Fed Blocks Purpose Black's Bank Accounts

Jun 15 , 2024

Ethiopian authorities have blocked the bank accounts of Purpose Black Ethiopia, including those held by its CEO, Fiseha Esehtu (PhD). This action comes amidst allegations of a "controversial transaction scheme". Purpose Black executives disclosed the Financial Intelligence Service (FIS) initiated the process three weeks ago, and instructed  commercial banks to block the accounts citing suspicious financial activity. Ermias Birhanu (PhD), the company's legal director, remains oblivious regarding the move, stating, "We can't understand why this happened." He said the move has placed the company in financial jeopardy, hindering employee payments and operations. Purpose Black has courted previous controversy with its audacious projects. This is the third time the company's accounts have been blocked. The timing coincides with the launch of its two projects: an ambition to mobilise over 100 billion dollars in the next five years and an integrated housing scheme. Its proposed 115-storey building has also sparked controversy about funding legitimacy. Ermias raises legal concerns about the extended account freeze exceeding the 72-hour limit stipulated by the law.