OREANDA-NEWS. November 23, 2010. Kazkommertsbank herewith informs, that by decision of Almaty inter-district special economic court in order to satisfy the Bank's claims against Sulpak group (including subsidiaries), some operational restrictions have been imposed upon several electronics selling stores, including ban on letting commercial spaces to third parties, reported the press-centre of KASE.

Beginning from today, the bailiffs in the presence of Kazkommmertsbank representatives have started handing in of notifications of a ban on disposal and use of assets serving as collateral in Kazkommertsbank.

Sulpak group's failed liabilities towards Kazkommertsbank exceed USD190 m, as of November 1.

That debt has emerged within the loan facility primarily supposed for setting up a network of Sulpak electronics stores, including construction, purchase and reconstruction of new real estate, as well as investments in chartered and  current capital of LLP "Trading Company Sulpak" (a joint venture with the Russian ELDORADO). Accordingly, those shops and the company's other property were put as loan collateral at Kazkommertsbank.

In 2008, Kazkommertsbank considering the weakening demand and low sales and the  need for reduced taxation burden on the company, agreed on the company's debts restructuring and provided grace periods. After the restructuring, however, the borrower again failed to service the debts, at the same time receiving revenues
from space letting.

With no offers from shareholders and the company management as on possible debts settlements, and with savers' interest in mind, Kazkommertsbank saw no way other than to go to court. This court decision stipulates limitation on the borrower's transactions, including those with third parties, i.e. lessees with regard to property kept by the Bank as collateral. The Bank wants small and  medium enterprises currently in lease agreements with the company and its subsidiaries to pay special attention to this fact.

M. Auezov, Managing Director of Kazkommertsbank: "The borrower has been provided with all opportunities to repay his liabilities, including restructuring options approved by the Bank. Unfortunately, the company's shareholders and management  have been avoiding their obligations towards and contact with the Bank for the  past one and a half years".

In case the borrower fails to provide to the Bank a plan of repayment in the nearest future, Kazkommertsbank will continue preparing claims, including those on the group's assets, and private property of the shareholders who provided warrants for the debts.