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On grounds of Art. 31, para. 1, item 17 of the Law on Bank Bankruptcy (LBB) the Management Board of the Bulgarian Deposit Insurance Fund proposed to the receivers of the Corporate Commercial Bank AD (in bankruptcy) (“KTB AD (in bankruptcy)”) to conclude a contract with AlixPartners Services UK LLP – a forensic company with international experience in investigating bank failures. According to the LBB with the contract AlixPartners Services UK LLP will be appointed to perform activities to trace KTB assets and recommend to the receivers actions to preserve and replenish the bankruptcy estate in respect of assets which KTB has disposed of in breach of the law, good banking practices, and/or when the consideration is excessive in terms of what was received, or receivable, in respect of such consideration, as well as cases with credits granted with insufficient or missing collateral, or to related parties, when those actions and transactions have been detrimental to the Bank’s financial position AlixPartners AlixPartners is a leading global multi-disciplinary advisory firm. The AlixPartners Financial Advisory Services practice has world-leading experience in forensic investigation, asset recovery and litigation support, and has achieved important successes recovering value across multiple and complex jurisdictions. The team has conducted investigations in more than 40 countries, covering all regions of the world, using their market-leading forensic, E-discovery, data mining and analytics technologies. AlixPartners has particularly strong experience in assignments related to banks and other financial institutions involving allegations of fraud. More information can be found at www.alixpartners.com

Today, 25 March 2015, on the grounds of Art. 12, para. 1, item 2 of the Law on Bank Bankruptcy (LBB), the Bulgarian Deposit Insurance Fund (BDIF) filed an application in Sofia City Court requesting the appointment of an interim trustee at Corporate Commercial Bank AD (KTB). Due to the appeal of the decision of the Bulgarian National Bank to revoke the license of KTB the bankruptcy proceedings of the bank was withheld by order of the court until the conclusion of the litigation. The lingering for several months now dispute impedes the opening of the bankruptcy proceedings of KTB and inevitably leads to a reduction in the value of the bank’s assets and therefore to the reduction of the amount of funds to be restored. BDIF Management Board having regard to the circumstances and on the grounds of the amendments to the LBB adopted by the National Assembly, effective as of 24 March 2015, and after the election in accordance with BDIF internal rules applies to the court for interim trustee of KTB to be appointed: Lazar Iliev, and Rossen Angueltchev. The proposed persons are included in the list maintained by the Bulgarian National Bank, meet the requirements of Art. 25 of LBB and have expressed written consent to hold the office of interim trustee of KTB. Mr. Lazar Iliev boasts extensive experience as a lawyer in the banking sector. Prior to his nomination for interim trustee Mr. Iliev was Secretary General of the National Audit Office, where between 2011 and 2014 he was head of Administration. From 2002 to 2010 he was with Central Cooperative Bank, initially as director of the Legal Department and in the last six years as a member of its Management Board and Executive Director. In the period from 1993 to 2002, Mr. Iliev is general counsel and director of the Legal Department in First Investment Bank. Before that, from 1989 to 1993, he worked as a lawyer in the Legal Directorate of the Bulgarian National Bank. From 1988 to 1989 he was assistant judge at the Sofia District Court. Mr. Iliev is a Master of Law from Sofia University “St. Kliment Ohridski” and has passed a qualification course with Austrian Bankers College. He possesses high organizational skills and competencies in the fields of law, economics, finance and management of business processes acquired in the course of his professional development. Mr. Iliev is fluent in English and Russian. Mr. Rossen Angueltchev has versatile experience as a lawyer. Prior to his nomination for interim trustee Mr. Angueltchev was State Expert with Energy Cooperation Directorate in the Ministry of Energy, where he worked since the beginning of 2015. From 2004 to 2015 he worked in the Ministry of Economy, where he held various positions – head of the Liquidation Department (2004-2006), Deputy Chairman of the Board of Directors of “Vazov Machine Works” EAD (2005-2006), Chief Expert in Capital Markets and Restructuring Directorate with the Corporate Governance and Restructuring Directorate (2006-2008) and state inspector in the International Controlled Trade and Security Directorate (2008-2015). From 2002 to 2004 he worked in Balkan Bulgarian Airlines (in bankruptcy), initially as General Counsel and later as Head of Overseas representative offices. He was assistant trustee in BEI MINERALBANK AD (in bankruptcy) in 2000-2001. Between 1997 and 2000 he was General Counsel with Private Agricultural and Investment Bank (in bankruptcy), and from 1992 to 1997 was Legal Adviser at First Private Bank. His career started with the Ministry of Foreign Affairs. Mr. Angueltchev holds a degree in international law from the Moscow Institute of International Relations. He has good leadership skills and experience in the field of bankruptcy and company liquidation. Mr. Angueltchev is fluent in English and Russian.

oday, 25.03.2015, the Sofia City Court (SCC) after examining the deposited the same day request of Bulgarian Deposit Insurance Fund, appointed interim trustee of Corporate Commercial Bank AD. By ruling of the SCC pursuant to Art. 12, para 1, item 2 of the Law on Bank Bankruptcy as interim trustees of Corporate Commercial Bank have been appointed: – Lazar Iliev, and – Rossen Angueltchev. The persons shall assume office within two working days of their notification. The court ruling can not be appealed.

Sorry, this entry is only available in Bulgarian.

Today, 23 April 2015, in relation to the Sofia City Court judgment of 22 April 2015 on opening of bank bankruptcy proceedings against Corporate Commercial Bank AD, the Management Board of the Bulgarian Deposit Insurance Fund (BDIF) on the grounds of Art. 26, para. 1 of the Law on Bank Bankruptcy (LBB) appointed for trustee of Corporate Commercial Bank (in bankruptcy) – KTB: Lazar Iliev, and Rossen Angueltchev. The persons appointed as trustees of KTB are included in the list maintained by the Bulgarian National Bank, meet the requirements of Art. 25 of LBB and have expressed written consent to hold the office of trustee of KTB. BDIF decision for appointment of trustee of KTB shall be brought into execution without delay. Mr. Lazar Iliev and Mr. Rossen Angueltchev were appointed by the Sofia City Court as interim trustees of Corporate Commercial Bank AD on 25 March 2015 upon nomination by the BDIF Management Board.

Today, 2 April 2015, the Governing Council of the Bulgarian National Bank on the grounds of Art. 12, para. 1, item 6 of the Law on Bank Deposit Guarantee approved the Report on the implementation of BDIF administrative expenses budget for 2014. The Report was presented by BDIF Management Board. BDIF administrative expenses budget for 2014 was approved by BNB Governing Council Decision of May 2014 where the total of expenditure amount to BGN 1,671,860. Upon decision by BNB Governing Council of November 2014 an expenditure increase of BGN 100,000 related to a commitment BDIF to cover the fees for interbank transactions in the KTB deposit payout was approved. Reported expenses amount to BGN 1,464,879.60, which represents a saving of BGN 306,980, or about 17 per cent of the approved budget. The saving results from good operational management and cost optimization, whereas providing for normal conditions for the implementation of the statutory functions and tasks of the BDIF.

All BDIF member banks transferred the due annual premium contributions amounting to BGN 258.09 mln. within the statutory deadline. Under the Law on Bank Deposit Guarantee member banks shall pay annually, by 31 March in the current year, premium contributions amounting to 0.5 per cent of the eligible deposits for the preceding year, determined on an average daily basis. Insurable deposits in foreign currency are recalculated in levs at the exchange rate of the Bulgarian National Bank for the respective day. In the event of delayed payment of contribution, banks pay statutory penalty interest to the BDIF. Exempt from paying premium contributions are EU branches, and third countries bank branches on condition that their home country scheme provides equivalent level and scope of coverage. Alpha Bank — Bulgaria Branch, BNP Paribas S.A. — Sofia Branch, Citibank Europe Plc. – Bulgaria Branch, ING Bank N.V. — Sofia Branch and I?BANK AG — Sofia Branch do not participate in the Bulgarian deposit insurance system. Respectively, those branches do not pay premium contributions to the BDIF, since as per EU requirements deposit protection is provided by the home country scheme.

Sorry, this entry is only available in Bulgarian.

Payout of guaranteed deposit amounts of depositors with ‘Corporate Commercial Bank’ AD (KTB) starts on 4 December 2014 and will be carried out via the branch network of the determined by the BDIF Management Board nine banks: Allianz Bank Bulgaria AD, Central Cooperative Bank AD, CIBANK EAD, DSK Bank EAD, Eurobank Bulgaria AD, First Investment Bank AD, Raiffeisenbank (Bulgaria) EAD, UniCredit Bulbank AD, United Bulgarian Bank AD. Servicing banks were selected in compliance with the approved by BDIF Management Board criteria, of which the greatest relative weight bears the coverage of the branch network of the candidate bank with KTB branch network. Distribution of depositors to servicing banks is per the last digit of the uniform civil number (UCN) — for individuals, and the last digit of unified identification code (UIC) or BULSTAT code — for legal entities. The aim is to achieve an even distribution of depositors across the branch network of the servicing banks and ensure smooth payout. Distribution of depositors across servicing banks is as follows: UCN/UIC Bank 0 1 2 3 4 5 6 7 8 9 DSK Bank United Bulgarian Bank Eurobank Bulgaria Raiffeisenbank (Bulgaria) Allianz Bank Bulgaria UniCredit Bulbank UniCredit Bulbank Central Cooperative Bank CIBANK First Investment Bank, where all foreign citizens will be serviced.   Depositors with KTB will be serviced from Monday to Friday within the business hours of the respective bank. As of the initial day of payout, 4 December 2014, depositors with KTB who have guaranteed amounts will have access to their entire reimbursable sum. To execute their right, depositors shall visit an office of the servicing bank where they shall present: for physical persons, Bulgarian nationals – an identity card; and an identity document for foreign citizens; for legal entities – their registration code in the BULSTAT Register and a valid certificate of the registration certifying the persons who manage and represent the legal entity. Depositor shall sign a declaration form, in two copies, available at the bank. Depositors may opt among the following as to the disposition with their reimbursable sum: open an account with the servicing bank and transfer their money therein; order a transfer of the sum to a bank account with another bank; withdraw their sum in cash. Foreign currency deposits are repaid in Bulgarian levs according to the exchange rates of the Bulgarian National Bank at the initial day of payout. Depositors may dispose with their guaranteed amounts within five years as of 4 December 2014. When disposing with their sums depositors shall be aware of the uniform tariff on service charges for KTB depositors, available on BDIF website. Interbank transfer through BISERA (single) is free of charge for KTB depositors, as well as the opening an account with the respective servicing bank. The list of offices and the business hours of the servicing banks are available on BDIF website in Bulgarian. Lists will be also available at the branches of the servicing banks, as well as on KTB website. (Tariff and list of servicing banks are available at the ‘Useful Documents’ section). BDIF repays in full the guaranteed amounts of depositors, Bulgarian and foreign physical persons and legal entities up to BGN 196,000 per depositor, regardless of the number of their accounts with KTB bank. The guarantee limit includes the principal and the interest accrued as of the date of license revocation. More information depositors with KTB may receive at: +359 700 144 03 and on BDIF website: www.dif.bg.

With regard to numerous enquiries addressed to the Bulgarian Deposit Insurance Fund (BDIF) concerning the guarantee on deposit products of Corporate Commercial Bank AD (KTB) and depositors’ entitlement to receive their reimbursable sums, BDIF would like to confirm that the following deposit products with KTB: –       ‘Preferential demand deposit’; –       ‘Demand deposit ’Plus’; –       ‘Term deposit 4×4’; –       ‘Demand deposit ‘Eurolev’; –       ‘Standard term deposit’ and –       ‘Preferential deposit’ with deposit certificate (nominal) are guaranteed by BDIF and do not fall out of scope of deposit guarantee. Though these deposits have been discontinued, they are still protected by BDIF, as well as are protected funds under other publicly announced deposit products of KTB, as their contracts were concluded under standard and publicly announced interest rates and terms. BDIF would like to clarify that exclusion from guarantee under Art. 5, para 1 of the Law on Bank Deposit Guarantee refer to deposits with preferential interest rates, i.e. deposits with individually concluded more advantageous interest rates than those publicly offered and applied by the bank to all its customers. More information depositors with KTB may receive at: +359 700 144 03 or at www.dif.bg.