E-auctions: An uncomfortable reality

Electronic auctions began in Greece last week after months of discussions and delays. It was a minor first foray into this form of foreclosure in terms of volume (only two properties went under the hammer) but a much more significant moment as far as substance is concerned. E-auctions are seen as a vital part of the process through which Greek banks are going to heal the financial wounds caused by the crisis.

Greece's creditors, as well as representatives of the European Central Bank's Single Supervisory Mechanism (SSM), were in Athens last week and would have been watching events closely. E-auctions have become so important because public auctions had virtually ground to a standstill as a result of protests by activists who want to prevent homes being sold by banks, as well as lengthy strikes by lawyers and notaries. Last year, fewer than 5,641 property auctions were held...