Investigation into 51.7 billion lira fund at Türkiye Sigorta: Shares halved

A fund investigation that led to the detention of former Türkiye Sigorta CEO Taha Çakmak and former Deputy General Manager Gürol Sami Özer has raised questions about the fate of billions of lira in the company's investment portfolio.

CHP Deputy from Karabük Cevdet Akay questioned the whereabouts of a total of 51.7 billion lira in investments—35 billion 23 million lira managed in Türkiye Sigorta's investment funds and 16.7 billion lira appearing in Ziraat Portföy Yönetimi AŞ. Akay also called on Türkiye Varlık Fonu to publicly disclose whether it holds funds in the accounts in question.

Akay alleged that the fund diversion was "organized in a planned and systematic manner by senior executives, bureaucrats, and certain politicians behind them," and demanded asset seizure from those who obtained unlawful gains, the transfer of foreign funds to Turkey, and compensation for victims' losses.

Calling attention to the company's financial liabilities, Akay noted that 15 billion 656 million lira appeared under other financial debts, including a loan of 11.7 billion lira from ICBC Standard Bank PLC at 37.75 percent interest and 3.8 billion lira from Goldman Sachs International at 36.5 percent interest.

Türkiye Sigorta, meanwhile, argues that as of 30 September, no balance remained in 131 funds for which liquidation was decided on 17 September.

The weight of the situation was felt on the stock exchange: Company shares fell 9.97 percent in the session, hitting the floor. Türkiye Sigorta shares, which closed with losses exceeding 9 percent on Monday and Tuesday, have halved from 6 lira to 3 lira since 16 September.