Aspis SA restrictions lifted as Greece acknowledges surplus of EUR 13.8 mln

The authorities in Greece have lifted all the capital restrictions against Aspis Pronia SA, giving it a clean bill of health after it emerged that it has a surplus capital of EUR 13.87 mln, over and above the minimum requirements as set by Greek law.

In a December 19, 2007 decision, the Greek authorities lifted all the restrictions imposed against Aspis since April 27, 2007 after a departing official from the company had accused the Group of operating without meeting the minimum Greek capital adequacy ratios.

“There is no need to maintain the restrictions,” the Greek state decision says since the Group meets and exceeds the minimum requirements of the law.

The Greek authorities state that as at end of 2006, Aspis had own capital and reserves amounting to EUR 49.83 mln, but after deducting the minimum capital adequacy requirement of EUR 21.03 mln, as well as EUR 3.9 mln reduction for cross holding stake in Aspis AEAZ and EUR 10.9 mln in Commercial Value SA and EUR 127.891 in Liberty Life, the balance of EUR 13.87 mln is considered as additional surplus, over and above the requirements.

The Greek authorities also confirmed that Commercial Value SA also exceeds by far the minimum requirements of the law, since its own capital and reserves amounting to EUR 48.64 mln as at end of 2006 are well above the EUR 28.2 mln minimum capital requirements of the Greek state for the company to carry out its activities.

An Aspis SA spokesperson described the development as very usual and as expected as far as the Group is concerned, since according to the spokesperson, “we knew all along that the big fuss that was made in Cyprus media (not Financial Mirror) was a deliberate attempt to tarnish our image, at the height of the events surrounding our intention to acquire a controlling stake in Universal Life Insurance.”

The same spokesperson told the Financial Mirror that the prospects of Aspis SA and Commercial Value SA as well as its subsidiaries in Cyprus, Albania, Sweden and other European countries remain very positive and the Group is determined to press ahead with plans to become a leading insurance, financial and investment conglomerate.