Suphire assets seized

Assets of Suphire Securities and Suphire Trading and Investment were frozen by Nicosia District Court on Thursday March 17, along with the assets of Yiannis Andronikou and Rea Andronikou, who have a controlling stake in the company, following investigations into huge losses in the pension funds managed by the companies.

The Cyprus Stock Exchange (CSE) had already announced that it had moved the titles of Suphire Holdings Public Ltd. (SUP) to its Special Category, effective March 18, 2005.

The CSE move came following the partial suspension on a number of activities that the Cyprus Securities and Exchange Commission (SEC) had imposed on Suphire Securities and Financial Services Ltd. on Tuesday.

The suspension order was imposed on Suphire in view of the ongoing investigations by the SEC into the activities of Suphire, which has been accused of creating a shortfall of CYP 9.2 mln in the value of assets held by the Provident Fund of the Electrictiy Authority of Cyprus (EAC).

Suphire is also under fire from the Cyprus Airways Pilots’ Fund for creating a shortfall of CYP 730,000 in bonds and cash, as well as another CYP 220,000 shortfall for the Provident Fund of the Cyprus Forest Industries Fund.

The SEC has given Suphire until Thursday March 24 to explain what has happened to the deficits on the Provident Funds.

The CSE said the titles of SUP will trade in the Special Category until the suspension order is lifted by the SEC on the group’s subsidiary. The decision was taken in full agreement and consent of the SEC.

Meanwhile, it was reported that Andreas Sandis and Demetris Theodorides tendered their resignations from the SUP Board. In mid-December, Nicholas Papadopoulos, the son of the President of the Republic had resigned from the Board of SUP.

Meanwhile, Presidential Spokesman Marios Karoyan has rigoroulsy denied accusations that the Presidential Palace was influential in the EAC continuing its relationship with Suphire.