Brussels imposed Santander while still trying to sell the Banif – publico

                 

                         
                     

                         

                 

 
 

As you approach the start of work of the parliamentary commission of inquiry to the nationalization and sale of Banif, still no scheduled date information are emerging that help lift the veil on what happened in the decision to withdraw the eve of what may imply losses for the State up to EUR 3200 million (2400 million already guaranteed). The ECB and Brussels imposed Santander behind the scenes, but officially made sure that did not intervene.

During the Banif sales process, the two managers appointed by the State, Miguel Barbosa and Issufa Ahmad, sent a email to the remaining directors of the team led by Jorge Tomé which reads as follows: according to instructions from DGCOM to the Secretary of State for Finance, the tender for the bank’s disposal would have to comply with conditions in particular the sale an institution operating in Portugal whose size is three times that of Banif. The buyer could not benefit from state aid. The letter was addressed to the early afternoon of 15 December, Tuesday, four days before the end of the indicative date for sale in contest, Friday, December 18. What constitutes a Brussels attempt prejudge the outcome of the Banif sale contest. The initiative Barbosa and Ahmad also preceded in six days the resolution of the bank, decreed Sunday, December 20.

The State held 61% of the Banif capital, which led to the appointment the two directors, Miguel Barbosa and Issufa Ahmad, with determination and veto powers, and three members to the Audit Committee. Since September 2014 that Barbosa was full time at Banif, where he had special responsibility of risk, indicated by bop representing the State. Barbosa was fill the seat left vacant by Antonio Varela, who in September 2014, joined the board of the Bank of Portugal by appointment of former finance minister Maria Luís Albuquerque.

In Portugal, only two banks, Santander and BPI, Brussels fulfilled the requirements in terms of size (three times higher) and they do not have public support. This, as the BPI has returned the state loan 1500 million euros Coco’s. But in practice, without mentioning Brussels has restricted the sale to Santander. Why? Unlike affiliate of the Spanish group, BPI was not invited to submit a Banif bid

And the six groups who delivered proposals, three did so at the suggestion of bop.: the two Spanish groups Santander and Banco Popular and the bottom of private equity US Apollo (owner of Tranquility). On 18 December tod the delivered binding offers, while the Apollo not to compromise, which only came to happen on Saturday night, with suggested starting negotiations Sunday morning.

The government and the BDP ended up not receive the US fund citing “lack of time” and accept the imposition of European authorities. And on 20 December Santander bought the assets of the Banif with a good support of the Portuguese taxpayers of nearly 2000 million (total losses for the state could reach 3200 million). One of the issues that the commission of inquiry will need to assess is whether the proposed conditions delivered on 18 December by Santander in the Banif sales contest were more favorable to the interests of the state than what was agreed two days later.

In the middle of Friday afternoon, December 18th in Brussels where he was attending a European summit, Prime Minister António Costa showed up still confident: “My hope It is that the deals that will exist waive the existence of a corrective budget. “Although the bank to be nationalized, António Costa has not dominated the events and is now forced to make a decision in the opposite direction to that intended.

On January 26, as part of a conference on the performance of the financial sector organized by the Institute of Financial Economic and Tax Law (IDEFF) of the Law Faculty of Lisbon University, where He participated Jorge Thomas explained that the sales process by Banif contest, although the bop “have defined the perimeter and investors contacted to terms proposed binding until December 18,” admitted that “in parallel something was happening “. “Adding some parts, [I conclude that] the Bank of Portugal started to prepare the resolution of Banif.” In other words: “On the one hand, launched the contest, and on the other, was preparing the resolution.”