Joint-stock company TURTO BANKAS

In 1995, Lithuania was struck by the banking crisis and the Seimas of the Republic of Lithuania as well as the Government of the Republic of Lithuania, with the view of mitigating the consequences of this crisis, on 4 June 1996 adopted the Law on Reorganization of “Aurabankas”, on the grounds whereof this commercial bank has been reorganized into non-profit-making asset management company - AB Turto bankas. The Articles of Association of AB Turto bankas were approved in the Seimas of the Republic of Lithuania on 22 August 1996. AB Turto bankas commenced their official activities on 25 November 1996 upon issuance of the license for limited banking activities by the Bank of Lithuania.

The decade of intensive bank activities, full of new challenges, had passed. It has seen the formation and maturation of the staff, who made significant contribution to the implementation of the Law on Emission of Government Securities for Banks Restructuring, adopted by the Seimas of the Republic of Lithuania on 18 June 1996, and other standard acts, which enabled the restoration of the financial potential of the banks that have been controlled by the state as well as preparation thereof for privatization, civilized liquidation of the commercial banks that have failed in competitive fight, with maximum protection of the creditors’ interests.

Focus on the administration of the debts of legal entities as well as natural persons to the state has taken place in AB Turto bankas as of 2000. Starting with takeover of the administration of the loans, extended from the funds, borrowed on behalf of the state, guarantees, given on behalf of the state, as well as debts, emerged in pursuance thereof, from the Ministry of Finance, we have supplemented our activities with the collection of unfulfilled liabilities of the tax payers to the State Tax Inspectorate, tax arrears to the Customs Department, debts to the Guarantee Fund Administration, and other state institutions.

Formation costs of market economy – the number of actually defunct investment stock companies. Liquidation thereof, by properly distributing the remaining property among the shareholders, is another important field of activities of AB Turto bankas.

Collection as well as redemption of the European Union financial support, funds of the European Economic Space and Norwegian Financial Mechanisms as well as general financing, paid from the special programs of the state budget of the Republic of Lithuania and (or) used in contravention of the legal acts, to the state budget of the Republic of Lithuania has also been entrusted to us.

The result of the first decade of operation is over 1 billion Litas of redeemed debts. The liquidation procedure of 10 commercial banks and 46 investment stock companies has already been completed. To ensure the interests of the creditors of the liquidated Lietuvos akcinis inovacinis bankas, over 69 million Litas have been transferred to more than 2,5 thousand clients. If our operation commenced with the takeover of 126 million Litas of assets of accounting value, today we control the property of the value of over 2 billion Litas. We have been working and continue to work with the ones, who would borrow eagerly, but would not pay back their debts in goodwill. Other aspects of our activities: real estate sale, vehicle, technological equipment, jewelry and artwork, music instrument tenders. Sale of three trawler fishing fleet or work with materials of strategic significance – these are some episodes of our activities as well.

A new decade of operation began with the resolution of the staff to accept a new challenge – the organization of renewal of the state-owned real estate, entrusted to AB Turto bankas. Upon endorsement of the first List of renewable state-owned immovable property list by the Government of the Republic of Lithuania on 10 October 2007, the bank, in close cooperation with the state agencies as well as institutions, has undertaken the organization of the renewal works of the state-owned real estate. Upon implementation of the assignments, AB Turto bankas will have to build the following social objects of significance in respect of the Lithuanian people: Obstetrics and Surgical Block of Vilnius University Hospital Santariškių klinikos, Children Development Center Block of Vilnius University Children Hospital Pediatric Center, Consultancy Clinic, and Branch, Klaipėda Boarding School for the Deaf and Hearing Impaired, as well as administration buildings of the State Security Department, Customs Department, Prosecution Service of the Republic of Lithuania, Chief Police Commissariat of Klaipėda, Klaipėda University department as well as dormitory buildings, furthermore, improve the work conditions for other state institutions. The funds for renewal of the aforesaid objects will be collected after selling the buildings, which do not satisfy the needs of these institutions in performance of the functions of the state.