Mark Mobius (in picture), the executive president of Templeton Emerging Markets Group, said he expects a long process to recover the recently debated donation from Romgaz to the Romanian state, but Franklin Templeton will take all the measures to recover the money.

Fondul Proprietatea (FP), managed by Franklin Templeton, has asked for a shareholders meeting in gas company Romgaz in order to revoke the gas company’s managers for having approved the EUR 94 million donation to the Romanian state. The fund plans to go to court against the individuals who voted in favor of the donation. Fondul Proprietatea owns 15 percent of Romgaz.

Although Mobius expects it to take a long time to recover the amount, the efforts are meant to restore foreign investors' trust in Romania, he told The Money Channel TV station.

“It's not only about Romgaz. The biggest listed companies are controlled by the Government. If the Government comes and take every contribution, without taking an interest in minority shareholders, this means assets can disappear very quickly. The same as trust...It is a very important issue, and our efforts are meant to demonstrate we can trust the Romanian capital market,” said Mobius.

Romgaz, one of Romania’s most valuable companies, was on the list of firms which had posted a profit in 2009 and was chosen to donate some of their previous profits to the Romanian state, which was trying to increase its budget revenues. Romgaz and Electrica had to donate RON 400 million (around EUR 94 million), while the Romanian Lottery, some RON 74 million (around EUR 17.2 million).

Fondul Proprietatea had publicly opposed the donation and announced it would go to court against the move.

editor@romania-insider.com