ECONOMY

Bank of Cyprus CEO to step down after difficult overhaul

Bank of Cyprus CEO John Patrick Hourican announced on Tuesday he will step down in the summer less than two years into a major restructuring of the island’s troubled largest lender.

The former Royal Bank of Scotland senior executive – who joined BoC in October 2013 – is stepping down for personal reasons but is contractually obliged to stay on for another four months, a BoC statement said.

“Hourican’s decision to leave the bank is a personal one and he intends to return to Ireland to spend more time with his young family. He indicated that he is not leaving to take up another role elsewhere,” it added.

Hourican’s resignation comes two months after a bank service car was torched outside his Nicosia home.

Police said they regarded the motive as “malicious” but have made no arrests.

BoC customers suffered a 47.5 percent haircut on deposits above 100,000 euros under the terms of a 10-billion-euro bailout deal the government reached with international creditors in March 2013.

The bank said “a successor to Mr Hourican will be announced in due course,” but there is no obvious front runner.

[AFP]