Aspis clarifies on Universal Life

Aspis Holdings issued a tough statement in response to a report regarding the circumstances surrounding its bid approach for Universal Life.
1) Our Legal Advisor received on April 26, 2007 in the afternoon a letter by the Insurance Superintendent. The Legal Advisor informed our Company on the letter on 30/4/2007 in the afternoon. The letter was submitted to Chairman, Pavlos Psomiades in Athens on 30/4/2007 and he personally received it on Wednesday, 2/5/2007. On the same day, the letter was received by the Managing Director. The Company organized a meeting of the Board of Directors on Thursday, 3/5/2007 so that it is attended by the Vice Chairman and Head of Insurance Operations, Mr. Vasilis Adamopoulos. The letter has not been delivered to our Head Office, 1 Andrea Haliou, Engomi, Nicosia, yet. The Insurance Superintendent rejected the Company’s request for a registration of the shares acquired in Universal Life Ltd by Marfin Popular Bank Ltd, which had been paid cash against CYP14,000,000 (EUR24,080,000).
The Company disagrees with the allegations of the Insurance Superintendent, who is biased against our company due to her previous decisions that are not related to the Company’s participation in Universal Life. The Company will appeal to the decision of the Superintendent, it will secure its interests with regard to its agreement with Marfin Popular Bank Ltd and it will take all the necessary measures in order to protect its shareholders’ interests.
It will, therefore, give a press conference next week in order to reveal all information concerning the interlocking of its interests. The Company will reveal to what extent the Insurance Superintendent is disposed with her wrong decision. The questions that have been raised are:
1. How can the Superintendent reject the participation of the Company in Universal Life using its “past” as an excuse, when the new major shareholder, who is called to pay the price, had secured her approval in order to participate in former MFS Holdings without a warning, investing millions of euros?
2. How can the Superintendent ignore the two large capital increases of CYP50 mln that have been carried out in the Company and the additional capital that Aspis Group has disposed for acquisitions to the benefit of its Cypriot subsidiary insurance company Liberty Life Insurance Ltd?
3. How can the Superintendent talk about the regulatory role of the Company in Universal Life when she knows very well that the control of the share capital is held by Georgiou – Fotiades, the administrative control is held by Georgiou and the Company will not participate in the management of the insurance company?
4. How can the Superintendent be highly concerned about the theoretical case that the Company undertakes the control of Universal Life and mismanages its reserves at a time that under her supervision Mr. Georgiou sold the stake of Universal Life Ltd in Universal Bank €15,000,000 lower than he could do to any other buyer? The Insurance Superintendent gives the impression that she protects the interests of Mr. Georgiou, ignoring the interests of the company and the small shareholders.
It is obvious that the Superintendent is not objective against the Company and the Company will take all necessary measures to protect its interests. The upcoming press conference will be revealing.