In the continuing inquiry into the collapse of Banco Espírito Santo, the former Finance Minister Vítor Gaspar said that he only learned of the financial difficulties in Grupo Espírito Santo at the end of 2013.
Gaspar sent written responses to questions posed by the parliamentary committee of inquiry into the Espírito Santo Group case.
"I heard of idiosyncratic financial difficulties in GES at the end of 2013. Specifically, I knew later of BES’s exposure implications to GES from the international trade press," reads Gaspar’s response.
"BES and GES were affected by the interruption of international private funding to the Portuguese economy that occurred in the spring of 2010.”
Asked about the absence of any references by Gaspar to the problems of BES/GES in subsequent documents that now have been released and relate to the Portuguese financial system between 2011 and Vítor Gaspar leaving the government, the former Minister declined to respond.
"I have nothing to say on this issue," wrote Gaspar.
Vítor Gaspar declined to comment on the actions of the Bank of Portugal in the process that culminated in the rescue of BES and stressed only that the Troika's inspection programme of the country’s banks "was an important element in promoting financial stability in Portugal."
Asked if the analysis of these banks raised any doubts about BES or GES, the former finance minister was adamant, "I am not aware of particular issues related to BES or GES from June 2011 to June 2013.”
Vítor Gaspar asked to leave the Pedro Passos Coelho government in the summer of 2013 and was replaced by Maria Luís Albuquerque. BES collapsed in August 2014.
Gaspar moved to the IMF in June 2014 on a tax free monthly salary of around 23,000 euros plus a range of executive benefits having been appointed that February by Christine Lagarde to the post of Director of Budgetary Affairs.
It was while directing budgetary affairs as Portugal's Finance Minister that his performance could be assessed as mediocre, leading to his resignation and a rather weak goodbye statement.
Members of the parliamentary committee of inquiry into the BES collapse already have complained that some of those called to testify have been economical with the truth.
Gaspar's claim to have read about BES's problems in the newspapers lacks a certain degree of credibility.
Comments
We have to keep emphasising that the EU is not at fault ! As often pointed out - if the EU was originally set up to run like say Greece or Portugal still are today - it would not have lasted a fortnight.
In this instance what the Troika needs to focus on with these hopelessly no-performing EU countries is that, where the country i.e. Portugal is 'aping' a Parliamentary enquiry as run in developed countries - contributors are summoned by legal procedure and give evidence on oath. Regardless of how 'important' they are or think they are.
Not this pantomime where several have contributed to the BES enquiry like Gaspar by just sending in 'contemptuous' written responses and others - like yesterdays Head of the Association of Portuguese Banking who just read out a statement from his lawyer.
That did nothing but confirm this fellow would not be making any further statement !!!!
If necessary the Troika holding the enquiry in Brussels. Away from the tribal heartlands.
He is on an enormous salary, and in a position where he can´t do any harm. Here is another reason why I don´t like the EU.