In December 2010, Bank of Spain inspectors delivered a report to their bosses about Caja Madrid savings bank that was grim: The bank faced losses of almost 5 billion euros ($6.8 billion) and needed new leadership.
Italy’s finance police searched premises in cities including Milan and Siena as prosecutors probe a criminal association that defrauded Banca Monte dei Paschi di Siena SpA of at least 47 million euros ($65 million).
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.
Banca Monte dei Paschi di Siena SpA’s largest shareholder has decided to sue two of the Italian bank’s former managers including ex chairman Giuseppe Mussari as well as Nomura Holdings Inc. and Deutsche Bank AG over the alleged use of derivatives to mask losses.
Banca Monte dei Paschi di Siena SpA’s shares fluctuated in Milan trading after its biggest shareholder overruled Chairman Alessandro Profumo to delay a 3 billion-euro ($4.1 billion) stock sale until at least May.
Banca Monte dei Paschi di Siena SpA, the bailed-out Italian bank, will delay a 3 billion-euro ($4.1 billion) stock sale until at least May from the first quarter after its biggest shareholder demanded a postponement.