Mining tycoon Beny Steinmetz released by Greek top court

Israeli diamond and mining tycoon Beny Steinmetz has been released from detention in Athens after Greece’s Supreme Court blocked his extradition to Romania, as reported by Reuters.

Steinmetz was initially detained by Greek authorities on October 13 upon arriving at Athens International Airport on a private aircraft. Though he was later released under restrictions, he was detained again in January when a judicial panel ruled in favor of his extradition to Romania.

The arrest warrant against him relates to allegations that he was part of a group attempting to unlawfully secure land rights in Romania. His legal team has dismissed the accusations as “unfounded” and described Romania’s extradition request as “abusive.”

“This ruling is another vindication for Beny Steinmetz,” said his lawyer, Stavros Togias, calling the decision by Greece’s highest court “exceptionally important.”

Court history

In another case, Steinmetz, the owner of BSG Resources was sentenced in 2021 to five years in prison for allegedly paying $8.5 million to the wife of Guinea’s late president, Lansana Conté, to obtain concession rights for the vast Simandou iron ore project. However, a loophole in Swiss law allowed him to return to Israel within hours of the sentencing.

Steinmetz acquired the Simandou iron ore rights in 2008. With over two billion tonnes of reserves and exceptionally high-grade ore (66%–68% Fe), Simandou is one of the most valuable untapped iron ore deposits outside Australia’s Pilbara region and Brazil. The project has been the subject of a legal dispute between Steinmetz and Vale (NYSE: VALE).

The Brazilian iron ore giant has accused BSG Resources of fraudulently inducing it to buy a 51% stake in a joint venture to develop the mine — a concession later revoked by the Guinean government on charges that the rights were obtained through corrupt means. A government report at the time stated that Vale was not involved in the corruption.