Jaime Michelsen Uribe
Jaime Michelsen Uribe | |
|---|---|
| Born | 25 March 1930 Bogotá, Colombia |
| Died | 4 July 1998 (aged 68) Bogotá, Colombia |
| Occupation(s) | Banker, businessman |
| Known for | Founder and chief executive of the Grancolombiano Group; involvement in Colombian stock exchange scandal |
Jaime Michelsen Uribe (born in Bogotá on March 25, 1930 – died July 4, 1998) was a distinguished figure in Colombian banking and business circles.
He was the founder and chief executive of the Grancolombiano Group, which stood as Colombia’s largest economic conglomerate, encompassing numerous major enterprises within the national market. Under his guidance, this group became a leading player in the country’s commercial sector. Nevertheless, Michelsen’s leadership was overshadowed by involvement in one of the most significant corruption controversies in the history of Colombia’s stock exchange.
Biography
Son of Ernesto Michelsen Mantilla, a banker and director of Banco Central Hipotecario, and María Uribe Portocarrero, he pursued studies in law before joining the National Insurance Company of Colombia in 1945, where he acquired valuable expertise and initial capital.
Business activity
Accumulating modest wealth, Michelsen established Grancolombiana Credit Insurance Company, S.A. in 1959, marking the first enterprise within what would become his expansive conglomerate. He later purchased Banco de Colombia, a pivotal asset that fueled his business expansion.
Among his collaborators was businessman Héctor Mario Barrero; Michelsen provided financial backing during two crises Barrero faced and subsequently gained control over some of Barrero’s firms, thereby broadening his business interests.
Grancolombiano Group
On September 14, 1972, coinciding with the creation of Housing Savings Corporations under President Misael Pastrana’s administration, Michelsen launched Colombia’s foremost business conglomerate, the Grancolombiano Group. The group adopted an eagle with outstretched wings as its emblem.
In 1974, he also founded the National Association of Financial Institutions (ANIF), which was led by liberal politician Ernesto Samper.
By 1983, Michelsen held approximately a 20% share of Colombia’s stock market and controlled around 64 companies. His portfolio included Cine Colombia, the National Chocolate Company, Banco de Colombia, and the higher education institution Politécnico Grancolombiano, among various other ventures.
Stock market scandal
A scandal surfaced in 1982 when El Espectador revealed that board members from the group—including families López and Michelsen—were engaged in unlawful self-lending practices. These speculative transactions involved fraudulent collateral that jeopardized both client funds and shareholder equity. The Michelsens took advantage of a government-declared state of emergency to facilitate these illicit operations.
In response, the group pulled its advertising from El Espectador and exerted pressure on partners to follow suit, severely impacting the newspaper’s financial standing. Despite this opposition, director Guillermo Cano remained steadfast in supporting the investigative journalism. In 1983, under President Betancur’s administration, authorities intervened by assuming control over Banco de Colombia and creating the National Securities Commission to manage the fallout.
Following public disclosure of legal actions against him, Michelsen Uribe fled to Miami on December 31, 1982. The financial debacle resulted in losses estimated at around 500 million pesos at that time. Between 1983 and 1984, the conglomerate was dismantled with government liquidation of several companies aimed at settling outstanding debts. Banco de Colombia emerged as the most resilient entity, later rebranded as Bancolombia and becoming one of Colombia’s foremost financial institutions.
An arrest warrant for Michelsen was issued on January 9, 1984. After spending time in Miami and Panama continuing his business pursuits, he returned to Colombia in 1988 but was apprehended. Following a brief imprisonment period, he escaped back to Panama. Due to his advancing age and health issues, he ultimately served only two years behind bars.
Final years and passing
After returning to Panama, Michelsen experienced a deterioration in his health, resulting in several hospital stays at the Country Clinic in Bogotá. He passed away on July 4, 1998, at the age of 68, at his home in the Quinta Camacho neighborhood of northern Bogotá, following a prolonged illness lasting four years.
His funeral service was held on July 5 at the Chapel of Gimnasio Moderno, and he was interred in the family crypt at Bogotá's Central Cemetery.
Family
Michelsen was a member of the distinguished Michelsen family, which held considerable influence within Colombia’s political and business sectors. His father, Ernesto Michelsen Mantilla, was a prominent banker and descended from the Danish entrepreneur Karl Michelsen Koppel.
Among his descendants is Cristina Plazas Michelsen, his granddaughter, who has built a career as a lawyer and politician. She has held positions such as High Advisor for Women's Equality during President Juan Manuel Santos’ administration, served as a Bogotá councilor, worked as a presidential secretary, and directed the ICBF.
Felipe López Caballero, son of Alfonso López, approached Michelsen Uribe seeking financial support for the journalistic venture Semana, which had recently been acquired from Alberto Lleras Camargo; however, Michelsen declined to invest.
Kidnapping of Camila Michelsen
On September 24, 1985, his daughter Camila Michelsen Niño was abducted by members of the April 19 Movement (M-19) while at the Politécnico Grancolombiano. During the incident, her teacher was also threatened by the captors. The guerrilla group tied the kidnapping to the financial difficulties facing Michelsen’s companies that were impacting the nation and demanded that detailed accounts of these affected funds be published in national newspapers.
Following extended negotiations and payment of a $500,000 ransom, Camila was freed on July 31, 1987. Despite her release, Michelsen—who was then living as a fugitive in Panama—reported that she was detained two additional times thereafter.
Bibliography
- Dávila, C. (2003). Empresas y empresarios en la historia de Colombia: siglos XIX-XX.
- Donadio, A. ¿Por qué cayó Jaime Michelsen?. Ancora Editores. ISBN 8489209421.
- Gómez Caballero, R. (1979). !!Jaimito Guanábana Michelsen Uribe--yo quiero la verdad!!. ISBN 948357915
- Rincón, F. (1989). Michelsen, el poder de la desgracia. Aquí y Ahora Editores. ISBN 21410474
- Rodríguez, H.M. (1989). El Águila. ISBN 8489209421.
- Uribe Escobar, J. El Valor de los talentos.