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Article: Yesterday's money. (Venezuelan bank Banco Latino fails)
- Article from:
- The Economist (US)
- Article date:
- January 22, 1994
CopyrightCOPYRIGHT 1994 Economist Newspaper Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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NEW banking regulations came into force in Venezuela on new year's day, aimed at strengthening the sector by improving oversight and permitting full foreign participation. They came too late to save Banco Latino, known for its slogan el banco de hoy: today's bank. On January 17th the government took over the country's second- largest bank, which had reported assets of $1.9 billion at mid- year, after it failed to meet commitments to the interbank cheque- clearing system. Roger Urbina, the chief banking regulator, is now in charge.
Banco Latino's managers blame their woes on rumours that led to a run on deposits. Others, including Jose Alvarez Stelling, president of ...