Fund liquidation bill regulates investor assets
According to the fund liquidation proposal prepared by AK Party deputies, the assets of hundreds of thousands of investors will be liquidated and converted into cash.
The legislative proposal for fund liquidation prepared by AK Party deputies envisages the liquidation of the assets of hundreds of thousands of investors and the fair distribution of the obtained cash to the rightful beneficiaries.
Fund Liquidation and Fair Distribution Principles
With the legislative proposal expected to be submitted to the Presidency of the Grand National Assembly of Turkey (TBMM), it is aimed to liquidate the assets of 455,578 investors.
With the regulation to be made, it is aimed to determine the assets of each fund and prevent economic value loss.
Inflation Update and Interim Payment
An update based on the arithmetic average of the Consumer Price Index (CPI) and Domestic Producer Price Index (D-PPI) will be made to compare past cash movements with today's value.
In order to prevent investors from suffering grievances, it will be possible to make an interim payment of up to 1 million liras per person.
Proportional Distribution and Board Powers
In case the existing cash is insufficient, proportional distribution will be applied among the beneficiaries and an objective method will be established.
The Capital Markets Board will be able to decide to make payments starting from the lowest net investment amount or to determine a minimum interim payment amount.
Refund Mechanism and Liabilities
A voluntary refund mechanism will be established for those who exited the fund with untrue values and obtained high gains.
The personal liability of fund founders and real or legal persons whose responsibility is determined will be pursued to compensate the damages.