Paschi Reaffirms ‘Full Confidence’ for CEO Amid Mediobanca Probe

Banca Monte dei Paschi di Siena SpA renewed its support for Chief Executive Officer Luigi Lovaglio amid a probe into the bank’s takeover of Mediobanca SpA.

The lender’s board of directors “unanimously renewed its full confidence” in Lovaglio following an in-depth review, Paschi said in a statement late Friday.

Lovaglio is being investigated by Milan prosecutors for allegedly coordinating the Mediobanca acquisition with two influential investors — billionaire Francesco Gaetano Caltagirone and Delfin SarlChairman Francesco Milleri — according to documents previously seen by Bloomberg News. The trio failed to disclose their coordination to the market or relevant authorities, according ...