bank of italy governor antonio fazio appeared increasingly isolated on saturday after government and opposition leaders united to find a way to eject him from office and end a months-long banking scandal, reuters reported. deputy prime minister gianfranco fini said the government still hoped fazio, who is being probed for insider trading, would resign over the scandal that has resulted in the arrest of his close friend, gianpiero fiorani, for suspected embezzlement. 'without doubt, the bank of italy governor should have the sensitivity to give his resignation. if this does not happen the government and the parliament will take the necessary steps,' fini told reporters. the government has called for fazio to resign since the summer when he was accused of bias after police wiretaps revealed he approved a bid by popolare italiana, then led by fiorani, against bank of italy investigators' recommendations. but it has stopped short of ousting fazio, 69, because the bank of italy is independent. however, economy ministry undersecretary maria teresa armosino said the government could pass a 'transitory law' that would ease fazio out of office within months. --spa
