Venezuelan government takes over Banesco

On Thursday, May 3 the Venezuelan government took over country’s main private bank, Banesco after the arrest of 11 senior executives.

The government said that it would take over the bank for 90 days following the arrests of the executives who have been accused of “attacks against the county’s depreciating currency. 

The alleged “attacks” include facilitating a criminal network which smuggled Venezuelan bolivars across the border in an effort to manipulate the black market exchange. Banesco has a large presence in Panama and Colombia. Currently over 1000 account have been frozen and are under investigation. 

The government explained that it would appoint a board of directors led by the country’s finance minister Yomana Koteich during the 90 day take over. 

"This action to protect the Venezuelan people will have an application for a period of 90 days during which it is expected to redirect the administration of the bank, healing it and stripping it of all that illegal activity," explained the official statement.