Italian Central Bank Chief (And ECB Council Member) Probed Over Corruption, Fraud, & Abuse Of Office

Tyler Durden's picture

As the world places its 'life' in the hands of a few unelected members of ivory tower trusting them to centrally plan the global utopia, that faith may be shattered by Bank of Italy Governor Ignazio Visco. As Bloomberg reports, Visco and seven other people were place under investigation according to chief prosecutor. While the statement does not list allegations, court documents reveal alleged corruption, fraud, and abuse of office.

As Bloomberg details,

Bank of Italy Governor Ignazio Visco is under investigation in a probe regarding the 2013 placement of Banca Popolare di Spoleto SpA in special administration, according to a court document obtained by Bloomberg News.


“The Bank of Italy is not aware of any initiative by judicial authorities,” the central bank said by e-mail earlier Tuesday, commenting on an article by newspaper Il Fatto Quotidiano which reported that Visco is among those being probed. A spokeswoman for Visco declined to comment further.


Prosecutors in the central Italian town of Spoleto are investigating Visco for alleged corruption, fraud and abuse of office, according to a Sept. 11 court document that lists several people under investigation. The bank’s former special administrators are also being probed, according to the document. Prosecutor Gennaro Iannarone said in an e-mailed response to questions that he’s not allowed to speak to the press on such matters.




Popolare Spoleto was put under special administration in February 2013 by the Finance Ministry following a request by the central bank. The lender was then sold to Banco di Desio e della Brianza SpA. Italy’s Council of State ruled last year that Popolare Spoleto should not have been put under special administration, prompting complaints by some of the lender’s shareholders.


The Bank of Italy cannot comment on recent developments regarding Popolare Spoleto, the central bank said in a second statement late on Tuesday. The central bank provided a summary of the main phases of the lender’s status leading up to special administration, without mentioning Visco.


"If he is under investigation, the Governor should suspend himself until his name is cleared the very same way any employee at the Bank of Italy is required to do in similar circumstances," Luigi Leone, head of the central bank’s main labor union Confsal-Falbi, said in a telephone interview.


Visco met with the President of the Republic Sergio Mattarella earlier on Tuesday, the president’s office said in a statement, without providing any further details of the meeting.

*  *  *

We are assured this is merely transitory alleged corruption and in no way reflects on any other global central bank (or banker), such as The Fed (who itself is under investigation for not one but two leaks). The probe of Visco, 65, who is a member of the European Central Bank Governing Council, is getting dangerously close to Goldman's man-in-charge Mario Draghi.

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Haus-Targaryen's picture

Of course!  Its Italy.  This is just "doing business" South of the Alps. 

Looney's picture

<<< Nailgun?

<<< Stapler?

Looney  ;-)

Latina Lover's picture

I wonder what is the REAL reason(s) that the USSA/EU banksters want to remove him? Corruption, theft and scandal are stadard operating procedure in Italy.

knukles's picture

So'd he work for Goldman at anytime?
Oh silly me.  All central bankers work for Goldman.

Ghordius's picture

is that a serious question? if yes: the european banking landscape, particularly on the continent, is way more diverse then in the US

he is being probed for his role in the - let's say "decline" - of several small (and, interestingly, very old) banks that are mainly in the hands of local authorities

the German counterpart to them would be the "Landesbanken"

all in all, a very local affair, so no, Tyler, this has very little to do with Goldmanites as such (there was specifically a probe into Goldman's pension schemes offerings in Italy - I think it's still ongoing)

all in all, a good thing. since the EU countries have finally understood that a "banking union" is just another insane demand from outside the eurozone, the role of the national banks in the national banking systems is still important (except for the "big 120-something" that are under the umbrella of the ECB), and so it's a good thing that national bank chiefs don't misunderstand a seat at the ECB as a "get out of jail" card

spanish inquisition's picture

It was all unapproved. How would the world look if any central banker could do whatever they wanted outside of approved channels?

messymerry's picture it does today...


Oldwood's picture

At least Italy is investigating and prosecuting....something we can't point to in America.

villainvomit's picture

Yes !

At least they are "probing"........


knukles's picture

Oh thanks ever so much.  I get my annual phyiscal in another week.

giovanni_f's picture

Exactly. What most don't know, in Italy the prosecutor is not subordinated to the Ministry of Interior as in Germany e.g. Prosecutors in Itay have immense more power than those in the US who act solely on behalf of the government.

Forza Italia!


JustObserving's picture

Wake me when Janet Yellen and Stanley Fischer are probed for corruption, fraud and abuse of office

Fukushima Fricassee's picture
Fukushima Fricassee (not verified) JustObserving Oct 21, 2015 7:52 AM

Italy was clearly facist once now it's the USA leading that murderous charge.

buzzsaw99's picture

the usa was always fascist and always isis. the maggots have big brass ballz.

Panafrican Funktron Robot's picture

Dude kinda looks like Tobias Beecher from the HBO series "OZ".  Those of us who watched that series know how that turned out.  

buzzsaw99's picture

visco and seven other people we never heard of. what a pathetic joke.

firstdivision's picture


wmbz's picture

"Probed Over Corruption, Fraud, & Abuse Of Office"

Wonder who he pissed off?

Every last one of the CB motherfuckers is totaly corrupt and everyone knows and applaudes it!

brightdayfin's picture

only one question, "who'd he piss off?"

unplugged's picture

Im confused.  I thought those had to be on the resume to get that job - basic qualifications.

Calculus99's picture

Give it about 10 years of legal games in Italy and he'll be found not guilty. 

buzzsaw99's picture

it depends upon how much bribe money he can come up with

Herdee's picture

I smell kickbacks,expensive realestate,broads,dope and organized crime.

Fahque Imuhnutjahb's picture

Smells like Mammon's jock strap?

Sturm und Drang's picture

From the land of bunga bunga. Meh.

gcjohns1971's picture

You mean absolute power over wealth induces corruption?

Who but Lord Acton could have forseen it?

yogibear's picture

This guy fell out of favor. So the rest of the sharks decided he's to be sacrificed.

While the much larger sharks plan even larger crimes.

Peter Pan's picture

Visco sounded familiar and when I googled it I found it was the name of a PUMP & SEAL company. Mmmmm.


cn13's picture

In Amerika, the central bankers wait until the end of their term to start accepting bribes.

And they come under "speaking fees" at $250,000+ per speech.

Gotta be smart about how you take your bribes.

gcjohns1971's picture

Progressivism, and the call for 'expert' management of every aspect of society is a fraud.

It is a fraud for the purpose of defrauding people of money and power.

It is a fraud by means of the pretense of knowledge rather than actual provable knowledge.


So now you know what the Socialist/Communist/Progressives are after (wealth and power).

And now you know how they intend to get it (by convincing you they can manage your life better than you can).

And we know how they intend to convince you (by providing supporters with wealth stolen from non-supporters).

And we know where that system ends (collapse or slavery).

Because when there are no non-supporters to rob, they have nothing to give you that you did not already have.

Marvin the Martian's picture

Probe the hell out of em.

StopBeingParanoid's picture

Before you filthy illiterate tinfoil-hatters jump the gun and fill the comment section with prejudices and racist remarks, please allow me to explain what's happening: a foreign bank tried to buy an Italian bank for a sum slightly higher (~100m) than the next counteroffer (whose bidder was Italian). Authorithies denied the purchase, prefering that the bank remained in Italian hands; it was nationalism, but no one ever admitted it, because of the free market fa├žade everybody in Europe has to keep up. Now, the target bank stockholders are pissed off because they collectively got 100m less than they could have, so they are suing everybody, insinuating that the Italian buyer bribed the authorities to have them stop the foreign acquisition.

Clearer now? I'm positive there was no bribing, just inappropriate nationalism (such a small bank, such a big fuss)