Seized property developers sign deal with four firms

Seized property developers sign deal with four firms

ISTANBUL
Seized property developers sign deal with four firms

Turkish property developers Dumankaya and Fi-Yapı, seized by a state fund which runs troubled companies, signed a cooperation deal on June 21 with four companies to complete unfinished projects.

The deal signed with EURABAU, CPB, Drees&Sommer and Flagman Capital includes a 450 million euro ($519 million) foreign loan to spend on the incomplete housing projects, as Reuters reported.

The two major construction groups halted building work on housing complexes after they were taken over by Turkey’s Deposit Insurance Fund (TMSF) over suspected links to the network of U.S.-based Muslim preacher Fethullah Gülen, widely believed to have been behind the July 2016 coup attempt.

His followers were active in the Turkish business world, running companies spanning mining to financial services.

Turkish authorities seized the assets, or took management control, of over 960 companies worth 50.3 billion liras ($11.7 billion) over suspected links to Gülen, the TMSF said previously.

The seized companies employed around 48,000 people.

Victims of urban transformation protest still-unfinished construction in Istanbul’s Fikirtepe
Victims of urban transformation protest still-unfinished construction in Istanbul’s Fikirtepe

Dumankaya, Fi Yapı, deposit insurance fund