Wednesday, 30 January 2013

If This is a Bank

The Monte dei Paschi di Siena  ended its dead cat bounce today, falling over 9%.  The presentation to a recalled Parliament by the Treasury Minister Grilli stated that even for technical reasons the Bank could not be put into receivership, not least because it is solvent.  And so it should be after being handed (or being about to be handed) 4 billion  euros of our money.

Not enough.  A bank is not considered a bank just because it is technically solvent.  Today not only the past management of the Bank was under investigation but the Bank itself.

"The credit institution has been accused of bearing  administrative responsibility, as established by  legislative decree number 231 of 2001. Such an accusation, which refers to what happened under the previous management, is significant,  considering that usually it covers particularly serious crimes amongst  which are: corruption; undue receipt of public monies; fraud against the state; illegal distribution of profits; and obstruction of the exercise of  public vigilance."
[L’istituto √® stato iscritto per responsabilit√† amministrativa, secondo quanto stabilito dal decreto legislativo 231 del 2001. L’iscrizione, che fa riferimento a quanto avvenuto durante la gestione del precedente management, √® significativa in quanto solitamente prevista per reati particolarmente pesanti tra cui corruzione, indebita percezione di erogazioni pubbliche, truffa ai danni dello Stato, illegale ripartizione degli utili e ostacolo all’esercizio della funzione di pubblica vigilanza.]

reports Il Fatto Quotidiano.

The magistrates of Siena are not the only magistrates investigating this institution.  They have described the situation as "incandescent".  Milan and Trani have also opened investigations.

If this is a bank Angels would rather keep the money under the mattress.

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