International Insurance Consortium (IIC), the only investor that showed interest in taking over Romanian troubled insurer Carpatica Asig, abandoned the process.

The investment vehicle’s representatives said they weren’t granted access to relevant data about the insurer’s financial situation.

Carpatica Asig, founded by Romanian investor Ilie Carabulea, was placed under a resolution mechanism by the Financial Supervisory Authority (ASF), in January this year, because of its financial problems. ASF appointed the Policyholders Guarantee Fund (FGA) as special manager of Carpatica Asig.

“Since the special status of Carpatica being placed under special management by the FGA, IIC Group found itself in a situation in which it was denied any further access to crucial and relevant information. In this unusual communicative blockade it moreover appeared to be impossible to set up a useful cooperation with those in charge of management and operations,” IIC representatives said in a statement.

“At the same time the situation of Carpatica was further deteriorating and the figures as presented in the initial phase could not be taken as a basis for recovery anymore. As a consequence, the implementation of the recovery plan appeared to be far away,” they added.

ASF president Misu Negritoiu said that IIC couldn’t have access to detailed information about Carpatica Asig’s financial situation until ASF ruled that the group was a viable investor for the company.

editor@romania-insider.com