Banks demand liquidation of Shaul Elovitch's Eurocom

Shaul Elovitch

Discount Bank, Bank Hapoalim, and First International Bank have petitioned for the appointment of a special manager for selling the assets on which they hold liens.

Now it is official: the banks are taking Eurocom Communications, controlled by Shaul Elovitch, to court. Israel Discount Bank (TASE: DSCT), Bank Hapoalim (TASE: POLI), and First International Bank of Israel (TASE: FTIN) today petitioned the court for liquidation of Eurocom Communications, which indirectly owns the controlling interest in Bezeq Israeli Telecommunication Co. Ltd. (TASE: BEZQ), Spacecom Satellite Communications Ltd. (TASE:SCC), and other companies.

"Eurocom Communications is bankrupt. The attempts to reach a settlement have been unsuccessful, and unless  circumstances change, there is therefore no way of avoiding a liquidation order," the petition stated. At the same time, the banks are asking for the appointment of Advocates Pinhas Rubin, Amnon Lorch, and Ori Gaon to positions in Eurocom Communications in order to manage the sale of the company's assets on which the banks hold liens.

The documents submitted to the court reveal that Eurocom Communications owes NIS 961 million. Discount Bank is the leading creditor with a NIS 480 debt, followed by Bank Hapoalim with NIS 350 million and First International with NIS 141 million. This does not include a NIS 1.2 billion debt to the company's subsidiaries.

Published by Globes [online], Israel Business News - www.globes-online.com - on December 20, 2017

© Copyright of Globes Publisher Itonut (1983) Ltd. 2017

Shaul Elovitch
Shaul Elovitch
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