28 Dec If you had in your estate or equity Bonds from Banco Popular, you still have time to claim what was lost.

Banco Popular has been one of the entities that has litigated the most before the Courts and Tribunals in Spain, not only regarding its dissolution, but also due to the improper commercialization of other financial products.

In November 2015, the conversion of bonds into shares that had been issued several years ago, in 2009, by Banco Popular took place. With an initially scheduled date for the 2013 swap, it was extended by the issuance in 2012 of other series of bonds in which the final conversion date was set for 2015.

The bondholders will have verified how the shares they now own are worth only a tenth of what they paid for the bonds and even now they do not even exist.

Since then there have been numerous claims before the Courts by injured parties to claim what was lost.

Why the Courts are giving the reason to the injured?

1. First of all because we are talking about a complex product because of its operation and that it was marketed to inexperienced clients.

2. The convertible bonds imply recapitalization of the bank, in practice there was a conflict of interest between the Bank that advised in the hiring of a product that supposed in definitive.

3. Moreover, the subordinate nature (for priority purposes) implied additional risk to those of decline in the contribution.

4. In short, Banco Popular had to prevent contracting, not only to discourage it in those clients not used to contracting complex products.

5. In addition, it was required to perform convenience and suitability tests to verify the investor’s qualifications and experience. Obligation not fulfilled in most cases.

The prescription regime deadlines, the main problem in some occasions.

The argument most used by Banco Popular lawyers has been to point out that the term that their clients would have to claim before Court would have expired. Thus, as in these cases the term of the action is 4 years, they indicate as the day from which the action could have been exercised that of the extension of the investment, that is, the year 2012. So, in 2016 it would have expired the term.

However, very recently at Navarro Llima Abogados we have obtained a ruling that we believe can help many more people in order to recover the lost money, since a Court of First Instance in Zaragoza has indicated that the period of 4 years to bring the proceedings can only be start in 2015, which is when the product’s life ends and you could have known about all the damage suffered. 

Therefore, if you are affected by Banco Popular’s convertible bonds, the most advisable first thing is before accepting any of the pacts or transactions that the bank could offer. Nothing prevents you to recover all of your money, neither limited to a part nor subject to conditions.

At Navarro Llima Abogados we have experience in the field of banking law: convertible bonds, multi-currency mortgage, land clauses, etc. A specialized advice may get you the refund of the amounts invested.

Héctor González.