Cursed mine claims another deadbeat bank in Mongolia - BUSINESS NEW EUROPE: "A gold mine in Mongolia that locals are calling jinxed has laid claim to another banking victim, and highlighted a potential problem in the banking sector of mineral rights being used as collateral for loans.
Most baffling about the collapse of Khadgalamj Bank – or Savings Bank as it is called in English – and it's subsequent takeover on July 19 by the government-owned State Bank (Toriin Bank) is this was the third time that the same gold mine, Olon Ovoot, was at the centre of a Mongolian bank's downfall. When Anod Bank filed for bankruptcy in 2008 and then Zoos Bank folded in 2009, both times it was because the Mongolian firm Mongol Gazar had defaulted on a loan that used Olon Ovoot as collateral.
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'via Blog this'
