Cyprus’ Top Lawyer Seeks Criminal Probe in Bank’s Demise

FILE - People enter the entrance of the Cyprus central bank building in capital Nicosia, Cyprus, Thursday, March 28, 2019. (AP Photo/Petros Karadjias)

NICOSIA (AP) — Cyprus’ attorney general’s office says it has asked police to launch a criminal investigation against officials whose actions contributed to the demise of the island nation’s Co-operative Bank.

The Attorney General’s Office said Friday its assessment of the findings of an inquiry into how the bank unraveled merits a criminal investigation.

Among the issues investigators are asked to look into are the actions of officials employed at 27 local Co-ops, the writing-off of millions worth of bad loans, interest rate overcharging, spending by executives, as well as a deal with a Spanish company to manage bad loans.

In its findings, the inquiry faulted senior executives for bad judgment, inaction and ineptitude in dealing with a mountain of bad loans, while blaming the finance minister for failing to take corrective actions.