Completed Proceedings

Completed bankruptcy and liquidation proceedings

Banks

1. Kombanka a.d. Beograd, in bankruptcy

2. Monteks banka a.d. Beograd, in bankruptcy

3. AIK banka a.d. Senta, u stečajuin bankruptcy

4. YU EKI banka a.d. Beograd, in bankruptcy

5. Srpska komercijalna banka a.d. Niš, inbankruptcy

Insurance companies

1. Plava tačka-SLO a.d.o.Beograd, in liquidation

2. Agroosiguranje a.d.o. Beograd, in liquidation

3. Autonena a.d.o. Beograd, in liquidation

4. Kosmet a.d.o. Beograd, in bankruptcy

5. Osiguranje Plus a.d.o. Beograd, u likvidaciji (in liquidation)

Other financial organizations

1. Zemljoradnička štedno kreditna zadruga AGRO KASA a.d. Beograd , in liquidation

Proceedings which are continued over a portion of the bankruptcy/liquidation estate

Banks

1. BB Slavija banka a.d. Beograd, in bankruptcy

2. MB banka a.d. Niš, in liquidation

Insurance companies

1. Plava tačka a.d.o. Beograd, in liquidation

2. Libertas a.d.o. Beograd, in liquidation

3. Top gan a.d.o. Čačak, in liquidation

Completed bankruptcy and liquidation proceedings

Banks

1. Kombanka a.d. Beograd, in bankruptcy

By the decision of the Commercial Court of Belgrade V-St-57/2007 of 19 June 2007, bankruptcy proceedings were instituted over the bank. Deposit Insurance Agency was appointed as bankruptcy administrator. Note that the bank was under liquidation proceedings starting from 19.07.1996.

On 31.03.2008, Bankruptcy Panel rendered the decision determining the main distribution, which became final and irrevocable on 09.04.2008 and the payout to creditors was made in the percentage of settlement of 9,01% by 24.04.2008.

Bankruptcy proceedings over Kombanka were closed by the decision of the Commercial Court of Belgrade dated 28.05.2008. This decision became effective on 02.07.2008.

2. Monteks banka a.d.Beograd, in bankrutcy

By the Decision of the Commercial Court of Belgrade, V-St-63/2007 of 05.07.2007, bankruptcy proceedings were instituted over the bank. Deposit Insurance Agency was appointed as bankruptcy administrator. Note that liquidation proceedings over the bank were previously instituted on 04.11.1998.

After the initial bankruptcy balance sheet was made, it was concluded that the only property of this bankrupt was a real estate in the Republic of Montenegro and that it was the subject of a lawsuit with uncertain outcome. All reported claims were examined. Established bank’s liabilities amount to over RSD 500 million.

A proposal for closing of the bankruptcy proceedings was submitted to the Commercial Court of Belgrade. On01.04.2009 was renderedthe decision by which the bankruptcy proceedings over the bank were closed. This decision became final and irrevocableon01.06.2009.

3. AIK BANKA а.d. Senta, in bankruptcy

By the decision of the Commercial Court of Subotica, St-2/2008 of 09.01.2008, bankruptcy proceedings were instituted over the bank. Deposit Insurance Agency was appointed as bankruptcy administrator. The Bank was under liquidation proceedings from 03.11.2000.

During the liquidation proceedings, all creditors’ claims were examined, debtor’s property was encashed, and creditors with secured rights were settled.

Pursuant to the ruling on main distribution of 09.06.2008, creditors of the III payout grade were settled in the amount of 15.22% or over RSD 17 million. By this ruling it was concluded that there are no creditors of the I and II payout grade. To the creditors of the III payout grade were also transferred the recovered receivables based on the deposits with the Jugobanka New York Agency, commensurately with the established receivables. Total established creditors’ receivables amount to more than RSD 150 million.

As the bank collected receivables from its debtors subsequently, the bankruptcy administrator filed a proposal for subsequent distribution of the bankruptcy estate which was distributed and disbursed to creditors in the amount of 1,58% per creditor, on the basis of the additional ruling dated 03.09.2009, by which the bankruptcy proceedings over the bank were closed.

4. '' YUEKIBANKA '' а.d. Beograd, in bankruptcy

By the Decision of the Commercial Court of Belgrade V-Sт-2/09 dated 12.01.2009, bankruptcy proceedings were instituted over'' YU EKI BANKA '' а.d., Beograd. The bankruptcy proceedings over the debtor were preceded by the liquidation proceedings which started on 03.10.2001. Note that the liquidation proceedings over this bank under competence of the Commercial Court of Belgrade lasted for almost 9 years. During this period all bank’s assets were spent.

After the claims were reported and examined, theit total was established in the amount of ca RSD 100 million. Since the bank had neither cash assets, nor other significant property, close of the bankruptcy proceedings and transfer of the existing property (12 sets of coins) and bank’s claims in lawsuits were proposed.

On 08.12.2009 was rendered the decision V-Sт-2/09 on closure of the bankruptcy proceedings over the debtor.

5. Srpska komercijalna banka а.d. Niš, in bankruptcy

The liquidation proceedings over the Srpska komercaijalna banka a.d. Niš were instituted by the decision of the Commercial Court of Niš dated 12.04.2002, and the bankruptcy proceedings were initiated by the decision of the same court of 24.11.2004, upon proposal of the Deposit Insurance Agency as liquidation administrator.

During 2007 was carried out the main distribution of the Srpska komercijalna banka a.d. Niš,in bankruptcy,by which all the Bank’s creditors were paid out in the amount of 100%. At the end of 2008 the Agency proposed transfer of the entire surplus of the bankruptcy estate to previous shareholders in the amount of RSD 100 million. At the same time and in accordance with positive regulations, the Agency proposed to the bankruptcy panel of the Commercial Court of Niš a compensation for successful conduct and close of the bankruptcy proceedings, which resulted in a surplus of the bankruptcy estate.

But the Commercial Court of Niš, beyond common practice, rendered a decision ordering the Agency to continue with the conduct of proceedings for the account of former shareholders, without compensation and reimbursement of costs. On the account of this Bank remained RSD 11.6 million, of which RSD 8.1 million belong to previous shareholders – legal entities, which were liquidated in the meantime, i.e. erased from the registry, for which there is no evidence that they are legal successors.

The Agency had filed an appeal, but the High Commercial Court confirmed the decision in the 1^st degree. On 07.12.2009, Commercial Court of Niš rendered the decision оn close of the proceedings, ordering the Agency to carry out the transfer of the remaining funds amounting to RSD 8.1 million to the court deposit, and to transfer the remaining amount of RSD 3.5 million to former shareholders, commensurately with their stakes. Compensation for the Agency as bankruptcy administrator was not allowed. The Agency did not file an appeal against this decision, so that it is expected that the decision becomes final and irrevocable.

Insurance companies

Plava tačka-SLO a.d.o.Beograd, in liquidation

Liquidation proceedings over joint-stock insurance company ''Plava tacka Slo'' were instituted by the decision of the Commercial Court of Belgrade, VI L.no.875/04 of 24.01.2005, and by the Decision VI L.no.875/04 dated 26.08.2005 of the same court, Deposit Insurance Agency was appointed as liquidation administrator.

The hearing for examination of claims was held on 24.11.2005, and by the Decision of the Commercial Court of Belgrade of 28.12.2005 was allowed the payout from the liquidation estate for the purpose of settlement of the creditors’ claims, namely the amount of RSD 58.203,48 was paid to the creditor - A.D. “Plava tacka osiguranje” in liquidation and the amount of RSD 15.357,84 to the creditor - Tax Administration Novi Beograd.

Liquidation proceedings over this insurance company were closed by the decision of the Commercial Court of Belgrade dated 17.01.2006 and the remaining assets were transferred to the founders of the company.

A.D. za osiguranje ''Agroosiguranje'', in liquidation, Beograd.

Liquidation proceedings over joint-stock insurance company „AGROOSIGURANJE“ were instituted by the decision of the Commercial Court of Belgrade VIII-L-904/04 dated 27.12.2004, , and by the decision of the same liquidation panel of 21.01.2005, Deposit Insurance Agency was appointed as liquidation administrator.

Totally 36 reported claims were examined, amounting to RSD 27.6 million. Oh that number 27 claims were recognized entirely or partially amounting to RSD 12.2 million with the statutory default interest, and the amount of RSD 15.4 million with the statutory default interest was refuted fully or partially. According to the ruling on main distribution dated 21.06.2006, RSD 11.7 million were paid and subsequently RSD 528 thousand for two claims were paid out from provisioned funds. Totally RSD 12.2 million were paid out.

The liquidation proceedings over this company were closed by the decision of the Commercial Court of Belgrade dated 15.11.2006, and the rest of liquidation estate was paid to the shareholders, which resulted in full completion of the liquidation proceedings.

A.D. za osiguranje ''Auto Nena'', in liquidation, Beograd.

The liquidation proceedings over this insurance company were instituted by the decision of the Commercial Court of Belgrade VI-L-26/05 dated 02.02.2005. Totally 527 claims were reported to the court, of which number 326 were entirely recognized, partially 104 and 75 claims were entirely refuted at the examination hearing held on 10.01.2006.

Total financial assets of this insurance company before the payment of the established claims amounted to RSD 91.6 million. After the decision on main compounding became valid and irrevocable, the payment of claims of all creditors (437) occurred, whose claims were established final and irrevocable. Based on this a total of RSD 65.6 million were paid by the company. Of 42 lawsuits filed after the first examination hearing, 21 were ended with a valid and irrevocable decision of the court. There are 21 ongoing lawsuits, with the total litigated amount (principal debt and interest) of RSD 17.7 million.

Deposit Insurance Agency, as liquidation administrator, filed for close of the liquidation proceedings over this debtor seeking continuation of the liquidation toward a part of the liquidation debtor’s estate corresponding to the amount of provisions for litigated amounts, interest and costs of lawsuit and liquidation proceedings amounting to RSD 19 million, with a proviso to the shareholders that any surplus undistributed estate of the liquidation debtor’s estate in excess of the specified amount would be compensated through real estate, movable property, money, equity shares in other legal entities and account receivables, commensurately with their equity holdings in the liquidation debtor.

Liquidation proceedings over this joint-stock company were closed by the decision VI-L-26/05 of the Commercial Court of Belgrade dated 12.02.2007. Since in the meantime all lawsuits were ended with final and irrevocable decisions, the liquidation proceedings over the insurance company “Auto-Nena” were concluded.

A.D. za osiguranje ''Kosmet'', in bankruptcy, Beograd

Bankruptcy proceedings over the joint-stock insurance company „Kosmet“, Belgrade, were instituted by the decision I St 52/2007 of the Commercial Court of Belgrade dated 01.06.2007. Prior to the institution of the bankruptcy proceedings, the liquidation proceedings were instituted over this company by the decision of the Commercial Court of Belgrade XI L 905/04 dated 28.12.2004.

After the examination of reported claims had been carried out, the procedure of compounding was conducted. The financial assets amounting to RSD 3.003.303,16 were paid out to the creditors whose claims were found grounded by final and irrevocable court decisions, which is 19,545951% of the established claims. Financial assets for non-completed lawsuits upon appeals for establishing are provisioned in the same percentage.

Bankruptcy proceedings over the stipulated insurance company were closed by the decision of the Commercial Court VI St 52/2007 dated 23.12.2008. It was concluded by the same decision that the remaining assets of the bankruptcy estate, totally amounting to RSD 9.562.794,05, provisioned for the settlement of creditors whose claims were refuted and who filed lawsuits for establishing of claims, as well as for the costs of these lawsuits amounting to RSD 1.300.000,00, are to be transferred to the account of the Association of Serbian Insurers-Guarantee Fund.

A.D. za osiguranje ''Osiguranje plus'',in liquidation, Beograd.

Liquidation proceedings over the joint-stock insurance company “Osiguranje plus” were instituted by the decision of the Commercial Court VIII-L-9/06 dated 02.09.2005. A total of 145 claims were reported, of which 94 were recognized entirely, 22 were partially recognized, 28 were refuted and 1 was established by court settlement. The debtor’s total established liabilities amounted to RSD 15.7 million.

As 85 reported and established claims were withdrawn before and after the submission of the draft document on compounding, the liquidation debtor paid out the remaining established debts in accordance with the Recision on main compounding, in the amount of RSD 3.7 million with accrued interest. By 04.04.2007, the company paid out 26 registered claims in accordance with the Ruling on main compounding, while 5 futher claims were withdrawn. As the total value of the company’s assets is RSD 18.6 million and taking into account the fact that all creditors were paid out, provisioning for ongoing lawsuits was set in the amount of RSD 5.8 million and EUR 32.4 thousand.

Liquidation proceedings over this company were closed by the decision of the Commercial Court of Belgrade VIII-L-9/06 dated 05.06.2007. Receivables arisen from court proceedings were transferred to the shareholders, accounts with the banks were closed аnd the court deposit for provisioned assets for completion of court proceedings was opened in the amount of RSD 5.764.000. Movable and immovable properties were transferred to the shareholders, as well as receivables arisen from court proceedings in which the legal predecessor of the company “Osiguranje plus” is a party. The liquidation administrator was ordered to file a proposal for its removal within 20 days, which was carried out. Accordingly, the Agency was removed from the function of liquidation administrator, and further proceedings are conducted by the shareholders.

Other financial organizations

1. Zemljoradnička štedno kreditna zadruga ''Agro kasa'' a.d, Beograd, u likvidaciji

(Farmers’ Savings and Credit Cooperative ''Agro kasa'' a.d, Beograd, in liquidation)

Liquidation proceedings over this legal entity were instituted by the decision of the Commercial Court of Belgrade dated 08.01.2007.

It was established during the liquidation proceedings over this cooperative that there were no creditors who registered their receivables and there were no outstanding receivables, as well as that the liquidation debtor has neither property, nor cash on the account, so that the liquidation administrator proposed to the Commercial Court of Belgrade to close the liquidation proceedings.

On 19.06.2007 relevant liquidation panel of the Commercial Court of Belgrade made the decision on close of the liquidation proceedings over the cooperative “Agro kasa” Beograd, in liquidation.

Proceedings which are continued over a portion of the bankruptcy/liquidation estate

Banks

1. Slavija banka a.d. Beograd, in bankruptcy

Bankruptcy proceedings over this bank were instituted by the decision of the Commercial Court of Belgrade St-2/2001 dated 10.10.2001.

1.856 claims have been reported to the Commercial Court of Belgrade since the institution of the bankruptcy proceedings over Slavija banka a.d. Beograd, amounting to EUR 87.5 million. All registered claims of creditors were examined at three hearings held, of which the total recognized claims amount to EUR 89 million. The claims of the creditors of the I payout grade amount to EUR 54 million. 21 % of claims, i.e. EUR 20.3 million were disbursed to the Republic of Serbia by 31.12.2008, as a creditor of the first payout grade.

Upon the Agency’s proposal, Commercial Court of Belgrade made the decision XV-ST-8271/01 on 07.12.2009, by which the bankruptcy proceedings in this bank were closed. By this decision were continued proceedings over the bankruptcy estate of the bank, amounting to more than RSD 80 million, provisioned for the liabilities of the bankruptcy debtor which may arise from ongoing lawsuits, as well as for the costs of proceedings.

The rest of the bankruptcy estate was disbursed by the same decision, by transferring of the entire assets (fixed assets – office buildings, claims from legal entities in restructuring and claims in commenced lawsuits) to the creditors of the first payout grade, Republic of Serbia, and RSD 104 thousand were transferred to 17 physical persons, resulting in commensurate settlement of these creditors in the amount of 94,45%.

But, creditors of the second payout grade (former employees) filed a complaint against this decision.

2. MB banka a.d. Niš, in liquidation

Liquidation proceedings over MB banka a.d. Niš were instituted by the decision of Commercial Court of I L-1/2006 of 03.04.2006. DIA carried out all statutory activities: all registered claims were examined and main compounding was performed. Since all liabilities were settled to the creditors which claims were established, DIA had to transfer the surplus of the liquidation estate to former shareholders. The non-existence of the book of shareholders of this bank was concluded during this process.

The entire property, rights, claims and liabilities of the Kapital banka a.d. Beograd u likvidaciji (in liquidation) were transferred to MB Banka a.d. Niš, as an assuming bank, by the decision of the Commercial Court of Belgrade VII L375/04 dated 17.02.2005. Shortly afterwards the National Bank of Serbia introduced measures over MB Banka a.d. Niš, so that the debt conversion towards the shareholders of Kapital banka into the shares of MB Banka a.d. Niš was not carried out.

Legal basis for this decision was the Contract on transfer of property, rights and liabilities of the Kapital banka a.d. u likvidaciji to the MB Banka a.d. Niš, which was approved by the shareholders of MB Banka, as well as by majority shareholders of Kapital banka. It should be noted that Deposit Insurance Agency, in the capacity of liquidation administrator at the time of rendering of this decision, did not approve of the stated Contract.

Based on this and for the purpose of resolution of the problem with former shareholders of Kapital banka a.d. Beograd, auditing company KPMG was hired by the decision of the Commercial Court of Niš IL 1/07 of 09.12.2008, for the purpose of evaluation of the rest of liquidation estate of MB Banka a.d. Niš u likvidaciji, with evaluation of holdings of all shareholders in that rest, as well as for the purpose of audit of the Annual Account as at 31.12.2008. Republic of Serbia is one of the shareholders of MB Banka a.d. Niš.

KPMG submitted the Evaluation Report to the liquidation administrator of MB Banka a.d. Niš u likvidaciji on 21.02.2009. The stated Report was the basis for drafting of the Financial Statement for 2008 and for drawing up of tax balance. Majority shareholders and Solicitor General Office, as a representative of the Republic of Serbia, gave consent on KPMG’s Evaluation Report. Accordingly, the transfer of shareholders’ capital from off-balance records into the share capital of MB Banka a.d. Niš in liquidation was carried out in the MB bank’s ledger books.

Liquidation proceedings over this bank were closed by the decision of the Commercial Court of Niš I L-1/07 of 17.06.2009. In view of ongoing lawsuits, the liquidation proceedings were continued by the same decision over a portion of the liquidation estate, so that over RSD 400 million were provisioned for that purpose. Transfer of the surplus of liquidation estate was also performed, i.e: cash, fixed assets, claims and shareholdings in other legal entities were transferred to the shareholders in the total amount of ca RSD 2 billion. RSD 94.7 million were transferred to the Republic of Serbia as one of the shareholders.

Insurance companies

1. A.D. za osiguranje ''Plava tačka'', in liquidation, Beograd.

Liquidation proceedings over this insurance company were instituted by the decision of the Commercial Court of Belgrade V-L-15/2006 dated 09.12.2004.

Commercial Court of Belgrade established the main compounding of the liquidation estate by its decision V-L-15/2006 dated 20.11.2007. After this decision became final and irrevocable, all creditors whose claims were established were paid out (299), on which basis RSD 42.173.728,30 were paid.

Liquidation proceedings over this insurance company were closed by the decision of the Commercial Court of Belgrade V-L-15/2006 of 22.01.2008, and proceedings were continued over a portion of the liquidation estate amounting to RSD 82.039.912,66 for litigated amounts, interest and lawsuit costs, for 62 ongoing lawsuits, with return of surplus undistributed estate of the liquidation debtor’s estate in excess of the specified amount to the shareholders.

51 lawsuits were resolved as at 31.12.2009, and 11 lawsuits amounting to RSD 27.420.897,80 were ongoing. A need for provisioning for lawsuits was reduced by resolving these lawsuits, so that the Commercial Court made 4 rulings on return of surplus of the liquidation estate.

2. A.D. za osiguranje ''Libertas'' , in liquidation, Beograd.

Liquidation proceedings were instituted by the decision of Commercial Court VI-L-903/04 of 30.12.2004. A total of 127 claims were received and examined at the hearing held on 23.03.2006. Of that number, 20 registered claims, worth EUR 76.6 thousand and RSD 380 thousand, with accrued interest, were fully recognized.

Available funds on the insurance company’s accounts amounted to EUR 108 thousand and RSD 1.2 million. Funds in the amount of RSD 2.8 million were provisioned for refuted claims. The life insurance portfolio was transferred to the Joint-stock insurance company “Wiener stadtische”. As the funds on the company’s accounts exceeded the amount of recognized claims, estimated costs of proceedings and costs of lawsuits, a draft document for main compounding and closing of liquidation proceedings was prepared.

Liquidation proceedings over this company were concluded by the decision VI-L-903/04 of 16.08.2007 passed by the Commercial Court of Belgrade. The proceedings were closed, but a provision of EUR 1.500,00 for one lawsuit was left, since one of the creditors refused to continue life insurance with the Insurance company “Wiener stadtische”.

3. A.D. za osiguranje ''Top Gan'', u likvidaciji (in liquidation), Čačak.

Liquidation proceedings over this company were instituted by the decision of Commercial Court of Belgrade L-14/05 dated 23.02.2005. During the proceedings, a total of 674 claims were received. Total receivables were worth RSD 341.2 million, of which RSD 100 million were established and recognized, RSD 241.2 million were refuted and 9 claims for RSD 2.1 million were rejected. There are 72 ongoing lawsuits for refuted claims.

As of the date of institution of liquidation proceedings, the balance of the bank accounts of this insurance company included a deposit in the amount of RSD 17.5 million, equipment and fixed assets worth RSD 6.9 million, equity holdings in other legal entities in the amount of RSD 72.8 million and receivables from debtors in the amount of RSD 325.4 million, of which RSD 65.4 million were recovered during the proceedings. On the basis of offsetting with the debtors of the liquidation debtor, funds in the amount of RSD 89.4 million were received. Costs incurred during liquidation proceedings amounted to RSD 18.2 million.

After the examination of received claims, provision of funds for debt payment and provisioning for refuted claims in cases where action to establish liability was filed, the Commercial Court of Čačak passed on 27.06.2007 the Decision on main compounding.

Liquidation proceedings over this joint-stock company were closed by the decision of the Commercial Court of Čačak L-14/05 dated 16.07.2007. Funds in the amount of RSD 45.3 million for payments of claims under lawsuits and amount of RSD 14.7 million for settlement of other established claims were provisioned, and undistributed surplus of the liquidation estate was returned to the shareholders commensurately with their stakes in the liquidation debtor’s equity.