site.btaSocial Partners Demand Resignation of BNB Senior Staff over Sale of Credits of Victoria Bank

Social Partners
Demand Resignation of BNB Senior
Staff over Sale of Credits of Victoria Bank


Sofia, October 17 (BTA) - Employer organizations and trade
unions demand the resignation of the Governor and the Governing
Board of the Bulgarian National Bank (BNB) due to the actions of
the conservators of Victoria Commercial Bank in relation to its
credit portfolio.

Victoria CB is a part of the troubled Corporate Commercial Bank
(Corpbank) Group, which suspended all operations on June 21
after a run by depositors left it illiquid, and on the same day
BNB placed it under conservatorship for a maximum of six
months to allow a thorough audit and possible restructuring.

The letter with the demand has been signed by the Association of
Industrial Capital, the Bulgarian Industrial Association, the
Confederation of Employers and Industrialists in Bulgaria, the
Confederation of Independent Trade Unions in Bulgaria and the
Podkrepa Labour Confederation.

According to the authors of the letter, the sale of credits is a
liquidation and not a rehabilitation procedure. The credits are
assets that are monetized only in case of bankruptcy, I.e. such
procedure can be applied only within bankruptcy proceedings,
after a possible withdrawal of the bank's licence, reads the
letter.

The authors of the letter say that promptly after the 43rd
National Assembly is convened, they will appeal to it to remove
the senior central bank officials from office. /PK/TK/