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Bankrupt BANC bank employees complain of "intimidation" to deliver vehicles

Seventeen employees of the now-defunct Banco Angolano de Negócios e Comércio (BANC), of the recently deceased General Kundi Paihama, complain about the "intimidating" way in which the winding-up committee informed them of the return of vehicles in their possession, although they are "willing to negotiate" for delivery.

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In an announcement published this Tuesday in the Jornal de Angola, officials complained of having had their names "unduly exposed" as debtors of the institution, in edicts published in that news agency on 20 and 22 July, since "at no time were they formally and officially informed that they should make the delivery of vehicles".

They add, however, that they are "willing to negotiate on fair terms for both sides".

The officials also regret "the public exposure in the public notice, made by the winding-up committee, with intimidating streaks" since "they are properly located and aware of their obligations and those of BANC".

In the notices, the administration of BANC's bankruptcy estate, whose bankruptcy proceedings are being held at the Luanda Provincial Court, summons the 17 people to return the vehicles in their possession, between 20 and 24 July, as they are only loyal depositaries.

"Failure to comply with the provisions of this communiqué will trigger the collection of the vehicles in question with the help of the police forces," the announcement stressed.

On 5 February last year, the National Bank of Angola revoked BANC's operating licence due to "serious technical problems" that have put the institution into "technical bankruptcy", according to the announcement made by the governor, José de Lima Massano.

In addition to "deficiencies in the governance model" having been detected, with "risks that were large and poorly managed", the "replacement of the share capital was not advanced by the shareholders", said Lima Massano at the time.

BNA had indicated 31 December 2018 as the "time limit for adjustment to the new share capital and regulatory own funds for the operation of banking financial institutions".

At the time, the BNA established at 7500 million kwanzas - three times more than the previous legislation - the minimum amount of share capital and regulatory own funds for financial institutions operating in the country.

According to Lima Massano, this was the main reason for revoking the licence of a financial institution that, at the end of 2018, held only 4346 million kwanzas of paid-up share capital, while regulatory own funds were negative in 19,639 million, requiring a capital increase of no less than 24 billion kwanzas.

BANC's main shareholder was Kundi Paihama, one of Angola's top generals, a former minister of defence and former governor of the provinces of Benguela, Huíla, Huambo and Cunene, considered one of the strongest allies of José Eduardo dos Santos, former President of the Republic (1979-2017).

Kundi Paihama, who died on Friday at the age of 75, victim of illness, granted an interview to Zimbo TV in February last year, claiming he had never received money from BANC.

At the time, the politician and general in the reform assured that his money was raised in an honest way, pointing out that he never stole anything from the state.

"In that bank (BANC), the money I have was earned honestly. I never stole anything... at the time I was there..." said Kundi Paihama, for whom the greatest wealth is "to have the bases," that is, "land and water" and not "the bank, money, suit, tie or nice watch.

The death of the general, an emblematic figure of the MPLA, a power party in Angola 45 years ago, motivated expressions of regret from the highest Angolan political figures.

President João Lourenço described him as "a leading figure in the history of the struggle to consolidate National Independence and in the organization of the State on the political and security fronts" in a message of condolence.

Former President José Eduardo dos Santos expressed, in his Instagram account, "deep pain and consternation", saying that with the death of Kundi Pahiama "Angola loses one of its best sons".

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