The Constitutional Court of the Republic of Kosovo has deemed inadmissible the request of the company "Fitorja" sh.p.k., for contesting the constitutionality of the Judgment of [ARJ.no.134/2021] of December 29, 2021 of the Supreme Court of the Republic of Kosovo in connection with the decision [AA.nr.998/2021] of November 16, 2021 of the Court of Appeal of the Republic of Kosovo.
The applicant has also requested the assignment of a temporary measure in order to avoid irreparable damage and "the fact that the imposition of a temporary measure turns out to be and remains in the public interest".
"Given that the applicant has not presented the necessary evidence for the imposition of a temporary measure, and based on the fact that the Court has already determined that the request of the applicant is clearly unfounded, the same finds that the request for a temporary measure should be rejected", the Decision states.
In the meeting held on September 24, 2021, the Executive Board of CBK decided to revoke "Kosova e Re" Insurer's License no. 007 dated April 25, 2002, issued by the Banking and Payments Authority of Kosovo (BPK), legal predecessor. The decision was taken after the insurer "Kosova e Re" had financial difficulties in fulfilling the legal requirements of the CBK, in terms of capital adequacy, solvency and assets covering technical provisions.
In order to improve the financial situation and fulfill the legal and regulatory requirements, the Central Bank of the Republic of Kosovo, namely the Executive Board of the CBK, in accordance with the legislation in force, continuously made efforts to improve the financial situation of the Insurer "Kosova e Re".
However, despite the readiness and efforts of CBK, the Insurer's Board and Management had failed to fulfill the legal requirements and improve the Company's financial condition.
At the same time, the Shareholder of the Insurer "Kosova e Re" has not responded to the CBK's requests for capital increase and compliance with the legal requirements in force. The Shareholder's lack of willingness to meet the capital requirements seriously jeopardized the Insurer's capacity to fulfill its obligations to the insured and other creditors.
The decision of the CBK was upheld by the Court of Appeal and the Supreme Court.