State-run banks in Turkey allocate a substantial $5 billion to bolster the nation's currency, the lira, during a turbulent period for the opposition party, as per a recent report.
The Istanbul 45th Civil Court of First Instance has made a landmark decision, ruling that the Republican People's Party (CHP) Istanbul organization's 2023 congress was conducted contrary to democracy and equality principles. The elections, it found, were influenced by various benefits, a decision based on allegations of vote-buying during the Oct. 8, 2023, party congress.
The allegations included cash payments, electronic devices, job promises, and other material benefits. Ongoing investigations by the Istanbul Chief Public Prosecutor's Office and audio recordings were used as evidence.
The ruling has far-reaching implications, halting CHP's planned 39th Ordinary Congress proceedings for the Istanbul district and provincial congresses. As a result, the elected leadership of the CHP Istanbul organization has been removed.
A five-member temporary board led by Gursel Tekin has been appointed to oversee party operations in Istanbul. The court-appointed administration also includes Zeki Sen, Hasan Babacan, Mujdat Gurbuz, and Erkan Narsap.
The decision could potentially trigger a collapse of the opposition party's national leadership structure, as it affects delegates who participated in the 2023 party election that chose Ozgur Ozel as CHP national chairman. CHP Istanbul Chairman Ozgur Celik condemned the ruling as an attempt to stop the party's "march to power" and called for protests in Istanbul on Wednesday evening.
The political uncertainty surrounding the CHP Istanbul congress decision has led to widespread losses in the Turkish market. On Tuesday, the BIST-100 stock index dropped nearly 6%, and losses extended to 1.7% on Wednesday. Two-year government bond yields surged 76 basis points to 40.73%.
Turkish assets experienced further losses as a result of the political uncertainty. The BIST-100 stock index dropped an additional 2% on Wednesday. The court's ruling follows allegations of vote-buying during the Oct. 8, 2023, party congress.
It is worth noting that there is no information in the provided search results about whether Gürsel Tekin, appointed by a court to take over the CHP Istanbul Provincial Chairman, Provincial Executive Board, and Provincial Disciplinary Commission, has previously been active in another political party.
Parties have the right to appeal the accepted portions of the decision to the Istanbul court, while rejected portions can be appealed to the Istanbul Regional Court of Appeals. The court's ruling marks a significant development in Turkish politics and raises questions about the future of the CHP and the broader political landscape in Turkey.
