Middle East: How They Broke the Bank

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But perhaps not permanently. The other banks, at first joyous at the collapse of their big rival, now feel that only the reopening of Intra will bring back confidence in Lebanon's key banking industry. A recent government-commissioned report by Lebanese financial experts pegs Intra's assets at only $8,000,000 less than its liabilities, a relatively small sum that the bank directors themselves could make up out of their pockets. Bedas, who was out of the country when the crisis struck, has stayed out, but has been scouring the U.S. and other financial markets, where he has raised a reported $70 million. And if the bank wants to raise cash by selling off such assets as MEA, the interested buyers include France, Russia, Kuwait and even Stavros Niarchos. Intra, in short, claims it could open tomorrow if it were allowed to. Despite a heavy dose of press criticism, Yaffi's government is going slow. "We are working hard," says Intra's Salha. "But when the cow is down, the butchers get out their knives. It is difficult going."

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