CySEC fines 8 Laiki officials €1.1m

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By Stelios Orphanides

The Cyprus Securities and Exchange Commission (CySEC) which supervises inter alia listed companies, said that it fined eight Cyprus Popular Bank officials €1.1m for failing to report adequate provisions for loan impairments over 2010 to 2011.

Chief executive officer (CEO) at the time Efthymios Bulouloutas and his deputy Christos Stylianides, who was also member of the risk management committee, were fined €200,000 each, while deputy CEO Panagiotis Kounnis was fined €140,000, CySEC said in a statement on its website. Non-executive board vice chairman Neoklis Lysandrou, who chaired the risk committee member of the audit committee was fined €160,000, executive director Eleftherios Chiliadakis was fined €140,000, Markos Foros, non-executive director, member of the risk management committee and the audit committee, got a €120,000 fine.

Non-executive director Constantinos Mylonas received a €100,000 and the group’s chief financial officer Annita Philippidou was fined €80,000, CySEC said.

Laiki, as the lender which went out of business in 2013 was widely known, failed to adequately inform investors in its December 2010 annual financial statement, the first, second and third quarter reports in 2011 about its provisions, it said.

CySEC imposed no fine on Laiki’s late strongman Andreas Vgenopoulos, and board members Vasilios Theocharakis, Platonas Lanitis, Stelios Stylianou, Hesham Al-Quassim, and Fadel Al Ali, Abdulrazaq Al Jassim, the supervisor said.

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About Author

Stelios Orphanides is a journalist at CyprusBusinessMail.com. To contact Stelios Orphanides: [email protected]

  • Where does the fine go ? To the shareholders ? The depositors ? Or the trough ?

    • Disenchanted

      To the individuals actually. The article should also have added that the Capital Markets Commission criticised the central bank for failing to act in August 2011 to force Laiki to make more provisions against the bad MIG loans. But then again the governor responsible happens to have the same surname as the article’s author. A coincidence?