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Azer-Asia shareholders oppose liquidation plan

20 April 2009 13:33 (UTC +04:00)

Baku. Elnur Huseynguluev - APA-Economics. The shareholders of Azer-Asia Insurance has held a general meeting in Baku, said Afgan Mirzayev, lawyer of AzerSighorta State Insurance Company which is the co-charter-member of Azer-Asia.

According to him, the meeting mainly focused on the establishment of a liquidation commission.
â€œBut there was no quorum to set up the commission. The Iranian shareholders didnâ€™t vote for the liquidation of the company,â€ he added.

According to him, the next meeting is scheduled for May 13 to review 2008 financial reports.
Azer-Asia Insurance Company is a co-owned joint venture between Azerbaijani and Iranian shareholders.

The shareholders reached no specific decision at a December 2008 extraordinary meeting in Tehran on the future of the company whether to liquidate or seek extension of a license.

Azerbaijani Ministry of Finance refused to extend Azer-Asiaâ€™s expiring license on February 11, 2008. The main reason for the suspension of the license was that the company failed to operate under the law and terms of license.

However, Iranian shareholders have expressed readiness to remedy the identified violations and to increase the authorized share capital to AZN 10 million.
Azer-Asia Insurance Company is owned by Iranâ€™s Asia Insurance Co. (49%) and Azerbaijanâ€™s AzerSighorta State Insurance Company (51%). As at April 1, the companyâ€™s share capital was AZN 800 000.