DEVA Party Chairman Ali Babacan assessed the Fund Coordination Board Meeting chaired by Cevdet Yılmaz and said that public resources should not be used. Babacan stated that leaving the losses to the Treasury and the gains to individuals in risks for which the state is neither a guarantor nor providing a guarantee would create “moral hazard” in the economy, adding that they would closely monitor the issue and “hold them accountable for every penny.”
Describing developments in the capital markets as a “fund fraud,” Babacan argued that the current board was inadequate for crisis management. He said that the permanent task force he had previously proposed should have the following characteristics:
- Consist of five or seven members
- Be composed of experts in capital markets, central banking, banking and law
Babacan recalled that the Minister of Treasury and Finance had said in November 2025 that they had been aware of the manipulation, and that the deputy chairman of the ruling party had also stated that the state had failed to do its job. Questioning why the responsible institutions had not taken action, Babacan called for those responsible to step down and a new team to be formed.
Why it matters
At the center of the debate is the question of under what conditions losses in the capital markets could be passed on to public resources and among whom the risk and gains would be shared. For this reason, the issue concerns not only fund investors but also the use of Treasury resources and the functioning of the institutions responsible for overseeing the financial markets. Babacan’s proposal for a standing task force shows that the existing structure’s capacity to intervene and level of expertise when a crisis emerges are being called into question. The key unresolved issue is why the relevant institutions failed to act during the period when they were reportedly aware of the allegations of manipulation, and how the chain of responsibility will be activated from now on to prevent public losses. Until these questions are answered, the demand to establish a new board alone will not be considered to have resolved the oversight problem.
Background
Babacan is not a new name in the FikirPilot archive: we have published 8 reports mentioning him in the last 90 days; the most recent is dated 28 September 2026.