BPP Directors receive suspended sentences despite €41 million fraud

Paul Rees 15 October 2018

bpp João Rendeiro, the former president of Banco Privado Português, has been sentenced to five years in prison but, of course, will not spend a single night in jail as his sentence was suspended.

The former bank executive’s must pay €400,000 to Associação Crescer, or he will be jailed. Other BPP managers also received suspended prison sentences despite participating in a scheme that left their customers €41 million worse off.

João Rendeiro was the founder of Banco Privado Português and now has been found guilty of computer fraud, falsification and document fraud.

The former BPP leader was ordered to pay the money to Associação Crescer, an association launched in 2001 which aims to ensure the inclusion of people in situations of vulnerability.

Rendeiro and other bank staff were accused of crimes committed between 2001 and 2008 which aimed to ensure that they remain in power at the bank that was closed by the Bank of Portugal in 2010.

Director, Paulo Guichard, was sentenced to four years and three months imprisonment, suspended as long as he pays €25,000 to the Centro Social dos Anjos.

Salvador Fezas Vital, another director, was sentenced to a prison term of three and a half years, also suspended as long as he pays €15,000 to Cáritas de Lisboa.

Paulo Lopes, also on the BPP board of directors, was sentenced to one year and nine months, suspended, while Fernando Lima was sentenced to one year for false information and has to pay fine of just €5,400.

On 11 February 2013, João Rendeiro, Fezas Vital and Paul Guichard were charged by the Public Ministry with fraud for a Collective investment scheme that ripped-off hundreds of clients to the tune of €41 million euros.

In May 2015, assets owned by João Rendeiro were seized to pay a €4.7 million fine issued by the Bank of Portugal.

João Rendeiro’s lawyer, says that she will analyze Monday's judgment and decide if she will appeal on behalf of her client who whiles away his time in a luxury apartment at Quinta Patiño in Cascais.

The Judge, Emília Costa, did not accord to a request from the Public Prosecutor's Office for between seven and nine years in jail for Rendeiro and between six and eight years for Guichard and Fezas Vital.

João Rendeiro

Comments

0 #7 Peter Booker 2018-10-18 09:05

In comparison with the system in the UK, I think Portugal has done quite well here. Not that I agree with the suspended sentences. But can anyone remember any British banker being prosecuted after the crash of 2008? That´s right, none.

-1 #6 Jim Talbot 2018-10-16 19:57

Portugal would certainly fail if asked to re-apply joining the EU. Pre-accession assessment of so many aspects of Portugal's Public Administration, here so obviously its judiciary, would justify further time out. Anyone with recent experience of Portuguese policing and its Judicial procedures will know that it is still far too easily swayed by corruption. Not helped even nowadays by a closing of the ranks to protect those in the Judicial system who have erred. Rather than a root and branch renewal.

+2 #5 Maxwell 2018-10-16 16:25

As our regular Portuguese commenter's point out, the effectiveness of Portugal's Judiciary as a deterrent to corrupt behaviour; not having been cleared out after the revolution - still lags far behind the requirements of its citizenry to be living in an advanced, developed nation.
This mismatch will remain until the two can match up, either the Judiciary to punish criminals equally regardless of their social status or the Portuguese citizenry stops kidding itself that this country has evolved to any degree.

+7 #4 Chip 2018-10-16 13:28

Just like the UK. You can't beat the Establishment.

+6 #3 TT 2018-10-16 09:38

And the Bank of Portugal's priorities are clearly defined - take €4.7m as a "fine" rather than return it to duped investors. Where does that money go?

+9 #2 nogin the nog 2018-10-16 08:37

hmm
That sends out the right message to your white collar criminals. Come to Portugal.. :-*