BRUSSELS (Reuters) - The European Commission is in contact with Italian authorities over the derivatives scandal at Monte dei Paschi bank and is awaiting details on plans for its restructuring, a spokesman said on Friday.
“All I can say is that we have been in contact with the Italian authorities with regards to the situation in that bank,” Antoine Colombani said.
“Recently as you know we adopted a decision whereby temporary rescue aid for it can be granted for a six month period. Monte Paschi and the Italian authorities will have to submit a restructuring plan by the deadline,” he said.
The bank, the world’s oldest, is enmeshed in a scandal over losses of nearly $1 billion (632.6 million pounds) in a series of complex derivatives deals.
Reporting By Francesco Guarascio