KTB Director Accuses BNB Governor Of Lying

Ilian Zafirov, one of the suspended directors of the troubled Corporate Commercial Bank (KTB), accused Central Bank governor Ivan Iskrov of lying.

In an interview for the Nova TV Sunday breakfast show Zafirov, who, along with three other KTB directors, is charged with mismanagement, said Iskrov mispresented the proposal of the Oman State Fund, EPIC and Gemcorp to save the bank.

According to Zafirov, the sum of BGN 4.2 B was also imaginary. “The sum is not true,” Zafirov said.

According to him, it was not missing money, but “hypothetical losses sometime in the future”.

Zafirov explained the discrepancies with the methodology the auditors used. “The adopted methodology for evaluating the KTB credit portfolio has very diluted framework and allows for subjective evaluations of credits and securities,” Zafirov said. “This audit report does not accept 80% of the credit guarantees.”