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J&T health-insurer lawsuit against state goes to EU court

A law banning the profits of health-insurers introduced in Slovakia in 2008 will soon be dealt with by the Court of Justice of the European Union, the TASR newswire wrote on Monday, February 4.

A law banning the profits of health-insurers introduced in Slovakia in 2008 will soon be dealt with by the Court of Justice of the European Union, the TASR newswire wrote on Monday, February 4.

The Bratislava I District Court has turned to the European Court of Justice with a question in the case of Medical Care Holding Limited (MCH) against the Slovak Parliament. MCH, a company founded by Slovak financial group J&T in Cyprus, owned European Health Insurer (EZP), which announced bankruptcy and withdrew from the Slovak market after the aforementioned bill came into effect. MCH is now suing the state of Slovakia, claiming compensation of around €30 million.

"Half of the amount is represented by a real loss in assets, while the rest is represented by lost earnings," said MCH's lawyer Alexander Kadela as quoted by TASR. According to the lawyer, the law was at odds with Slovakia's Constitution, the Convention for the Protection of Human Rights and laws of the European Union.

Spokesman for the Bratislava court Pavol Adamčiak told TASR that the European court should decide whether the case really involved a violation of EU legislation, and whether this possible violation was significant enough to oblige the state to pay out compensation to the insurer. "The Slovak parliament fully rejects the plaintiff's claim," said Soňa Pötheová from the Parliament Office's communications department. The Slovak Constitutional Court decided in 2011 that the law was at variance with the constitution. It was subsequently amended.

(Source: TASR)
Compiled by Zuzana Vilikovská from press reports
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