[DR1] Baninter letter of credit started Cap Cana

[NewsWhore]

Cap Cana, the Jack Nicklaus golfing and residential project going up in the east, got its start with a US$30 million letter of credit issued by the collapsed Baninter bank. Today's Listin Diario reports that the Hazoury Group used the funds to purchase the property from Central Romana. The newspaper highlights the fact that the Hazoury Group appears in a recent Superintendence of Banks financial risk report as indebted for RD$2.2 billion, not taking in account debts in dollars abroad or commercial paper placements in the market. Listin Diario reported that the governmental bank, Banco de Reservas had lent the group RD$1.1 billion, mostly during the Mejia administration. An unnamed source told the Listin Diario that never before had the government bank made such high loans to a business group.

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