x

Society

Hellenic Postbank Scandal Executives, Businessmen Cleared of Fraud

ATHENS – Six years after prosecutors began examining the now-defunct Hellenic Postbank over 400 million euros ($469.25 million) in bad loans and how they were authorized, two former high-ranking executives and three businessmen got off on all charges.

Their trial took three years, common in Greece, the scandal one of a number involving Greek banks and businesses getting loans they didn't pay back with no bankers held accountable.

Judges went along with the recommendation of a prosecutor to drop the cases, citing insufficient evidence of fraud charges against the bank's former head Angelos Filippidis and former vice-chairman Marios Varotsis, said Kathimerini.

Also cleared were businessmen Dimitris Kontominas and his associates Ioannis Rorris and Alexandra Liakopoulou.

There was no evidence, the prosecutor told the court, to suggest that the defendant had deceived the bank’s board into approving hundreds of unsecured loans but no explanation of where the money went from 2007-12.

Filippidis also was accused at one point of having accepted bribes for issuing his approvals, the German state broadcaster Deutsche Welle said in 2014 when the scandal broke, involving 39 people who were then questioned.

Filippidis was detained in Constantinople, leading to speculation, the news site said, that he had put money in Turkish banks and as prosecutors were looking into allegations of secret accounts in Switzerland and Montenegro.

The Greek national bank had warned the Postbank against making unnecessarily risky investments but those were ignored, leading the national stability mechanism to subsidize the losses but the bank still failed.

RELATED

ATHENS - A Mixed Jury Criminal Appeals Court on Friday handed down sentences of life and 15 years imprisonment on the two young men found guilty of the murder and gang rape of 21-year-old student Eleni Topaloudi, imposing the same sentence as that imposed by a lower court.

Top Stories

General News

FALMOUTH, MA – The police in Falmouth have identified the victim in an accident involving a car plunging into the ocean on February 20, NBC10 Boston reported.

General News

NEW YORK – Meropi Kyriacou, the new Principal of The Cathedral School in Manhattan, was honored as The National Herald’s Educator of the Year.

General News

PHILADELPHIA – The Federation of Hellenic Societies of Philadelphia and Greater Delaware Valley announced that the Evzones, the Presidential Guard of Greece will be participating in the Philadelphia Greek Independence Day Parade on March 20.

Video

Mission, TNH’s New Travel Documentary Series with Clelia Charissis (Trailer)

Every weekend, TNH and Clelia Charissis are on a mission, traveling around Greece and the world to highlight places through the people we meet along the way.

Enter your email address to subscribe

Provide your email address to subscribe. For e.g. abc@xyz.com

You may unsubscribe at any time using the link in our newsletter.