Romania: LAW No. 83/1997 for Privatisation of Commercial Banks in Which the State Is Shareholder
This paper articulates about the law passed by the Parliament of Romania pertaining to the privatization of commercial banks in which the State was a shareholder.
The different articles of the law outline the following aspects of privatization process. These include the:
- Conditions under which the banks could be privatized;
- Details about share valuation, allocation and regularization process;
- Information the valuation report should contain with regard to social-capital maximal quota, entitlement level of different legal entities such as individuals, institutions and the State;
- Categories of shares that could be issued, the amount of issue premium and that of the selling price.
The law also mentions that:
- Banks could be privatized based on the recommendations of the privatization commission;
- Ownership right over an amount of shares in excess of 5 percent of the total social capital of the bank could be obtained by taking a prior approval of the National Bank of Romania, but only by a person having a legal identity in Romania.