results will be made public once the committee submits its report.
The Public Prosecution reaffirmed its commitment to pursuing all necessary legal measures to protect public funds and confront all forms of corruption, stressing that accountability mechanisms are being enforced rigorously in line with the principles of the rule of law.
