Scandal or Scam of the European Investment Bank? How he lost 15 million in Greece

by on 11 February 2020

On May 10, 2016, the Vice President of the European Investment Bank – EIB, Mr. Jonathan Taylor, was happy and at the same time pleased that he was in Greece signing an agreement with the then management of Creta Farms to finance the Greek company from the package Juncker. About 4 years later, it is very doubtful whether the feelings remain the same…

Mr Jonathan Taylor was there fore happy to announce the day of signing the agreement, giving an innovative company € 15m. After all, the financing of Creta Farm SA. The 15 million Euro signed in May 2016 was the first transaction in Greece to benefit from the support of the EFSI EU budget guarantee.

Today, after the loan disbursement payments completed in 2019 but not repaid, the debt amounts to a total of EUR 15,331,350.28. the European Investment Bank, based on the company’s consolidation plan, suffered a 97% haircut!

The new company undertakes to pay back only 383.283.76!!!

The above commitment to EIB amounted to Euro 383.283.76 will be entered into and repaid by the New Company in a total of forty (40) consecutive quarterly installments, of which the first 39 are equal to Euro 7.282.39 each. the last 40th installment to be paid at maturity amounts to Euro 235,907.32 which corresponds to the bullet payment installment and the last quarterly installment, and in particular as follows:

(I) the first (1st) year, beginning on the Transaction Completion Date, constitutes a grace period for the repayment of the capital;

(ii) during the above grace period only accrued interest will be paid at the end of each Interest Period (“Interest Period” is defined as the quarter beginning on the Transaction Completion Date and each following the end of the immediately preceding period);

(iii) three (3) months after the end of the grace period, the first (1) tranche of capital shall be payable, together with the accrued interest of the corresponding interest-bearing period calculated on the interest outstanding on each capital;

(iv) at maturity, the total amount of Euro 235,907.32, which corresponds to the bullet payment installment and the last quarterly installment, will be paid.