Antonio Fazio
Encyclopedia
Antonio Fazio is an Italian banker, who was the Governor of Banca d'Italia
from 1993 until his resignation amidst controversy at the end of 2005.
He is reported to be very religious, and close to the Vatican
. He has five children. The youngest of his daughters has been consecrated to the order of Legionaries of Christ, a lay religious organization (some newspapers reported incorrectly she was becoming a nun
).
left office to become the Italian Prime Minister, he became governor of the Bank of Italy. Some years after his appointment, it was said that he was interested in the leadership of the left-wing coalition to beat Berlusconi's right wing one. After Berlusconi won the 2001 general election
, however, he came to be considered closer to the centre-right.
.
resigned in protest against the lack of determination in the government. The government maintained that it had no power to remove the governor of the central bank.
for insider trading
on 16 December. He is also under investigation in Rome for having pressured the apparatus of the Bank of Italy to give green light to Fiorani's takeover of Antonveneta.
Although he had resisted calls to resign for months, these latest developments were the last straw, and Fazio stepped down on 19 December 2005. A new governor, Mario Draghi
, was appointed on 29 December 2005.
On 28 May 2011, An Italian court sentenced him four years in jail for market-rigging related to a 2005 takeover battle over Italian bank Banca Antonveneta. A Milan court has also ordered Fazio – who headed the Bank of Italy from 1993 to 2005 – to pay a 1.5 million euro ($2.14 million) fine for his role in the takeover saga pitting Dutch Bank ABN AMRO against Italy's Banca Popolare Italiana (BPI).
Banca d'Italia
Banca d'Italia is the central bank of Italy and part of the European System of Central Banks. It is located in Palazzo Koch, Roma, via Nazionale...
from 1993 until his resignation amidst controversy at the end of 2005.
He is reported to be very religious, and close to the Vatican
Holy See
The Holy See is the episcopal jurisdiction of the Catholic Church in Rome, in which its Bishop is commonly known as the Pope. It is the preeminent episcopal see of the Catholic Church, forming the central government of the Church. As such, diplomatically, and in other spheres the Holy See acts and...
. He has five children. The youngest of his daughters has been consecrated to the order of Legionaries of Christ, a lay religious organization (some newspapers reported incorrectly she was becoming a nun
Nun
A nun is a woman who has taken vows committing her to live a spiritual life. She may be an ascetic who voluntarily chooses to leave mainstream society and live her life in prayer and contemplation in a monastery or convent...
).
Career
He started work at the Bank of Italy in 1960. In 1993, after his predecessor Carlo Azeglio CiampiCarlo Azeglio Ciampi
dr. Carlo Azeglio Ciampi is an Italian politician and banker. He was the 73rd Prime Minister of Italy from 1993 to 1994 and was the tenth President of the Italian Republic from 1999 to 2006...
left office to become the Italian Prime Minister, he became governor of the Bank of Italy. Some years after his appointment, it was said that he was interested in the leadership of the left-wing coalition to beat Berlusconi's right wing one. After Berlusconi won the 2001 general election
Italian general election, 2001
A national general election was held in Italy on May 13, 2001 to elect members of the Chamber of Deputies and the Senate of the Republic. The 14th Parliament of the Italian republic was chosen....
, however, he came to be considered closer to the centre-right.
The Antonveneta affair
In 2005, Fazio came under heavy pressure to resign (which he eventually did) over his role in allegedly rigging the competition to take over an Italian bank, Banca Antonveneta, earlier in the year. Published excerpts of tapped telephone calls strongly suggest that Fazio favoured an Italian bid, probably in order to sabotage a foreign bid from Dutch bank ABN AMROABN AMRO
ABN AMRO Bank N.V. is a Dutch state-owned bank with headquarters in Amsterdam. It was re-established, in its current form, in 2009 following the acquisition and break up of ABN AMRO Group by a banking consortium consisting of Royal Bank of Scotland Group, Santander and Fortis...
.
Reaction of the government
Silvio Berlusconi's government, itself in troubled times because of the utter defeat in the regional elections of April 2005, was accused of weakness for not kicking Fazio out of office. On 21 September 2005, economy minister Domenico SiniscalcoDomenico Siniscalco
Domenico Siniscalco is an Italian economist and former Minister of Finance.He served Italian government from June 2001 to July 2004 as Director General of Treasury...
resigned in protest against the lack of determination in the government. The government maintained that it had no power to remove the governor of the central bank.
Investigations and resignation
Gianpiero Fiorani was arrested on 14 December 2005 for investigation of his role in the affair, and Fazio was officially put under investigation in MilanMilan
Milan is the second-largest city in Italy and the capital city of the region of Lombardy and of the province of Milan. The city proper has a population of about 1.3 million, while its urban area, roughly coinciding with its administrative province and the bordering Province of Monza and Brianza ,...
for insider trading
Insider trading
Insider trading is the trading of a corporation's stock or other securities by individuals with potential access to non-public information about the company...
on 16 December. He is also under investigation in Rome for having pressured the apparatus of the Bank of Italy to give green light to Fiorani's takeover of Antonveneta.
Although he had resisted calls to resign for months, these latest developments were the last straw, and Fazio stepped down on 19 December 2005. A new governor, Mario Draghi
Mario Draghi
Mario Draghi is an Italian banker and economist who succeeded Jean-Claude Trichet as President of the European Central Bank on 1 November 2011...
, was appointed on 29 December 2005.
On 28 May 2011, An Italian court sentenced him four years in jail for market-rigging related to a 2005 takeover battle over Italian bank Banca Antonveneta. A Milan court has also ordered Fazio – who headed the Bank of Italy from 1993 to 2005 – to pay a 1.5 million euro ($2.14 million) fine for his role in the takeover saga pitting Dutch Bank ABN AMRO against Italy's Banca Popolare Italiana (BPI).