EU – Baltic States, Investments, Latvia, Legislation, Markets and Companies

''This August 28, the management of Plus punkts was illegally replaced, and the new management began to deliberately bring the company to bankruptcy. Basically, the owner of Ibofa Establishment AG Nikolajs Kocujevskis sold a cat in a bag to the foreign investors, and is now attempting to slander them,'' Leonovs said.

The company owned by the Danish investors, Plus punkts Holding Ltd., is preparing legal action against Ibofa Establishment, which illegally took over the company's shares. Leonova also added that the company will also submit a petition to the State Police.

As reported, a Danish investor is swindling out money and steering Plus punkts to bankruptcy, therefore the company is already preparing documents to file for insolvency, "Nozare.lv" was informed by Plus punkts board member Tatjana Takcidi.

In December 2012, Plus punkts owner Ibofa Establishment signed a contract on selling 100% of Plus punkts shares to a Danish investor, represented by Lars Lundgaard-Simonsen. To ensure the transaction, Lundgaard-Simonsen attracted funds from SEB banka. The transaction amounted to EUR 6.5 million (LVL 4.6 million).

Nevertheless, the investor did not fulfill his contractual obligations. Therefore Ibofa Establishment halted the transaction and restored control over Plus punkts shares. However, when Ibofa Establishment regained control of Plus punkts shares, the company revealed that Plus punkts Holding Ltd, represented by Lundgaard-Simonsen, was unable to pay for the transaction during an extended period of time, explained Takcidi.