Banif’s injured parties threaten to file a lawsuit against the State for compensation payment of 242 million euros, states media outlet, Lusa.
This information was sent last week to the Government and, according to the document, almost 3,000 Banif injured parties – a list that includes the Association of Banif Injured Parties (Alboa) – wanted to inform the State, the Government and the Prime Minister “of the intention of the claimants to file a lawsuit for compensation against them of at least 242 million euros.”
The dissolution of BANIF took place in December 2015. A decision that was made by the mainland Government and the Bank of Portugal. Since then, the injured parties have been asking for compensation resulting from the losses of investments in financial products. Almost 10 years later, Alboa says that “they do not claim privileges or any benefits, but rather the fulfillment of all public promises.”
During the last meeting with the government of Luís Montenegro’s executive in July 2024, many believed that there would be a compensation agreement by the end of the year, following a promised secondary hearing. This hearing never materialised, despite hundreds of phone calls and emails.
A source linked to the process told Lusa that BANIF’s injured parties understand that the payment of compensation of 242 million euros “is a responsibility of the Government” and that the possibility of giving 30 days “to create the credit recovery fund that Prime Minister António Costa announced he would create” is also on the table.
In the judicial notification sent by the injured parties, it is also mentioned that the resolution of BANIF resulted in the loss of thousands of injured parties, most of whom are poorly educated and financially illiterate. The rumour was that BANIF representatives were targeting farmers even when they knew that the Bank was struggling. Many trusted the figures produced by their account managers and promptly lost their life savings, plunging them into poverty and distress.
I can still remember the queues outside BANIF bank in Caniço when we heard the news. Everyone was trying to withdraw their money before the bank collapsed.
Samantha Gannon
info at madeira-weekly.com
