Siena, the medieval city renowned for its Palio horse races, is home to the world’s oldest bank. Within its aging walls lies a distinctly 21st-century tale of devastation wrought by local politicians and global financiers.
The Italian Bank Association’s presidential committee resigned today in protest over new banking-fee rules included in the government’s legislation on boosting competition, ABI Chairman Giuseppe Mussari said.
Italy’s central bank is fining former top executives of Banca Monte dei Paschi di Siena SpA about 5 million euros ($6.4 million) for their alleged lack of controls over the lender’s risk management, said a person with knowledge of the matter.
Banca Monte dei Paschi di Siena SpA executives are under pressure from investors to fully disclose losses from derivative contracts as shareholders prepare for a key vote on its government rescue this week.
Three former executives of Banca Monte dei Paschi di Siena SpA went on trial for allegedly obstructing regulators in the first case related to how the managers may have embellished the bank’s finances.