As we shared earlier, a third party had stepped in to cover the payments to investors on Mintos.
Due to an ongoing process of Monego case, we do not possess full information about the incoming payments from the borrowers, therefore further payments to investors on Mintos will subsequently be made by the third party once borrowers’ repayments are delayed for 60 days.
The first transfer has been made to Mintos in the amount of EUR 293 985, and it is being directed to Mintos investors accounts.
According to the information shared by the representatives of Monego shareholder, they have spent the last two weeks in Kosovo, trying to achieve that the Central Bank of Kosovo and local authorities would review the existing decision on Monego licence suspension before taking the case to court for an appeal. The work will continue after New Years’ holidays in Kosovo.
Meanwhile, last Friday Mintos representatives met the liquidator for Monego in Kosovo, to discuss the current state of matters and next actions to be taken by Mintos to facilitate that the funds could be transferred from Monego to Mintos within the liquidation process. We will be sharing more information to investors with active investments in Monego loans soon.
Last Friday, December 6, 2019, the Central Bank of Kosovo (CBK) informed Monego about the decision to revoke Monego’s microfinance license, effective immediately. The management team of Monego is working with all involved stakeholders to ensure the collection of customer payments. Monego shareholders are communicating and working with CBK to ensure the renewal of business operations.
Along with the license being revoked, Monego does not issue new loans. CBK has appointed a liquidator of Monego. The liquidator estimates that the elaboration and approval of a plan for covering creditor’s claims will require at least a month. The approval of the plan is subject to CBK decision.
Accordingly, last Friday Mintos informed investors that Monego issued loans are no longer present on the Primary and Secondary Markets.
At this time, the appointed liquidator, as representative of Monego, has the responsibility on behalf of Monego to transfer the received borrowers’ repayments for Monego issued loan investments to Mintos, for Mintos to credit investors accounts accordingly. In the unlikely case when Monego would not make the contractual payments to investors and, as a result – all loans would become late, Finitera as a guarantor will cover scheduled borrower payments to investors having investments in Monego loans once these payments are delayed for 60 days.
Finitera, an international fintech group operating in four markets with 122 branches employing 718 employees and with a share capital of 8 million EUR, was in the final stage of changing Monego shareholding structure and adding it under Finitera direct ownership. Although the work on reorganization was not finalized and as such Monego is not part of Finitera, Finitera has decided to grant a guarantee for certain obligations that Monego holds towards investors on Mintos.
Mintos is taking legal measures to claim from Monego monies due to investors on Mintos and has engaged a local law firm in Kosovo for that purpose.
We thank our investors for their patience while we work with all involved parties for the most suitable solution for this situation. Meanwhile, please contact our Investor Service team in case of additional questions.