CSOB Wins Arbitration Case Against State on IPB Claims
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CSOB AS, a Czech unit of KBC Groep NV, won an arbitration case against the Czech Finance Ministry in relation to the bank’s 2000 acquisition of the bankrupt Investicni a Postovni Banka AS.
CSOB is not obliged to pay the Finance Ministry 33.3 billion-koruna ($1.7 billion) representing a part of guarantees for IPB’s bad loans, the bank said today in an e-mailed statement. The Finance Ministry must also pay 1.6 billion koruna as a guarantee of IPB’s receivables for the company J. Ring as well as the arbitration costs, according to the statement.