HEBROSBANK'S SUPERVISORY BOARD CHANGED
The acquisition of Biochim commercial bank has been included as a target in the strategy for HEBROSBANK's development, presented to its shareholders at the credit instutution's annual general meeting, held on August 20 in Plovdiv.
For a second year in succession the sharedolders voted for not distributing the bank's profit in dividend. The financial institution's 2000 profit is BGL13,706,000, of which BGL204,915 will go to the Reserves Fund and the remaining BGL13,501,512 will remain as non-distributed profit in HEBROSBANK's equity capital. The general meeting of HEBROSBANK's shareholders released Alexander Wamand and Dominique Bokor-Ingram from the credit institution's Supervisory Board. They will be replaced by Margot Jacobs and David McMahon.
The American Ms. Jacobs is Director of I Regent Group and is responsible for the group's investments in banks and real estate. From 1994 till 1996 she headed a team of KPMG Peat Marwick, Barents Group in Moscow. Afterwards, Ms. Jacobs handled investment projects of AIG Brunswick Capital Management in the Russian capital, worth more than USD300MN. In 1997 she was appointed senior bank analyst and expert in strategies at United Financial Group, where she worked till 2000.
David McMahon, 45, has been in I Regent Group's structures since 1998. He is presently Financial Director of I Regent Group Ltd. He is also a member of the Institute of DimplomaІed Accountants in Wales.
Some castling were made as well in HEBROSBANK's Internal Control Department. Nikolai Todorov, who quitted Demirbank (Bulgaria) several months ago, was appointed Chief Supervisor, and Hristo Kyosev, who was holding this position so far, is his deputy.
The offshore company I Regent Group Ltd., registered on the Caiman Islands is HEBROSBANK's majority shareholder with a 98.16% stake. It is within Regent Group, whose other subsidiary RegҐnt European Porperty purchased the Central Department Store (ZUM) in Sofia in the end of 1998. Last week publications appeared in the press that the Sofia City Court has levied a distraint on the owner's accounts in the United Bulgarian Bank, Raiffeisenbank (Bulgaria) and HEBNROSBANK due to defaulted payments to Beastern Energy - the construction company that repaired ZUM. The building company is owned by the British Beastern Heetans and the Bulgarian Energy Sever, among whose co-founders is Multigroup's firm Energy 94.
According to the publication in Trud daily the construction company claims USD1.1MN from ZUM for its reapir. However, a partial claim for USD342,246 has been placed in court.
HEBROSBANK officials denied emphatically to have received whatsoever court order for a distraint on ZUM's accounts.
According to ZUM's owners, the construction work performed by the Bulgarian-English company is of poor quality and after the completion of repair defects appeared. Regent European Property replied to the accuasations: the case, exaggerated by the Trud daily, is in fact a simple court argument for badly done work. Dozens of such arguments are settled in court every day without being published on the first pages of dailies. Regent European Propert lawyers believe that the court has performed illegal action, setting a guarantee of a size that exceeds many times the amount claimed by Beasten Energy. According to them, the tax valuation of ZUM's building is BGL35MN and the company's claim is for USD 342,246. Lawyers underline that the issuance of these guarantee orders does not prove that Regent European Property owes money to Beasten Energy.