Probe launched in Argentina's National Bank over $292 million in bad loans to agro firm

The president of the National Bank of Argentina, Eduardo Hecker, announced an internal probe over bad loans made to politically-connected local soy giant Vicentín during his predecessor's tenure.

Some 18.4 billion pesos ($292 million) in export financing granted by the National Bank to Vicentín during former bank president Javier González Fraga's nearly three-year tenure is now in delinquent status.

The firm is delinquent on another $74 million to ten other local banks, and missed $350 million in year-end payments to farmers and other suppliers.

Vicentín, the country's sixth-largest agro-exporter, earned record revenues of $4.2 billion in 2018. But its $1 billion in total debts prompted it to declare bankruptcy on December 6 - four days before former President Mauricio Macri left office.

The firm was a top contributor to Macri's failed re-election campaign, donating $300,000 last August 6-8 alone.

Its CEO and chief shareholder, Alberto Padoán, 76, was vocally supportive of Macri's right-wing, 2015-19 tenure - which granted agro-exporters tax cuts worth over $1 billion annually.

Vicentín executives are currently in talks with Swiss-based commodity trading giant Glencore for a possible takeover. The two firms are partners in Renova, owner of Argentina’s largest soybean-crushing plant.

Hecker, appointed to the National Bank on December 23 by newly-elected President Alberto Fernández, refused Vicentín's request to restructure its debts, requiring the firm to sell assets to pay down its obligations before seeking relief.

"Vicentín was categorized as a prime borrower despite having missed payments for a year - nor did they present a payment plan," National Bank spokesman Sergio Resumil explained.

"There was a decision to not repay."

At: https://translate.google.com/translate?hl=en&tab=wT&sl=es&tl=en&u=https%3A%2F%2Fwww.pagina12.com.ar%2F243501-el-extrano-raid-de-vicentin-crecimiento-explosivo-con-fondos

Vicentín CEO Alberto Padoán (with moustache) in 2017 with former Argentine President Mauricio Macri (right) - of whom Padoán was a top backer.

Vicentín, which benefited from Macri's agro-export tax cuts, is delinquent on a total of $366 million borrowed from several Argentine banks - a figure similar to recent transfers made to Swiss accounts.

Amid a severe crisis, Macri was defeated for re-election - and the National Bank's new management is now demanding repayment from the soy exporter.