MALAGA GAZETTE

Wednesday, May 09, 2012

The Bankia accounts were presented to the Bank of Spain without being audited as Deloitte refused to sign off on them


Wednesday, May 09, 2012 |

 It has emerged today that an audit in Bankia detected that the 2011 accounts were inflated. El Mundo reports that Bankia has confirmed, and Deloitte put in its report, that its Banco Financiero de Ahorros, BFA, matrix was overvalued and that Rodrigo Rato had a plan to correct it. BFA was the matrix formed mainly by Caja Madrid and Bancaja which received a loan from the state, still to be returned, to the value of 4.5 billion €. Sources have confirmed information in El País that the overvaluation in the Bankia accounts is 3.5 billion €. It’s an amount which the bank itself cannot clear without outside help. A study by the Swiss bank UBS shows that not only BFA had its participation in Bankia overvalued by at least 70% above market values, but other participating companies also. The Deloitte report has not been made public, despite the fact the bank’s accounts were presented to the markets last Friday. It seems the Bankia and BFA accounts were presented to the Bank of Spain unaudited, because Deloitte did not want to sign the accounts, presenting instead a report which not only questioned the numbers, but also was harshly critical of the supervising authority.


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