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Large bank and Co-op loans probe

Loans given to former board members of the Bank of Cyprus and the now defunct Cyprus Popular Bank and other large loans are being investigated as part of the probe into the near collapse of the economy.

loan investigationINVESTIGATORS, looking into the near economic collapse of Cyprus, are scrutinising the terms and provisions of loans given to members or their relatives of the Boards of Directors of Cooperative institutions and Banks to ascertain whether anybody is accountable for the dire economic situation the country is facing, Deputy Attorney General Rikkos Erotokritou said on Tuesday.

Replying to a question on the cooperative sector’s loans, Attorney General Costas Clerides said that authorities have asked to receive relevant documents and data on loans by the Cooperative Central Bank and that in their majority these have been communicated to the Law Office of the Republic.

Banks have also given relevant documents and data, he said, adding that there are no longer any delays on the part of banks to hand over documents.

On his part and replying to journalists’ questions on the matter, Erotokritou said loans given to the Bank of Cyprus or to the former Cyprus Popular Bank and to the Board of Directors of the Cooperative institutions, in addition to large loans given to individuals or companies, are under investigation as part of the probe into the near collapse of the economy.

The cases are being processed as fast as possible, he said, adding that investigators are in touch with the Law Office and investigative work is expedited.

Asked what message he would like to convey to the people, Erotokritou said that investigations will go ahead smoothly, pledging that no-one will escape investigation if that is called for.

As regards the loans, he explained that no incriminating evidence has been found but there are indications that the matter should be investigated further.

Replying to a question as to the number of loans involved, he pointed out that it is a large but manageable number as it does not concern many hundreds or thousands of loans.

“It will take some time but we can deal with it,” he said.

Source: Cyprus News Agency

Readers' comments

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  • MartynG says:

    What a load of meaningless waffle from the Deputy A.G.

    It has been fairly ‘common knowledge’ for years that these kind of ‘kindred’ loans have been granted.

    I very much suspect that the comments below are correct. There may be one or two ‘biggies’ (small b) highlighted, possibly even actioned, but the bulk of these questionable loans will be shuffled, ‘nodded through’, forgotten.

  • Mike says:

    pils – spot on. Placate the great unwashed masses with meaningless platitudes and let it die a natural death. Much the same in every country on earth but perfected into an art form in some. I foresee the “incriminating evidence” found becoming “all conducted in a legal and proper manner and with full approval of the board at the time”. Job done, investigation over, no embarrassing prosecutions which may point fingers elsewhere so its business as usual and legal protection for those benefiting from everyone else’s austerity. Nice work if you can get it.

    Now where can we find an ill and misinformed electorate so we can feather our nests I wonder? is there a land of cabbages? No! oh well, never mind we will have to play through this charade then.

  • stevie R says:

    They have to be seen to be doing something. Like most of these investigation delaying tactics come into play until it finally fizzles out and the case gets dropped. The system allows this so why not use it.

  • pils says:

    Don’t concern yourselves on loan probes of banks, like everything else going on in Cyprus, possible COVER UP. All talk without decisive action.

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