The Ft 12 billion far exceeds the total amount paid by BEVA to date of Ft 4.4 billion.

The fund may call on its members to make extra contributions to beef up its liquid assets, or more likely will take out commercial loans, backed with a state guarantee, Világgazdaság writes.

Quaestor bondholders, however, are likely to lose all their money, as their investment is not covered by BEVA, managing director Peter Farkas pointed out.

Quaestor Financial Hrurira, which issued bonds worth Ft 210 billion, has only Ft 10 million of registered capital. Bondholders can only seek some form of compensation from assets of the subsidiary when it is liquidated, but not from the Quaestor group, which had total assets of Ft 100 billion as of 2013, according to Világgazdaság.

Source: Hungary Around the Clock

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