The representatives of monitoring firms who will oversee Greek banks for the troika met with the managements of banks. The Monitoring Trusts will be appointed to ensure that bank managements comply with memorandum terms, who receive capital support from the 50 billion rescue package.
Ethniki and Eurobank chose Grant Thorton, Pireos Bank chose KPMG and Alpha Bank chose Mazars, following approval by the European Competition Commission. Representatives of the three firms had an informal meeting with senior executive officers of the banks.
Every three months they will report to troika about the actions of bank management, to ensure that the terms of agreement are being held at corporate governance and commercial policy level. Specifically there will be limits on the funding of businesses, households, political parties and persons related to banks. The monitors will also have access to the data and records of committees and boards.
According to one banker “it will be like having the Bank of Greece monitoring the way we run them, based on rules and the agreed business plan”.