Report: Buda-Cash scandal causes Quaestor bankruptcy
Hungary's Quaestor Financial Hrurira, a member of the Quaestor Group, was forced to file for bankruptcy protection yesterday after clients raced to sell their securities in the panic caused by last week’s Buda-Cash scandal, Hungarian news agency MTI reported this morning.
According to the news agency, Quaestor Financial Hrurira said the decision was technical in nature, and termed it as temporary until the company finds a solution in the best interest of securities holders.
Quaestor reportedly said that the panic caused by the Buda-Cash scandal made normal operation of the market impossible, therefore the company made a plea for the Hungarian state to intervene.
Quaestor Financial Hrurira had total assets of HUF 47.2 bln at the end of 2013, while liabilities on bonds issued by the company came to HUF 44.5 bln, MTI said. The company launched a HUF 70 bln bond program last year, the agency added.
The Quaestor group, including Quaestor Financial Hrurira parent Quaestor Pénzügyi Tanácsadó, has more than 200,000 clients and employs more than 600 people, MTI said.
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