UNITED BULGARIAN BANK SEIZES HOLDING PUTISHTA ACCOUNTS

Bulgaria's United Bulgarian Bank (UBB) has levied a distraint on the accounts of Holding Roads, the road construction company, controlled by businessman Vasil Bozhkov, said on September 15 2011.

Holding Roads leads the consortium Trakia IV that builds the longest stretch of the Trakia Motorway, linking the towns of Yambol and Karnobat. Several months ago, another company said to be controlled by Bozhkov, Moststroy, was declared bankrupt.

"The accounts, receipts and bank safes of Holding Putishta at First Investment Bank and UniCredit Bulbank have been seized in favour of United Bulgarian Bank to the amount of 7 566 545.55 leva," the statement said.

The distraint has been imposed on the liabilities of Infrakom 2007 over a loan agreement with UBB, in which Holding Roads serves as joint debtor.

However, the company said that an agreement was signed on February 24 2011 arranging the extension of the loan and new terms of repayment.

"Following the agreement, all outstanding amounts have been repaid," the statement said.