A political conspiracy

Subsequent investigations and personal confessions have shown that authorities were pursuing its own political agenda: the US wanted to be seen to be taking tough action on international money laundering; Spain was looking to further undermine and destabilise Catalan influences; and the Andorran authorities wanted to shield other domestic banks from anti-corruption scrutiny.

The colluding authorities were assisted by the US Financial Crimes Enforcement Network (FinCEN) in bringing down BPA. This is despite its primary role as an anti-terrorism organisation set up in the wake of 9/11.

A lack of evidence

BPA’s CEO was arrested 72 hours after the FinCEN investigation began, and was held in prison for two years without charge. His arrest was the result of false testimony given by an individual who was forcibly driven by Spanish police across the border into Andorra. 

Multiple independent investigations into BPA between 2007 and 2014 by Deloitte, KPMG and UIFAND found no evidence of money laundering at BPA.

Despite numerous allegations and the forced closure of the bank by the Andorran authorities, there have been no convictions of money laundering in relation to BPA. Leal proceedings in Spain concluded that there was no evidence of money laundering at BPA. The Andorran authorities, who are responsible for the bank’s expropriation, refuse to recognize their responsibilities.

Financial losses for many

Senior Andorran politicians created new legislation and acted on insider knowledge of BPA’s closure to protect their private assets.

Vall Banc, a new Andorran bank created by the government to take over the management of BPA’s assets, rejected over a third of all assets causing financial misery for thousands of customers and investors.

On 14 July 2016, JC FLowers, the US private equity firm, bought Vall Banc at an 86% discount from the Andorran authorities.