COVID-19 Updates, News

The impact of the pandemic on the legal actions against BBG

Our investors always stay behind the success and good results of iuvo. The hard work of our team has always been and it will always be focused on keeping their interests and providing the best service possible. Even when we and our partners are facing challenges, we stay true to our values and our focus.

On the 11th of February 2020, we stated that iuvo stops working with the originator BBG due to delay in payments by the Georgian company. We took legal actions to protect the affected investors’ interest and their funds.

The spread of COVID-19 and the measures that followed definitely affected and keep affecting the pace of the legal actions against the originator, started by us. The courts and the businesses, working on the process, are not able to function normally, which slowed down the progress of the case.

Despite the force majeure circumstances, our team has not stopped working in order to find the best way out of the situation. Our main priority is to protect the interest of the investors on iuvo and to openly communicate each step that will follow.

We have a filed claim in the Estonian court to date. We would like to remind you that the applicable law in the contract with BBG is the Estonian one. The work on the case is led by the legal department of the Management Financial Group holding, which is our majority owner. Actively engaged with the process are law firms from Estonia and Georgia. Our collaboration with our Georgian partners has the goal to monitor the company and possible legal actions on local level. In Estonia we work with one of leading law firms in the region – TGS Baltic.

We will continue to share the most important details about the situation, what is the course of court proceedings and what actions will be taken on our behalf. Our team is here for you to answer all of your questions in regard to the process and your investments. Contact us by chat, phone, or email – we remain at your disposal.

Background:

On the 11th of February 2020, iuvo stated that it ceases work with the originator BBG due to delay in payments by the Georgian company.

After a serious accident with the person staying behind the business of BBG, the company was hindered to operate with its funds and to function normally. As a result of that, BBG stopped paying its obligations to iuvo’s investors, which is the reason for our decision to stop working with them.

BBG’s share of the total portfolio of iuvo is minimal – less than 0.4%, or 66 700 euro. The investors that are directly affected are less than 1.7%.

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