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Microcap & Penny Stocks : Tokyo Joe's Cafe / Societe Anonyme/No Pennies -- Ignore unavailable to you. Want to Upgrade?

To: Trumptown who wrote (27768)	12/14/1998 1:32:00 PM
From: MoneyMade	Read Replies (1) \| Respond to of 119973

SFN---VOTE PASSED BY THE MAJORITY THIS SATURDAY Mexican Parties Agree on Bank Plan By JOHN RICE Associated Press Writer MEXICO CITY (AP) - An agreement to ease $60 billion in bad debts for Mexico's banks is expected to give a boost to the economy. Two leading political parties announced the deal Friday, removing a pall of uncertainty caused by concerns over the country's overstretched protection fund for bank deposits. A months-long stalemate over a bailout plan ended Friday, when the conservative National Action Party announced that the government party had accepted its proposal to replace the current bank fund, known as Fobaproa, with a new Savings Protection Institute. Mexico's stock market had rallied Friday on rumors that an agreement was near. But the future of Central Bank Gov. Guillermo Ortiz - whose resignation the opposition had demanded - remained unclear. The new institute would assume most of the roughly $60 billion in overdue loans held by Fobaproa, but it apparently would exclude loans found to be illegal in an audit now under way. The two parties jointly have more than enough votes to assure the measure's passage. Details of the agreement remained unclear. National Action officials said the agreement would bar Ortiz from any role in the new institute. They accuse Ortiz of violating the law in the bank bailout that followed Mexico's 1995 financial crash. But Congressman Angel Aceves Saucedo of the governing Institutional Revolutionary Party insisted that Ortiz would not be forced to resign. Opposition parties charged that officials violated Mexico's constitution by pledging public backing for the loans without congressional approval. The government insisted its action was legal. National Action said its proposal would create greater incentives for banks to recoup the bad loans.