National Bureau of Enforcement continues enforcement proceedings in the case of Bidzina Ivanishvili

As part of the enforcement proceedings, the National Bureau of Enforcement conducted inquiry in order to identify the property owned by Bidzina Ivanishvili.  The Bureau officially applied to the National Bank of Georgia to determine the beneficiary owners of J.S.C. "Cartu Bank" and J.S.C. "Progress Bank" and learned that 100% of shares of J.S.C. "Cartu Bank" is owned by JSC "Cartu Group". A 100% of shares of the latter company is owned by Bidzina Ivanishvili, together with 21.7% of shares of J.S.C. "Progress Bank". Thus, Bidzina Ivanishvili is a beneficiary owner of 100% of shares of JSC "Cartu Bank" and 21.7% of shares of JSC "Progress Bank".

According to the information provided by the National Bank of Georgia, the Law of Georgia on "Activities of Commercial Banks", states, that in order to acquire the share of a commercial bank, a person is obliged to inform the National Bank of Georgia in a manner prescribed by law. Violation of this rule causes the contract on transfer of shares to be annulled.

As far as no declaration has been submitted to the National Bank of Georgia by the J.S.C. "Cartu Bank" regarding the change of the beneficiary owner, Bidzina Ivanishvili still remains beneficiary owner of 100% of shares of JSC "Cartu Bank".

In order to secure the enforcement proceedings of the writ issued by the Tbilisi Appeals Court, the National Bureau of Enforcement conducted seizure of 100% of shares of J.S.C. "Cartu Group", 100% of shares of JSC "Cartu Bank"and 21.7% of shares of JSC "Progress Bank".

Seizure of the shares does not prevent the normal functioning of the above mentioned banks. Moreover, in case of voluntary payment of the imposed amount by the debtor, seizure will be automatically cancelled.

In order to ensure the transparency of the enforcement proceedings, the National Bureau of Enforcement will systematically provide society with updates regarding the enforcement process.