Aspis Cyprus safe from clampdown in Greece.-- Greek authorities revoke licenses of 5 Aspis insurance companies -- Aa-- Greek authorities revoke licenses of 5 Aspis insurance companies -- Aspis Liberty Life Insurance Public Company Ltd (LIB) announced that it is not affected by the decision of the Greek insurance watchdog to revoke the operating licenses of five insurance companies -- Aspis Pronoia, Aspis Life Insurance, Aspis General Insurance, General Union, General Trust and G.H. Skourtis Insurance -- after the five failed to cover the necessary credibility margins. "The activities of Aspis Liberty Life do not depend on the aforementioned Greek insurance companies and are under the supervision of the Cypriot Insurance Companies Control Service of the Ministry of Finance," the company said. Aspis Pronoia AEGA and Aspis Pronoia AEAZ participate in the share capital of LIB with 7.21% and 1.06%, respectively. George Constantinou, General Manager of Aspis Holdings (ASP), has also maintained that while the operations of the Cyprus company will not be affected, there will be a negative impact on the results of the Group. The direct shareholding stake of the five affected companies in Aspis is reported to be 19.4%, which will now be confiscated by the Greek authorities and end up in the hands of other shareholders. It is not yet clear what will happen to the controlling stake held by Group Chairman Pavlos Psomiades. However, there will be a loss of EUR EUR In currencies, this is the abbreviation for the Euro. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 5.5 mln as regards Commercial Value of which some EUR 2.7 mln will be reflected in the results of Aspis Holdings. "This is most certainly a negative development but we shall overcome the situation," said Constantinou. GREEK CLAMPDOWN clamp·down n. An imposing of restrictions or controls: "Advertisers and broadcasters would raise howls of protest against any strong clampdown" Wall Street Journal. Greece's insurance watchdog on Monday announced it was permanently revoking the operating licenses of the five insurance companies after they failed to meet their financial obligations towards their customers and employees. The watchdog also said that Pavlos Psomiadis, chairman and chief executive of Aspis Insurance Group, presented a letter of guarantee worth EUR 550 mln by HSBC HSBC Hongkong and Shanghai Banking Corporation HSBC Humane Society of Broward County (Florida) HSBC Humane Society of Bay County (Bay County, Michigan) which proved to be fake. The Private Insurance Supervisory Commission said that according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. Greek law Greek law Legal systems of the ancient Greeks. Each city-state administered its own laws, many of which were laid down in written statutes. The harsh law code of Draco and the more humane one of Solon are two of the most famous. , a supplementary fund has been set up to cover all five insurance companies' customers for 30 days, while a Supervisor of Life Insurance Portfolio will take over the management of Aspis Life Insurance to ensure that customers maintained their contract rights and money saved. The watchdog also revoked the licenses of General Union, General Trust and Scourtis Insurance company. ASPIS BANK Aspis Bank, in which Pavlos Psomiadis and some of the affected insurance companies hold a 67% stake, is reported not to be affected by the move since according to reliable sources, the bank's Tier 1 capital Tier 1 Capital A term used to describe the capital adequacy of a bank. Tier I capital is core capital, this includes equity capital and disclosed reserves. Notes: Equity capital includes instruments that can't be redeemed at the option of the holder. exceeds the safety minimum of 8% while a share capital increase has been put forward. Aspis Bank is reportedly looking to boost its capital by EUR 120 mln, according to the bank's General Manager Christos Sorotos who was recently in London drumming up interest. The fact that Aspis Pronoia will not be able pay its share of EUR 80 mln in the forthcoming share capital increase is expected to be taken up by new strategic investors. Copyright Financial Mirror. All right reserved. Provided by Syndigate.info an Albawaba.com company |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion