1. What is the standard procedure of claim settlement used by your company?
The standard procedure of claim settlement begins with careful takeover of the relevant documentation, followed by legal and economic analysis and definition of the legal steps to be taken on the basis of previous findings. Subsequent claim enforcement and settlement is carried out individually depending on the particular conditions for each claim is a self-contained business case whose final solution develops in relation to the attitudes and conduct of all stakeholders and development of the legal and the economic environment.
2. What is the ownership structure of the ECG group?
At present the ECG group is owned 100% by Pavel Šimek.
3. What business transactions do you currently prepare?
At present we find ourselves in the middle of cooperation and in an advanced stage of negotiations concerning purchases of individual unpaid loans and also associated groups of them. We hold these negotiations with banks as well as with other financial institutions, such as savings banks and credit unions.
4. Do you lend money?
We do not deal in standard money lending, as this is the privilege of banks. If we lend money to a business then it is always in the context of a narrower cooperation, mostly based on property relations. In such cases we are able to control our investment more effectively thanks to our business share in the debtor and our representatives in the management board of the borrowing company. The only exception to this rule is our current debtors. Sometimes, especially due to the lack of welcoming approach on the part of the banks, this may be the only way to settle old debts. We perform restructuring of the liability position of the debtor to allow the debtor to receive a standard bank loan in future.
5. How many legal disputes are you in right now?
We are in or represent our clients in 859 business disputes based on petitions filed with Czech as well as foreign courts.
6. What volume of assets do ECGI group members manage?
As to 30 June 2009 we managed assets in the accounting value of CZK 6 billion.
7. What volume of business transactions is your company able to execute?
If a business case is interesting and represents a favourable potential to risk ratio we should be able to execute the transaction without problem. It must be admitted, though, that at present especially the banks are more careful than they were in the past. On the other hand, we have only rarely used banks as the financing partner.
Thanks to our use of in-house resources we have been increasingly independent and the stability of the group cannot be disturbed by a poor estimate of the amount or price of foreign resources.
That is why we are able to execute business transactions worth CZK hundred millions. In the case of the need for a larger investment we will have to cooperate with one of our clients or business partners.
8. Do you feel threatened by the current condition of the financial markets?
By no means. On the contrary, we can see an opportunity in the current crisis. Logically enough, our receivables or their collateral can lose their value as a consequence of the crisis. This is a fact that is beyond our control. On the other hand, the crisis generates an increasing number of subjects having problem refunding their debts. We are ready to help these subjects by restructuring their debts or purchasing their liabilities from their creditors and together with the debtors to try to find a solution of their current situation.