Monte Paschi Fires CEO Lovaglio After Previously Ousting Him

Banca Monte dei Paschi di Siena SpA formally removed ousted Chief Executive Officer Luigi Lovaglio after it had stripped him of his powers for defying the board’s plan to replace him.

The lender’s board “decided to unilaterally terminate the labor contract with Luigi Lovaglio as general manager,” it said in a statement Tuesday. The move is a “direct consequence” of the decision two weeks ago to revoke his powers, it said.