FinComBank prosecuted for allegedly deceiving invalids
- 28.07.2010 10:40
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- 2 minute(s)
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The Prosecutor General's Office has initiated proceedings against FinComBank “for illicitly taking possession of the assets of the Center for Professional Training and Rehabilitation of Invalids, through fraud and abuse of authority, in particularly large amounts”, Info-Prim Neo reports.
The proceedings were opened in reaction to multiple complaints from the co-founders of the Center, it was said in a press release.
According to the prosecutors, in June 2006 the Economic Court of Appeals ruled the termination of the loan agreement among the Center and the bank, authorizing the bank to sell out the former's production facilities. At that moment the Center owed to the bank 3 million lei. But after the termination, FinComBank continued to illicitly calculate the interest and the penalties, increasing the Center's debt by 2 million lei.
Furthermore, in recuperating the loan, the bank illegally sold a deposit which wasn't pledged as security for the credit.
Under Art. 190 para. 5 of the Criminal Code, the responsible persons at FinComBank face up to 15 years in prison with the deprivation of the right to occupy certain posts for a period of up to 5 years.
