Monte dei Paschi Board Moves to Strip CEO of Powers
Monte dei Paschi directors plan to strip CEO Luigi Lovaglio of his powers after he sought a new term. The board will resume talks Tuesday to finalize the move.
The board of directors at Monte dei Paschi di Siena is expected to strip Chief Executive Luigi Lovaglio of his executive powers following a leadership dispute. Sources familiar with the matter indicate that the decision comes after Lovaglio attempted to secure a new mandate despite the board's opposition to his continued tenure.
While a final decision was not reached during a meeting on Monday, the board is expected to reconvene on Tuesday to formalize a structure that keeps Lovaglio in his role but removes his delegated authority. Lovaglio currently holds the dual roles of CEO and general manager at the institution, which stands as the third-largest bank in Italy.
