Spanish company is first to default on Dominican Stock Market
A company described as of Spanish capital, Corporacion Delta Intur has become the first to taint the Dominican Stock Market (Bolsa Valores de RD) that trades in commercial paper. El Dia reports that on 30 May, the general director of Corporacion Delta Intur, Julio Vega informed stock market superintendent Guarocuya Feliz that it would not be able to make due payments on the coupon for investments of RD$700 million placed in corporate bonds. The default mainly affects Dominican investors. The company should have paid out RD$7,318,766.66, according to the Superintendence of Stocks.
The Stock Market had authorized Corporacion Delta Intur to make a placement of RD$1.3 billion since 2009, of which it placed RD$700 million. As reported in El Dia, the bonds initially had a yield of 11.70%, but were paying 15.19-16.19%, the highest of all placements in the BVRD.
El Dia reports that the president of Delta had been involved in fiscal evasion of 45 million euros in 2007, using a Ponzi scheme through one of his companies, Bosques Naturales nKeops. El Dia says publications on the Internet showed he moved EUR20 million through Grupo Inmobiliaria Delta, which has since been renamed Corporacion Delta Intur. It also indicates that he injected 45 million euros into four companies he managed in the Dominican Republic.
The bonds are guaranteed by property in company developments. Delta Intur is a real estate developer with property in several locations in the National District, Province of Santo Domingo, San Pedro de Macoris (Juan Dolio) and Santiago in the Dominican Republic.
Bolsa* Valores de RD sufre primer colapso con impago bonos Intur - ElDia.com.do
Web Site Corporaci?n Delta Intur - DELTUR, S.A.
Corporaci?n Delta Intur, S.A.
