Iraq begins Paying Warka Bank Depositors

[redbaron]

Posted on 28 May 2012. Tags: Central Bank, Standard Chartered, Warka

[/url]The Central Bank of Iraq (ICB) said on Monday that it has begun to pay the small depositors in Warka Ahli Bank for Investment, reports AKnews.

Following a financial crisis, the bank was placed under ‘guardianship’ in March.

The Deputy governor of the bank, Muzher Mohammed Saleh said:

“There is payment for small depositors in Warka Bank and this payment depends on the rate of sale of real estate and some property belonging to the bank. Warka Bank is still under the custody of the ICB which is awaiting the report of the financial supervisor to decide whether the bank will return to work or not.“

According to some reports, Warka Bank wanted to free itself from its financial crisis by negotiating with the British-based bank Standard Chartered to sell some of its shares, but the talks reached a dead end.

According to law, the guardian assigned by the ICB can request the Minister of Finance, through the ICB, to save the bank if possible.

(Source: AKnews)

[coolbeans]

“There is payment for small depositors in Warka Bank and this payment depends on the rate of sale of real estate and some property belonging to the bank."

That sounds like they are selling off the Warka Banks real estate assets and what ever they get from the sale is what they will divide up to all of the small account holders.

This is like a tax sale or foreclosure sale!

So whatever they get for the assets will be divided between all of the small account holders and that will be the settlement no matter how small.

Wow...I did not see that coming!

[Mammaw]

Well, Adam has said from the first, don't put in more than you can afford to loose. I don't like loosing, but I also didn't put all my eggs in one basket. So, when it comes out 1IQD to $1 the end of June, first of July (IMO) then it will still be all good. And now that everyone knows, they have time to re-group and purchase the paper stuff, and still do OK.

[leesburg]

what if this is all propaganda ... and they intentionally promoted warka as a failure once they saw all the forieners deposits coming in ... so as to try to get these investors to sell their dinars back just before a rv .... if they looked at their records and saw most of their assets were from abroad .. and after a rv they predicted a massive sell off and the banks wealth plumeting ..... but then again how could it plumet if the dollars worth of dinars are replaced with new dinars worth the same as dollars .. they would lose nothing .. but still the depositors would transfer their wealth out of iraq to their own banks .. so they threw a bunch of propaganda at the media ..and caused a massive withdraw .. saying .. ok we will buy back your investment and everyone jumps on the opertunity .. ... .. man propaganda sucks when you invest money .. who do ya believe

[Goodlife]

Warka isnt going down. Iraq govt wouldn't do that when they are trying to promote themselves financially. Sends all the wrong signals.

I have noticed dealers are quick to put Warka down and out, as they are the opposition. Dealers generally do not like Warka for that reason so watch where the info is coming from.

There are bound to be dubious goings on within Iraq financial circles but it makes no sense to try and terminate Warka at this stage. The Govt may want to get some control as they have done and I suspect have orchestrated this some time ago.

Iraq needs Warka as part of the financial sector infrastructure. It would be suicidal for the Govt to let the biggest private bank in Iraq go under, especially as they have been advised to encourage private sector development in Iraq.

It just a little ( probably organized) blip

Look at the big picture - have faith - dont fret. I am very confidant that Warka will see the RV and move forward.

To put my money where my mouth is - if Warka offered me my investment back (before the RV) I would decline.

[2fast4u2c]

You have 2 choices:

1. hold physical dinar and hope it RV's but more importantly, hope they don't close the borders

or

2. put your money in Warka and hope the ICB doesn't let it go under

I started out in #1 but switched to #2.

They are both gambles so you pick your poison...lol

[Goldiegirl]

You have 2 choices:

1. hold physical dinar and hope it RV's but more importantly, hope they don't close the borders

or

2. put your money in Warka and hope the ICB doesn't let it go under

I started out in #1 but switched to #2.

They are both gambles so you pick your poison...lol

OR #3....both as many of us have done here. That covers your butt in all directions and I like my butt covered.

[rdm5130]

OR #3....both as many of us have done here. That covers your butt in all directions and I like my butt covered.

Plus one for you Goldiegirl! I too like my butt covered except I bet yours' is much nicer to look at

[Bristin]

Warka isnt going down. Iraq govt wouldn't do that when they are trying to promote themselves financially. Sends all the wrong signals.

I have noticed dealers are quick to put Warka down and out, as they are the opposition. Dealers generally do not like Warka for that reason so watch where the info is coming from.

There are bound to be dubious goings on within Iraq financial circles but it makes no sense to try and terminate Warka at this stage. The Govt may want to get some control as they have done and I suspect have orchestrated this some time ago.

Iraq needs Warka as part of the financial sector infrastructure. It would be suicidal for the Govt to let the biggest private bank in Iraq go under, especially as they have been advised to encourage private sector development in Iraq.

It just a little ( probably organized) blip

Look at the big picture - have faith - dont fret. I am very confidant that Warka will see the RV and move forward.

To put my money where my mouth is - if Warka offered me my investment back (before the RV) I would decline.

I fully agree with your analysis.

[strolld2]

rdm5130, May I second your comment! LOL