Eureko up in arms over sacking of PZU management

During an extraordinary shareholders meeting of PZU that culminated in the walkout of its minority owners, the State Treasury, which holds a 55% stake in the company, dismissed the firm's pro-Eureko management, including president Jerzy Zdrzalka, in a bid to take back control of Poland's largest insurer. In light of this latest development in the on-going feud between the state and Eureko and BIG BG Bank, which jointly own 30% of the insurer, Eureko, a Dutch-based insurance group, now says it will take legal action against the Treasury. After its representatives and those of BIG BG and other minority shareholders walked out of the meeting, the Treasury appointed a new supervisory board comprised entirely of state-backed members. Treasury representatives justified the unprecedented move by saying Eureko and BIG BG were concerned with their own interests, not with developing the company. In response to the Treasury's action, Eureko executive Ernst Jansen said his firm was planning to file a motion with a court for compensation of past and future losses. In addition, Eureko has taken its grievances to the Dutch government and says it is considering filing a complaint with an international arbitration body. Furthermore, he said, if its case is not furthered through these actions, Eureko would turn to the European Commission. (Puls Biznesu, pp. 1, 6-7, Reuters)