Montepio: Tomás Correia admits to leave if found guilty

  • ECO News
  • 21 March 2017

"I feel reassured by the outcome of these and other charges made against me", he assures. Tomás Correia is being charged of helping the Espírito Santo Group (GES) in a time BES was already in crisis.

The chairman of Montepio Mutual Association (AMMGAssociação Mutualista Montepio Geral) has reacted this Monday to the news that the Bank of Portugal had charged him — as well as eight other former-managers at Montepio — of having financed GES (Espírito Santo Group) in a time when BES was already presenting some financial difficulties in 2014. “If there is ever a chance that something in my disfavor transits in rem judicatam, in any court, concerning any wrongful acts, I will relinquish the performance of my duties”, writes Tomás Correia in a press release, adding he is “profoundly sure that such a thing will not happen”.

I feel reassured by the outcome of these and other charges made against me.

Tomás Correia

Chairman of Montepio Mutual Association

“I feel reassured by the outcome of these and other charges made against me”, assures Tomás Correia in the press release. “It is not difficult to contextualize the news during a time in which the separation of Caixa Económica from the patrimony belonging to the Mutual Association Associates is being discussed“, he analyses, while adding: “It is precisely to fight against those types of issues, which do not favor the good name of Montepio and its employees and managers, that I will fulfill the mandate I was entrusted with until the end, serving all of Montepio Associates”.

The Bank of Portugal is charging the managers of violating credit-granting and of irregularities in terms of internal control, but also of violating norms and restrictions concerning related parties financing. In his defense, the Mutual Association writes that, “since it is a matter subject to secrecy, it is not possible to publicly oppose the accusation’s matters of fact, leaving little room for clarifications”. Fines can go up to four billion euros.

In its investigation, the Bank of Portugal concluded that the administration headed by António Tomás Correia did not comply with the good rules of credit analysis and internal norms. In spite of the many warnings made by Carlos Costa, governor of the Bank of Portugal, Tomás Correia ended up approving two financing operations to GES during that period; the decision ended up costing Caixa Económica Montepio Geral 140 million euros in impairments.