Romania’s Financial Supervisory Authority (ASF) has asked the bankruptcy of local insurer Forte Asigurari, which has insured the Romanian troops operating abroad. The financial regulator revoked the insurer’s operating license, according to an ASF announcement.

This is the second case in which ASF asks for a local insurer’s bankruptcy, after Astra Asigurari, which went bankrupt last year. A Romanian court will have to rule on ASF’s request for Forte Asigurari’s bankruptcy.

Forte Asigurari is insolvent, according to ASF. The insurance firm was among those that failed the stress tests carried out last year by the ASF at 21 smaller insurers on the local market.

The current indirect owner of the insurer, British investment bank Bandenia PLC, has committed to increase the capital of Forte Asigurari by EUR 12 million in two stages and asked the ASF’s approval to become a direct shareholder of the firm. However, the regulator rejected the request as the investor hasn’t submitted any document to guarantee that it would fulfill its obligations, according to market sources quoted by Profit.ro.

ASF has also notified the anticorruption and the anti-organized crime prosecutors about the situation at Forte Asigurari, according to Profit.ro.

editor@romania-insider.com