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May 30th, 2012 
FAKE NEWS for the Zionist agenda Ordonez met Prime Minister Mariano Rajoy on Tuesday and tendered his resignation, the Bank of Spain said in a statement.
The governor, who has been leading the country’s banking industry since 2006, has faced mounting criticism since the nationalization of the Bankia group, Spain’s third-biggest lender on May 9.
Bankia, which received 4.5 billion euros in state loans from the government during its nationalization process, asked the government for a bailout of more than USD19 billion on May 25, which can help the troubled lender to stay afloat.
Ordonez decided to resign one month early to enable the next governor to take over in time to follow the government’s plan to clean up the banking sector, the Bank of Spain added in the statement. The banks are expected to submit their proposals showing how they will go along with the new conditions by June 11, the statement read.
Last week, Spain’s cabinet appointed Luis Maria Linde, an ex-director general of the Bank of Spain, to the board of the central bank, partly to place him in line to succeed Ordonez.
The bank was formed in a merger of seven saving banks in 2011 and was partly nationalized earlier this month, as a result of its bad property debt problems.
The recent developments have also affected its parent company, Banco Financiero y de Ahorros, causing its shares to be suspended as well.
On Tuesday, Financial Times reported that stocks trading in Spanish markets have reached the lowest level while the borrowing cost for the country has hit a record high. Bankia shares closed down more than 16 percent on Tuesday, after a 13 percent rout on Monday.
Meanwhile, the country’s central bank reported on Tuesday that Spain’s battered economy will shrink in the second quarter of 2012, with the recession expected to continue until at least mid-2012.
SAB/PG/HGH/AZ
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