Seizure of Control of BANCA PRIVADA D’ANDORRA (PANAMA)

The Seizure of Control of BANCA PRIVADA D’ANDORRA was stated in an official announcement by the Superintendence, their choice was made because of the genuine probability that BANCA PRIVADA D’ANDORRA (PANAMÁ), S.A. would not have access to most of the Assets required to meet depositor demands, which could influence the Bank’s operations in Panamanian Jurisdiction.

The Seizure of Control of BANCA PRIVADA D’ANDORRA is in part due to the greater part of its fluid resources are in the Group’s Bank in Andorra.

Seizure of Administrative and Operating Control of BANCA PRIVADA D’ANDORRA (PANAMA)

In compliance with the procurement’s of Article 16, passage I, subparagraph 4; Article 131 and taking after articles of Decree Law 9 of 1998, revised by Decree Law 2 of 2008 and re-edited as a merged content embraced by Executive Decree 52 of 2008 (Banking Law); and by the Resolution SBP-0053-2015 dated 10 March 2015, the Panama Banks Superintendence requested the Seizure of Administrative and Operating Control of BANCA PRIVADA D’ANDORRA (PANAMÁ), S.A. on Wednesday, 11 March 2015.

The Panama Banks Superintendence believed that the interest of the bank’s depositors are in risk, and therefore order the prompt Seizure of Administrative and Operating Control of BANCA PRIVADA D’ANDORRA (PANAMÁ), S.A., as a consequence of the moves made by the United States Department of the Treasury’s Financial Crimes Enforcement Network (FINCEN) in demonstrating that the BANCA PRIVADA D’ANDORRA Banking Group is viewed as a remote budgetary foundation of essential tax evasion concern.

The evidence point to the bank’s central station in the Andorran capital encouraging exchanges of persons connected to subsidizes originating from illegal exercises.

The Superintendence in considering these facts and the consequential risk to the Banking Group’s reputation is materially increased.

It is important to point out that there is no allegation or proof that the auxiliary BANCA PRIVADA D’ANDORRA (PANAMÁ), S.A. is included in illicit activities.