Correa Proposes Referendum Vote on Banks’ Holdings

[Judi Lynn]

Correa Proposes Referendum Vote on Banks’ Holdings
By Nathan Gill - Jan 8, 2011 12:53 PM CT

Ecuadorean President Rafael Correa said a planned constitutional referendum will ask citizens whether to limit banks’ operations to only financial services and strip them of company holdings outside of their industry.

The proposed questions will be sent to the nation’s constitutional court for approval on Jan. 10, Correa said today in his weekly speech to the nation.

“We are going to ask if bankers should have shares in businesses outside the financial system,” he said.

The referendum, announced Dec. 7 after the shooting deaths of two children, will ask voters to approve changes in the length of prison sentences for violent crimes and restructure the nation’s judicial system to remove “corrupt” judges, Correa said. It also will ask voters if media companies should be allowed to own non-media companies, Correa said.

More:
http://www.bloomberg.com/news/2011-01-08/ecuador-plans-to-hold-constitutional-referendum-on-curbing-bank-operations.html