Estimates: Vesttoo on its way to dissolution amid the forged LOC’s scandal; CEO Yaniv Bertale put on leave.
Amid the forged guarantees scandal, speculations are growing that Vesttoo a company specializing in reinsurance mediation, is heading towards dissolution. Vesttoo has been involved in facilitating insurance transactions converting secondary insurance into financial instruments for the capital market, thus expanding the global capacity of the secondary insurance market.
About two weeks ago, it was revealed that guarantees presented by one of the investors involved in a transaction brokered by Vesttoo were seemingly forged. The company promptly initiated an immediate investigation to assess the extent of the issue, but in the meantime, senior executives at the company began to depart. Now, it has been revealed that the company’s board has taken a significant step and placed CEO Yaniv Bertale on a paid leave.
As informed, the company has ceased functioning as a business and, according to estimations, is on the path to dissolution. This is due to considerations by funds that invested in the company, attempting to distance themselves from the scandal and minimize damages.
Furthermore, the investigation conducted by an international financial investigations firm, one of the largest in the world, did not find any flaws in the current management of the company.
Yaniv Bertale stated, “Regrettably, interested parties have chosen to exploit the temporary crisis that the company has faced in order to promote an illegitimate takeover of its institutions, even at the expense of harming the company and its investors. This move was accompanied by malicious leaks and an intentional campaign that caused severe and tangible damage to the company. Beautiful things are made of soft and delicate material, and this external investigation that was conducted did not raise any suspicion whatsoever against any members of the company’s management, not in the slightest.”
Bertale added that he intends to consider his actions in light of this severe and baseless conduct and will not hesitate to take legal steps with the company’s best interest in mind.
Musto spokesperson: “As a result of the external investigation ordered by the board and conducted by international professionals, it has been decided that as of August 1st, CEO Yaniv Bartela will be on paid leave, and will be invited for a legal hearing. Ami Barlev, a company director, along with a team of specialized consultants, will assist the company as needed and lead the transition until the appointment of a new CEO in the near future.”