The bad bank places a guard in each rescued institution.

Once the objectives have been set, the institution presided over by Belén Romana will carry out weekly reports for each one of the banks, where it will revise the sales comparing them to the budget and to the rest of institutions. Sareb´s objective is to speed up the disinvestments in the credits from developers and the awarded assets it holds in its balance sheet.

In order to assure it will be like that and to create an additional level of supervision on the institutions with aid, Sareb has named a representative, paid with its own funds, who will be placed physically in  the headquarters of  each of  the seven groups. Sources of  these institutions admit the existence of this supervisor and point out that the collaboration with the public bank is total. They are planning joint auctions, such as the ones launched in the last few weeks by Bankia.

The European Commission and the ECB accept the current pace of commercial activity by Sareb “after the initial delays” originated by the creation of the company and the initial rigidity of  prices, as  included in  the fourth report on the financial aid program issued yesterday.

However, the authorities in Brussels doubt the forecasts made by Sareb for this year. “In spite of the bigger sales registered in the last few months, Sareb will probably not be able to attain its objectives for 2013 included in its business plan”. This will be “due to the low volume of sales in the first few months of the year”, the institutions pointed out in their report.

The Commission and the ECB have accepted the analysis on the transfer of assets from the public banks to Sareb. 100% of the 350.000 awarded assets were reviewed, as well as 20% of the credit to developers. “The process was carried out correctly. Also, the transfer price was conservative and according to the valuation they already have in the balance sheet of Sareb”.

Sareb has restructured its organization chart and has created a new office, called Operations, that includes the areas of processes and documentary management, among others. The bad bank has placed Antonio González Feria in charge of this office. He comes from the consulting company tiThink, from which he was a founding partner. He had also worked in the technological area of Cajasol, Cívica and La Caixa.

The appointment of González takes place after Sareb got rid of Miguel Caricano, director of processes and reporting of the institution since January, when he landed in the institution following the managing director, Walter de Luna, with whom he had worked in ING.


Source: Expansión