UPDATE 2 - Venezuela Chavez to nationalize Santander bank unit

[jordi_fanclub]

Source: Reuters

CARACAS, March 19 (Reuters) - Venezuela will go ahead with the nationalization of the local unit of Spanish bank Grupo Santander, President Hugo Chavez said on Thursday, weeks after officials said the purchase was on hold.
(...)
"We are not retreating. Today we have returned to the subject, I announce the nationalization of Banco de Venezuela to strengthen the national public banking system," Chavez said during a televised meeting with ministers.

Grupo Santander (SAN.MC) owns Banco de Venezuela, one of the largest banks in the OPEC nation's financial system.

Chavez ordered the purchase of Banco de Venezuela in July but talks with the Spanish company stalled as oil prices plummeted in recent months, and bank officials and a top government official linked to the discussions told Reuters in March that the sale would not happen this year.
(...)
Chavez say he wants the Santander unit to help channel state resources to small farmers and other grass-roots groups.

Read more: http://www.reuters.com/article/OILPRD/idUSN1925027920090320

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:popcorn:

[bluestateguy]

1. While I am normally a critic of Fat Hugo

This is the direction we need to be going in with the banks.

[tekisui]

2. I wonder what Spain and the Santander Bank will think of this?

I don't have a problem with nationalization of domestic banks or industries using domestic materials, if needed. Nationalizing foreign entities, though....that's a whole other ball of wax.

[bgr1938]

3. President Hugo Chavez

knows what is best for his country. for me he can do no wrong. these american politicians could all take lessons from this man.