BMPS foundation supports legal action against banks, ex-managers

Fri Jul 5, 2013 1:15pm EDT
 
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MILAN (Reuters) - The controlling shareholder of Banca Monte dei Paschi di Siena (BMPS.MI: Quote) said Friday it wants to ask for damages against the lender's former managers and two foreign banks over loss-making derivative trades that brought it close to collapse.

The bank has already started legal proceedings. It is seeking 1.2 billion euros in damages from two former executives and investment banks Nomura (8604.T: Quote) and Deutsche Bank (DBKGn.DE: Quote) over two 2008-09 trades it says were designed to conceal losses.

The foundation that controls the lender said it supports the bank's decision to start legal proceedings.

Nomura and Deutsche Bank were not immediately reachable for comment.

(Reporting by Jennifer Clark)

 
A man walks towards the main entrance of the Monte dei Paschi bank headquarters in Siena March 13, 2012. REUTERS/Max Rossi