Liquidation of Investprivatbank goes slowly, central bank governor

The procedure for liquidating BC Investprivatbank is difficult and very slow, the governor of the National Bank of Moldova Dorin Dragutanu told a news conference. “The liquidator is making effort to sell the assets and recover the loans. It is a huge volume of work and a difficult process. It is hard to take possession of the securities. The legislation is not perfect and the legal entities that did not repay the loans taken out from Investprivatbank do everything possible to preserve the securities,” the governor said, quoted by Info-Prim Neo. “On the other hand, about 50% of the bank's assets are 'dead'. Some of the economic entities do not work, while many cannot be found.” Dorin Dragutanu also said that all the profits obtained by the liquidator from the sale of assets is used to pay the debt of 600,000 lei to Banca de Economii. Under the Insolvency Law, after the debts to the private individuals are settled, priority is given to the financial institutions and then companies. “Only about 5% of the debt to Banca de Economii has been repaid until now,” Dorin Dragutanu said.

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