The Governor of the Bank of Italy, Ignazio Visco, is under investigation, as part of a probe into the collapse and subsequent sale of Banca Popolare di Spoleto (BPS), say reports. BPS was one of Italy's biggest banks at its peak, but collapsed in 2008 after it failed to repay €1.3bn (£1bn). The shareholders also blame the Bank of Italy for refusing a better offer from another bidder.
The Governor of the Bank of Italy, Ignazio Visco, is under investigation, as part of a probe into the collapse and subsequent sale of Banca Popolare di Spoleto (BPS), say reports. The Bank of Italy had requested that BPS be put under administration following a 2012 inspection that found serious irregularities and capital losses; the Bank of Italy then picked Banco di Desio e della Brianza to take BPS over by buying a majority stake, however, as a result of the takover, the original shareholders in BPS, who owned 51% of the bank, saw their holding reduced to 10%. The shareholders also blame the Bank of Italy for refusing a better offer from another bidder.