Amid the chaos and recrimination over the collapse of BES and the Espirito Santo Group, Portugal's treasury is pressing ahead with an issue of government bonds scheduled for next Friday, August 20th.
The two auctions of Treasury Bills with a value of €750 million and €1,000 million were announced today by the Management Institute of Public Credit (IGCP).
The bonds carry one, three and one year maturities and already were scheduled as in a July notice by the agency that manages Portugal's public debt.
Meanwhile, the Minister of the Presidency and Parliamentary Affairs, Marques Guedes, today played down the exposure to taxpayers brought about by the various massive loans to BES, stressing that these somehow are the responsibility of all of the banking system.
In his usual patronising manner Guedes added "Let's be clear so that people can understand in simple terms the situation. BES had three options; nationalisation, bankruptcy or what was the solution, the resolution under the new EU rules that allows the creation a bad bank to where toxic assets are transferred."
Guedes patiently explained that, after the "very negative for taxpayers" experience of the nationalisation of BPN, another nationalisation was "not a possible solution" and bankruptcy "was also not envisaged" by the financial system or the regulator.
Guedes' third way was in fact nationalisation by the back door as the taxpayer now magically is exposed to over €10 billion in the BES/Novo Banco 'solution.'
At last Ricardo Salgado speaks, "I will fight for honour and dignity for me and my family."
The former banker and Chief Executive of BES quoted Pope Frances as he commented at long last about the fact that he lost the bank and that he was now seen as the villain of the play.
For the first time since the BES/Espirito Santo scandal broke, Ricardo Salgado today spoke to a journalist. Salgado managed to avoid answering any of the questions posed by the Diário Económico at the Hotel Palácio do Estoril, but he did make it quite clear that he would not rest until his family name again was one of honour, probity, rectitude and his honesty was beyond question.
Earlier this month, after his arrest and release after a day of questioning, Salgado issued a statement saying he will pick the most appropriate time and place to issue his version of events leading up to the collapse of BES.
According to the Diário Económico, Ricardo Salgado said he was not at all responsible for the collapse of the bank but admits that his family generation will not be able to recover the prestige of the Espirito Santo name. Salgado also denies having money squirrelled away in Asia.
Ricardo Salgado had been practicing his Pope Francis quotes, adopting an air of religious sagacity with "Do not cry for your suffering, struggle for your happiness," among today's favourites, with "Do not cry for what you have lost, fight for what you have," a close second.
