ASF asks for bankruptcy of Forte Asigurari Reasigurari

Newsroom 29/06/2016 | 15:00

The Financial Surveillance Authority (ASF) Council contested in the meeting from June 28 the insolvency of Forte Asigurari Reasigurari SA and decided to withdraw its license, while asking for the opening of the bankruptcy procedure for the insurer.

Before taking this decision, the ASF Council rejected the acquisition project presented by BBP Bandenia PLC in order to receive directly a significant part from the social capital of Forte Asigurari Reasigurari S.A.

As a result of the analysis of the presented documents by the potential acquirer, it was observed that the acquisition intention doesn’t respect the current legislation, from the perspective of a complete documentation, of the insurance of a sufficient level of transparency regarding the financing mechanism, as well as the mandatory conditions of the efficient surveillance of the regulated entity. BBP Bandenia PLC is a public company registered in 2003, with the headquarter in London. It has a social capital of GBP 440 million.

The ASF Council has observed that the main shareholder LGS Holding didn’t respect his obligations of increasing the capital of the company in order to re-establish the prudence indicators on the short and medium run.

The analysis of Forte Asigurari Reasigurari S.A was based on a wider range of 18 contestations resulted from the inappropriate control action developed by ASF in the first part of this year and that covered the period January 1 2015- March 31 2016.