Mike Shedlock

SAREB, Spain's bad bank, has received assets (primarily bad loans) from Bankia, NCG Banco, Catalunya, Caixam, Banco de Valencia and others.

Bankia, a component of Spain's nationalized bank system has been one disaster after another. Guru's Blog reports that has you invested €37,500 in the IPO of Bankia at €3.75 per share, it would be worth 70€ today, a loss of 99.81%. Had you waited to buy at the bargain basement price of €0.26, your investment would be worth €1,009, a loss of 97.3%.

That's quite the loss. Bankia shareholders have been wiped out. Recovery is impossible.

Men in Black Seek Answers

The question at hand now is "What Happened to the €41 billion Spain received in two tranches of ESM money for bank recapitalization?"

That's a good question and one the "men in black" want to know as well.

El Confidencial reports Troika Will Return to Spain in May to Investigate Bankia

Mike Shedlock

Mike Shedlock is a registered investment advisor representative for Sitka Pacific Capital Management.