Veneto Bank, one of the biggest banks in Italy with an Albanian presence since 2009, will be sold after being for a long time in center of controversy and judicial inquiry.
Recently, the Albanian branch was object of an investigation by the Bank of Albania which demanded for a reduction in the volume of loans and an increase in capital. In July 2016, Veneto Bank JSC took the decision to increase the capital with €30 million euro, a sum guaranteed by its parent bank in Italy, thus taking away any doubt about the financial stability of it’s Albanian subsidiary.
Despite these actions and declarations concerning the financial stability of the bank, the Albanian subsidiary is being sold. In banking circles in the country it is clear that the American Bank of Investments (ABI) has started the procedure for the verification of accounts. This action usually takes place only after the purchasing contract has been signed in order to define the correct amount of transaction.
In this way, a mediocre story that started in 2009 has ended.
The bank’s problems are a result of its controversial management, which led to problems that are now being investigated by the Italian prosecution and financial oversight authorities.
The incompetent, treacherous, and irresponsible Italian executives have been dedicated to diplomatic intrigue and awarding loans to friends rather than credit analysis.
Three Italian companies, Veneto Bank, Serenissima, and Eco Tirana all are displaying problems in their financial activity in the country. These problems have been caused by the incompetency of of their executives, who have not been able to draft coherent strategies and implement them.
