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Milan Court Probes Monte Paschi Past Financials For State Aid Fraud

FINANCIALS


  • Italian-language paper Milano Finanza has reported that MPS's 2016-2017 financials are under investigation for potential fraud in securing EUR 5.4bn in state recapitalization.
  • A Milan court has ordered an investigation into former MPS presidents Alessandro Falciai, and Stefania Bariatti along with ex-CEO Marco Morelli and others for market manipulation and false accounting.
  • Allegations involve misreporting NPLs and continuing false adjustments.
  • Six-month deadline for further investigations on legal conditions for recapitalization.
  • EUR spreads look muted.

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