* The capital market watchdog has blocked the transactions with other shares managed by AVAS, which the court appointed executor was planning to sell sale
According to market sources, the Bucharest Stock Exchange has cancelled the trades by which the court appointed liquidators of "Dobra, Coşoreanu & Dobra" tried to sell 7.24 million shares of "Biofarm" Bucharest (BIO) and 6,000 shares of "Mercur" Craiova (MRDO), whicuh were managed by the AVAS. The court appointed liquidators tried to sell the shares through the special selling method, after receiving the right to foreclose on the institution.
The settlement of the trades had been suspended by the CNVM since August.
"What the BSE did is a first on the capital market, when considering that the decision to cancel the trades is not backed by a court ruling", said Iulian Coşoreanu, who obtained the right to foreclose on the Authority for the Recovery of State Assets (AVAS) and who, thanks to his own expertise as a stock market investor, handled the sale of the shares himself.
The decision of the Bucharest Stock Exchange came as the capital market watchdog issued an Ordinance, about two weeks ago, requiring the BSE to intervene and to take "the appropriate measures", claiming that the sale of the blocks of shares which the AVAS owned in BIO and MRDO violated the Code of the Exchange.
Article 228, paragraph 1 of the BSE code, stipulates that the sale of stocks by special orders is used in the case of blocks of shares equal to or greater than 5% of the company"s total number of shares, or having an equivalent value of at least 500,000 Euros. Paragraph 3 of the same article stipulates that those provisions do not apply to "public institutions involved in the privatization process for securities which are the object of methods of sale, others than public offers, stipulated in special laws con
