Business leader cries as horses die in his arms
By CHARLES ELMORE
Palm Beach Post Staff Writer
http://www.palmbeachpost.com/localnews/content/local_news/epaper/2009/04/20/a1a_vargasprofile_0421.htmMonday, April 20, 2009
For most of his life, polo team owner Victor Vargas has managed to steer through turbulence as nimbly as one of his private planes. He owns half a dozen homes including a $68.5 million Palm Beach mansion. He calls himself "an intuitive guy."
The Venezuelan banker has managed to thrive despite inflationary gusts in his home country and the declared intent of Venezuelan President Hugo Chavez to build a classless society. Vargas was reelected this month as president of Venezuela's banking association.
"Either he is incredibly entrepreneurial and politically astute to be able to stay out of the line of fire, or he actively collaborates with the Chavez regime," said Jerry Haar, professor of management and international business at Florida International University in Miami.
-clip-
His horses began dying, one after another. With tears in his eyes, Vargas, 57, tried to comfort them, colleagues said.
Vargas was "devastated" as he held the horses in his arms, said John Wash, president of operations for the International Polo Club Palm Beach.
-clip-
In that interview, he waved off whispers that he is Chavez's "right-hand man," saying he has tried to focus on business and stay out of politics as much as he can.
-clip-
In 2002, the Journal noted, he helped persuade bankers not to join strikes led by business groups that wanted Chavez out.
"I am a socialist in the real sense of the word," Vargas said, speaking in the context of taking care of his employees.
Vargas oversees 6,500 employees and maintains banking and oil holdings in the United States, Venezuela, Panama and Dominican Republic, according to his biography on the polo league Web site. His Banco Occidental de Descuento has flourished by cultivating clients in the oil business.
One rocky patch came when he bought part of New York-based CapitalBanc Corp, only to have banking authorities prosecute other executives in the venture for fraud in the early 1990s. He was fined $1.15 million and agreed not to invest in U.S. banks without permission from authorities, but was not charged, according to published reports. He later told the Journal he had been "naive."
In other instances, he has maneuvered carefully around potential trouble. The son of a doctor and Venezuela's first female Supreme Court justice, Vargas invited senior Chavez officials and opposition leaders to the 2004 marriage of his daughter to the great-grandson of longtime Spanish strongman Francisco Franco, the Journal reported.