COFIEC Granted16 Loans with Many Irregularities

Pedro Solines

Today, Pedro Solines,  Bank Superintendent, pointed out the breaches regarding the loan policies of 16 financial operations carried out by COFIEC bank, which is managed by the Ugedep, whose representative is Pedro Delgado. Solines revealed the information in a hearing (GREC report) on July 2012.

COFIEC granted around $9’636,129,41 in loans to several private and public companies without fulfilling the basic policies. The 16 irregular cases did not have audited financial states, also security guarantees without collateral policies, incomplete requests and other irregularities.

The case against COFIEC started with a loan granted to the Argentinean businessman Gaston Duzac. This action alarmed several financial authorities due to the irregular management of the transaction, Solines said, “it did no presented financial information or any real guarantees.”

There are several reports about the guarantees given by Duzac, despite the fact that he left in blank parts of the document where the guarantees should have been detailed. There is an alleged guarantee, the deposit certification of Rocafuerte Insurance. However, such certificates were not endorsed to the bank, reported Roberto Andrade, member of the entity board. AV