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Edmond Safra

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Edmond Safra
BornTemplate:Birth date
Beirut, Lebanon
DiedDecember 3, 1999(1999-12-03) (aged 67)
Occupation(s)Banker, philanthropist
Years active1948–1999
Known forFounder of Trade Development Bank, Republic National Bank of New York; philanthropy

Edmond Jacob Safra (; 6 August 1932 – 3 December 1999) was a Lebanese-Brazilian billionaire banker and philanthropist of Syrian heritage. He expanded his family’s banking enterprises in both Brazil and Switzerland and was married to Lily Watkins from 1976 until his passing.[1] His death occurred in a highly publicized fire, which was legally ruled as arson.

Early life

Born on 6 August 1932 in Beirut, Lebanon, Edmond Safra[2] hailed from a Sephardic Jewish family with roots in Aleppo, Syria.[3] His father, Jacob Safra, established J. E. Safra Bank in Beirut in 1920, which was renamed Banque Jacob E. Safra in 1929 and later became Banque de Credit National S.A.L. (BCN) in 1956.[4] By the age of sixteen, Edmond had begun working at his father’s bank, specializing in precious metals and foreign currency exchange.

In 1949, the family moved to Italy where Edmond joined a trading firm based in Milan. At just 16 years old, he generated $40 million through arbitrage involving Italian and British gold sovereigns, funds he then used to launch Trade Development Bank in Geneva, notable for its use of ancient Arabic script in its accounting records.[5] The family relocated again to Brazil in 1952, where Edmond and his father founded their initial Brazilian financial institution by 1955.

Career

Safra established himself in Geneva in 1956 to launch the private Trade Development Bank, which grew from an initial capital of US$1 million to US$5 billion throughout the 1980s. He expanded his banking empire by founding the Republic National Bank of New York in 1966 alongside Republic National Bank of New York (Suisse) headquartered in Geneva. Republic Bank operated eighty branches across the New York metropolitan area, ranking third behind Citigroup and Chase Manhattan.

His banking operations catered to clients across Monaco, Luxembourg, and Switzerland. From 1980 until Safra’s death, Walter Weiner served as his legal counsel and was CEO of Republic National Bank of New York until 1983 before becoming chairman.

The controversial sale of Trade Development Bank to American Express occurred in 1983 for over US$450 million. Following defamatory remarks by American Express, Safra successfully sued for defamation, winning a public apology and US$8 million in damages that he donated entirely to charitable causes.

In 1988, he created Safra Republic Holdings S.A., a bank holding company based in Luxembourg. By the early 1990s, his net worth was estimated at approximately US$2.5 billion.

Safra co-founded Hermitage Capital Management with Beny Steinmetz and Bill Browder in 1996. This hedge fund rose to prominence as a leading investment firm focusing on Russia but later became associated with the Sergei Magnitsky controversy.

On 17 August 1998, Republic National Bank of New York suffered a decline of 45% in net income due to significant exposure to Russian bonds during the 1998 Russian financial crisis. That year, Safra’s bank alerted the FBI and Swiss authorities regarding an alleged money laundering operation involving IMF funds routed through Republic National Bank of New York (Suisse), Russian banks, and officials from Russia’s Ministry of Finance and Central Bank.

At that time, Republic National Bank served as the preferred foreign correspondent bank for numerous Russian banks, facilitating transfers of IMF loan funds estimated at $21.4 billion. These funds are believed to have played a role in precipitating the 1998 Russian financial crisis.

After receiving warnings from Russian businessman Boris Berezovsky about threats linked to his collaboration with prosecutors, Safra relocated from his Antibes villa to a secure bunker located in Monaco. He died in December 1999 following an arson attack on his Monaco residence carried out by two armed masked intruders; Safra succumbed due to smoke inhalation.

Later years

As he neared his sixties, Safra divided his time among homes located in Monaco, Geneva, New York City, and the Villa Leopolda on the French Riviera. Battling Parkinson's disease, he required professional nursing assistance.

In 1999, Safra sold Safra Republic Holdings along with Republic New York Corporation to HSBC for $10.3 billion in cash. On 31 December 1999, HSBC Private Bank was launched as the successor name to Safra’s previous assets.

Personal life

Edmond and Lily Safra were granted Monegasque citizenship on 2 December 1999. He had married Lily Watkins in 1976.

Death

In December 1999, a fire deliberately ignited at his Monaco residence caused the suffocation deaths of Safra and his nurse Vivian Torrente. Confident in his safety, Safra did not have overnight security personnel present. Monaco’s attorney general disclosed that Samuel Cohen, Safra’s head of personal security, verified the absence of guards during that night.

Ted Maher, Safra’s nurse, was arrested on suspicion of setting the fire to stage a rescue attempt for attention but losing control of the situation. He was convicted and sentenced to a decade in prison.

Half of Safra’s estate was left to various charitable organizations.

Philanthropy

A dedicated philanthropist, Safra endowed the Edmond J. Safra Philanthropic Foundation with his fortune. This foundation supports hundreds of initiatives spanning fifty countries in fields such as education, science, medicine, religion, culture, and humanitarian relief.

Emergency aid

Following Syria’s removal of travel restrictions on Jews in April 1992, Safra funded the relocation and resettlement of 4,500 Syrian Jews to Brooklyn, drawing upon his family’s roots in Aleppo.

Supporting religious communities

Safra made substantial contributions toward building and restoring synagogues globally, focusing on major Jewish hubs and emerging communities like Manila and Kinshasa. A highlight was constructing a new synagogue in Madrid five centuries after the previous one was built. He also restored synagogues in Amsterdam, Istanbul, Naples, Budapest, Rhodes, and Vienna while expanding facilities in Cannes and Paris. In Clermont-Ferrand, France’s oldest synagogue was preserved through his purchase on behalf of the local community. Additionally, he supported renovations of synagogues in smaller French towns. The Edmond J. Safra Synagogue in New York City exemplifies his dedication.

In Israel, he funded numerous synagogues and pilgrimage sites including the tombs of Rabbi Meir Baal Haness and Rabbi Shimon Bar Yohai. Numerous Jewish institutions worldwide bear his name.

Advancing healthcare and medical research

Safra contributed millions to healthcare facilities internationally such as Geneva’s Hôpital Cantonal de Genève, Hôpitaux de France, and several hospitals across the United States. He co-founded São Paulo’s Albert Einstein Hospital, recognized as a leading medical center in South America, and established the Edmond and Lily Safra Children's Hospital at Sheba Medical Center in Israel.

His support for medical research extended to institutions like Paris’s Institut Pasteur, Israel’s Weizmann Institute, the Michael J. Fox Foundation for Parkinson's Research, and multiple disease-focused centers globally. He created the Edmond and Lily Safra Chair in Breast Cancer Research at Tulane University.

In the United States, the Safra Family Lodge provides accommodation for families receiving treatment at the National Institutes of Health in Bethesda. In France, Clinatec's pioneering medical research is supported by funding from the Edmond J. Safra Foundation.

Education

Although Safra did not pursue university studies himself, he placed great importance on higher education. Alongside his wife, he established the International Sephardic Education Foundation (ISEF) in 1977, through which they provided scholarships to tens of thousands of underprivileged students, primarily supporting Israeli youth.

His commitment to academia extended to funding endowed positions and academic initiatives. Notably, he created the Jacob E. Safra Professorship of Jewish History and Sephardic Civilization and supported the Edmond J. Safra Center for Ethics at Harvard University. Additionally, he contributed to the Robert F. Kennedy Visiting Professorship in Latin American Studies at Harvard. At the University of Pennsylvania's Wharton School, Safra founded both the Jacob E. Safra Professorship of International Banking and the Safra Business Research Center.

Honors recognizing his contributions included Honorary Doctorates from Hebrew University of Jerusalem and Yeshiva University (New York). At Yeshiva University, he also established the Jacob E. Safra Institute of Sephardic Studies.

For younger learners, Safra concentrated on educational institutions within his communities. He founded Ecole Girsa, Geneva’s largest Jewish school, as well as the Beit Yaacov school located in Bat Yam. His philanthropy extended widely to support yeshivot around the globe, promoting religious education.

Honors

See also

Further reading

  • Daniel Gross, A Banker's Journey: How Edmond J. Safra Built a Global Financial Empire, New York: Radius, 2022. .
  • Bryan Burrough, Vendetta: American Express and the Smearing of Edmond Safra, New York: HarperCollins, 1992. .

External links

  1. ↑ Billionaire who blew whistle on Russian cash scandal is killed in Monte Carlo, The Independent, 1999
  2. ↑ The New York Times obituary, 1999
  3. ↑ Edmond Safra Foundation
  4. ↑ Banque de Credit National S.A.L. history
  5. ↑ The Guardian obituary, 1999
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