Sme loan scandal

Following strong public criticisms of former Minister of Food, Agriculture and Light Industry B.Batzorig for abusing his power by issuing loans from the fund, which was operated under his authority, B.Batzorig had to resign from the minister’s position to take responsibility for the ongoing matter.

To address the loan scandal, Head of the Mongolian People’s Party and Prime Minister U.Khurelsukh instructed all lawmakers whose associates and family members took out loans from the fund to repay the loans immediately, and apologize to the people if they want the party’s support in future elections. Deputy Minister of Construction and Urban Development Sh.Lkhamsuren and Head of Government Agency for Policy Coordination on State Property Ts.Nyam-Ochir resigned as their associates took out loans from the fund, but others involved in the loan scandal were not held accountable for the loan misappropriation as law enforcement authorities’ investigation over loan misappropriation is still in progress.

The public is still demanding that law enforcement agencies and Parliament hold accountability to high-ranking state officials engaged in the loan scandal.