Interim fund payments to continue this week

ANKARA

Interim payments to investors in funds undergoing liquidation will continue this week, the Communications Directorate said on Nov. 3, with priority given to money market funds and smaller holdings.

Payments under ordinary and extraordinary liquidation procedures had reached 97.3 billion Turkish Liras by Oct. 30, covering 247,839 investors across 100 funds.

The figures were released after the ninth meeting of the Fund Coordination Board, chaired by Vice President Cevdet Yılmaz.

The total included 29.3 billion liras paid to investors in funds established by Atlas, Pusula and Tera under extraordinary liquidation procedures. Those interim payments began on Oct. 30.

Earlier payments under ordinary liquidation totaled 68 billion liras across 93 funds established by A1 Capital, Bulls, Pardus and Hedef.

The directorate said 178,537 investors had recovered their principal in full through about 76 billion liras in cash and asset transfers.

Speaking at a Milli İrade Platformu event in Istanbul on Nov. 3, Yılmaz said he expected substantial progress in the repayment process by mid-November.

He said payments were calculated using investors’ net investment amounts, taking previous withdrawals into account. Investors who had withdrawn more than they originally contributed were considered to have recovered their principal, he explained.

Under Capital Markets Board (SPK) rules, interim payments are calculated separately for each fund and cannot exceed either 1 million liras or the investor’s net investment.

Yılmaz said the wider liquidation process covered 131 funds established by seven companies.

Funds from four companies were undergoing ordinary liquidation, while those from the remaining three were subject to extraordinary procedures.

The directorate said payments would proceed from investors with the smallest holdings to those with the largest to reach as many recipients as possible.

Investors found by authorities to have made unfair and excessive gains were excluded from interim payments.