20 JANUARY 2012: ITALIAN CRUISE SHIP ACCIDENT: LEGAL ASSISTANCE FOR PASSENGERS

Several people died and others were missing after the Costa Concordia cruise ship with more than 4,000 people on board ran aground and keeled over off an Italian island, sparking chaos as passengers scrambled to get off. Our office in close collaboration with a top specialist consortium from Italy England, France Spain and the USA is offering legal support and assistance to victims and their families of this terrible accident. Damage claims can be lodged in front of the competent Courts following careful examination. You may address our specialists through our contact web page and you will receive a direct reply from our accident injuries helpline.

18 JANUARY 2012: GREECE: REVOKED LICENSE OF T-BANK (Former ASPIS BANK)

The Greek authority supervising banks and financial institutions with its decision 25/1/17.12.2011 has revoked the operating license of T-BANK (former Aspis bank). The bank was placed under special liquidation procedure.

The special liquidator has issued an invitation to the creditors of this bank to announce and file in writing their claims in accordance with art. 3 of the regulation for special liquidation of the credit institutions. (Decision of the BoG, mtg. 21/Govt. Gazette 2498, vol.B/4.11.2011) The deadline for this announcement is being set for the 10th of February 2012.

4 January 2012: Amended double taxation agreement between Greece and Switzerland

The Swiss Federal Department of Finance (FDF) has announced that the Protocol of Amendment of November 4, 2010 (see our article below from Nov,4,2010) to the double taxation agreement (DTA) between Switzerland and Greece entered into force on January,1,2012.

According to the FDF, the protocol contains an OECD administrative assistance clause and will contribute to the further positive development of bilateral economic relations.

The new agreement is of a major interest to the greek side for taxation and administrative assistancematters and it notes that : “Aside from an OECD administrative assistance clause, Switzerland and Greece have agreed, amongst other things, to exempt dividend payments to pension funds and public bodies from withholding tax in the future. … The rate of tax the source state is entitled to levy on interest payments has been lowered from 10% at present to 7%. An arbitration clause has also been adopted in the revised DTA with Greece. This will contribute to the definitive avoidance of double taxation.”

The provisions of the Protocol of Amendment is in force as from January 1, 2012, as the Protocol of Amendment has been approved by the Greek parliament on Dec,27,2011. The Swiss parliament has already approved this agreement last year. You may find a link to the complete text of the agreement on our article below.

11 NOV 2011: U.S. News and Best Lawyers Honor our US partner Law office Lieff Cabraser as the U.S.A. National "Law Firm of the Year

U.S. News Media Group and Best Lawyers have selected Lieff Cabraser as their national "Law Firm of the Year" for 2011-2012 in the category of Mass Torts Litigation/Class Actions – Plaintiffs.

U.S. News and Best Lawyers rank firms nationally in 75 different practice areas. The rankings are the result of extensive client feedback and incorporate 3.9 million evaluations from nearly 42,000 lawyers. For the first time, one law firm in each of the practice areas ranked nationally received the prestigious "Law Firm of the Year" recognition.

"Our lawyers are dedicated to achieving justice for our clients and guided by a strong, principled sense of social responsibility," stated Lieff Cabraser Managing Partner Steven E. Fineman. "We are proud to be recognized by U.S. News and Best Lawyers as the “Law Firm of the Year” in the category of mass torts and class actions for plaintiffs.”

As part of the publication's annual "Best Law Firms" rankings Lieff Cabraser also received rankings for several practice areas in New York City, San Francisco, and Nashville, each of the metropolitan areas in which Lieff Cabraser has offices. The metropolitan rankings Lieff Cabraser received were:

Tier 1 rankings:

• New York: Mass Torts Litigation/Class Actions – Plaintiffs;
• San Francisco: Employment Law - Individuals; Mass Torts Litigation/Class Actions – Plaintiffs

Tier 2 rankings

• Nashville: Personal Injury Litigation - Plaintiffs;
• San Francisco: Litigation - Antitrust; Litigation - Securities; Personal Injury Litigation - Plaintiffs

Tier 3 rankings

• San Francisco: Litigation - Labor & Employment

Earlier this year, Best Lawyers named 12 Lieff Cabraser lawyers to its annual The Best Lawyers in America list. Notably, Elizabeth J. Cabraser was honored as the Lawyer of the Year for San Francisco in the practice area of Mass Torts Litigation/Class Actions – Plaintiffs. Kathryn E. Barnett was also recognized as the Lawyer of the Year for Nashville in the practice area of Product Liability Litigation – Plaintiffs.

3 OCT 2011: Introduction of capital gains tax as of 1st January 2012

After postponing the introduction of a Greek capital gains tax several times, this tax will now apply satrting from 1 January 2012. Investors liable for income tax in Greece will be subject to the capital gain tax.

With regard to old positions, the sales tax of 0.2% continues to apply on all securities purchased prior to 1 January 2012. Securities purchased adfter 31 December 2011 will not be taxable for foreign investors any longer. Greek investors, on the other hand, will have to pay capital gains tax on securities acquisitions taking place after 31 December 2011.

Please also note that due to the fact that the Greek market is a beneficial owner market, clients holding Greek securities need to have a segregated account. Clients buying securities on the Greek market are only able to do so, if the respective waiver has been signed and the client holds a segregated account. All Greek resident investors still holding their securities via omnibus account are urged to set up a segregated account or otherwise sell their positions by the end of the year.

3 October 2011: Switzerland and Germany sign tax agreement

On Sep,21,2011 in Berlin, a tax agreement was signed by Germany's Finance Minister, Wolfgang Schäuble, and Switzerland's Finance Minister, Eveline Widmer-Schlumpf. The agreement will resolve the outstanding issues that have existed for decades between Germany and Switzerland concerning the taxation of German investors' investment income in Switzerland. The negotiations led to a fair outcome that ensures a balanced reconciliation of interests between the two countries, particularly from a tax equity viewpoint.

The agreement represents a good result for the two countries, as it satisfies the interests and requirements of both countries equally well. The tax agreement signed by Switzerland and Germany respects the protection of bank clients' privacy applicable in Switzerland and also ensures the implementation of the German authorities' legitimate tax claims. In addition, mutual market access for financial services will be improved. For the future, a final withholding tax will ensure equal tax treatment of investment income irrespective of whether the income in question was generated in Switzerland or Germany. This will be accompanied by an exchange of information that goes beyond the OECD minimum standard. It will be used for process checks and introduce a significant additional mechanism for detecting potential new "black money" in Switzerland. A lump-sum solution has been found for the past: German investors with investment income in Switzerland will be given a way out of tax flight that is linked to a fair tax burden and that on the whole, leads to an equitable burden that is materially comparable with that of investors who were already tax-compliant. Those who could previously bide their time and wait for tax and penalty claims to expire – often under the statute of limitations – without paying anything, must now fulfill their tax obligations. Both sides acknowledge that the agreed system will have a long-term impact that is equivalent to the automatic exchange of information in the area of capital income. The agreement requires the approval of parliament in both countries, and should enter into force at the start of 2013. Upon signing by both finance ministers, the complete text of the agreement will also be published.

FAQ on TAX treaty with Germany Oct.2011

11 August 2011: Switzerland and Germany initial tax agreement

Bern, 10.08.2011 - Today in Bern, German and Swiss negotiators concluded the negotiations on outstanding tax issues and initialled a tax agreement. Under this agreement, persons resident in Germany can retrospectively tax their existing banking relationships in Switzerland either by making a one-off tax payment or by disclosing their accounts. Future investment income and capital gains of German bank clients in Switzerland will be subject to a final withholding tax, and the proceeds of this will be transferred to the German authorities by Switzerland. In addition, mutual market access for financial services will be improved. The agreement should be signed by both governments in the next few weeks and could enter into force at the start of 2013.

The text of the agreement initialled by the negotiators Michael Ambühl (State Secretary, Swiss Federal Department of Finance) and Hans Bernhard Beus (State Secretary, German Federal Ministry of Finance) not only respects the protection of bank clients' privacy, but also ensures the implementation of legitimate tax claims. Both sides acknowledge that the agreed system will have a long-term impact that is equivalent to the automatic exchange of information in the area of capital income.

As usual, the complete text of the agreement will be published after it has been signed by both governments in a few weeks' time. The agreement includes the following points in particular:

• Final withholding tax for the future: Future investment income and capital gains should be directly covered by a final withholding tax. The single tax rate has been set at 26.375%. This is in line with the current flat-rate withholding tax in Germany. The final withholding tax is a tax at source. After it has been paid, the tax obligation towards the country of domicile will generally have been fulfilled.

• In order to prevent new, undeclared funds from being deposited in Switzerland, it has been agreed that the German authorities can submit requests for information in the context of a safety mechanism that must state the name of the client, but not necessarily the name of the bank. The number of requests that can be submitted is limited and there must be plausible grounds. The number will be within the range of 750 to 999 requests for a two-year period; an adjustment will then be made based on the results. So-called fishing expeditions are not permissible.

• Back taxation: To retrospectively tax existing banking relationships in Switzerland, persons resident in Germany should be given one chance to make an anonymous lump-sum tax payment. The size of this tax burden will vary from between 19% to 34% of the assets in question, and will be determined based on the duration of the client relationship as well as the initial and final amount of the capital. Instead of such a payment, those affected should also have the possibility of disclosing their banking relationship in Switzerland to the German authorities.

• Further elements: Switzerland and Germany have decided to facilitate mutual market access for financial institutions. In particular, the implementation of the exemption procedure for Swiss banks in Germany will be simplified, and the obligation to initiate client relationships via a local institution will be eliminated. Likewise, the problem of purchasing data relevant for tax collection purposes has been resolved. The package also includes a solution for the problem of possible prosecution of bank employees.

In order to ensure a minimum income from the retrospective taxation of existing banking relationships as well as to state their resolve to implement the agreement, the Swiss banks have undertaken to pay a guarantee in the amount of CHF 2 billion. The funds advanced by the banks will then be offset by the incoming tax payments and refunded to the banks.

Next steps

The negotiations on the tax agreement commenced in January 2011 based on a joint declaration signed in autumn 2010. The next step after initialling is the signing of the agreement by both countries' governments in the weeks ahead. Then the legislative organs of both countries must endorse the agreement. In Switzerland, the agreement will probably be subject to an optional referendum. The agreement should enter into force at the start of 2013.

9 MAY 2011: FURTHER INSURANCE COMPANIES LICENSES REVOKED IN GREECE

On the 2nd of May 2011 the supervising regulating authority (Commission on Credit and Insurance issues of the Bank of Greece) has revoked the license of the “Eurostar Insurance Company” mainly active on vehicle insurances as this company could not satisfy the capital requirements set forth by the law. This comes only a month after the revocation of another insurance company (Europaiki Pronia ) whose license has been suspended for the same reasons on March 31,2011. Pending claims and “unused portions of insurance primes” should now be reported to the appointed liquidator or to a special State Fund that should be covering such issues. More details and action suggestions on our Greek web pages.

1 MARCH 2011: “VDV LEBEN INSURANCE” LICENSE IN GREECE SUSPENED. LEGAL ACTION

The Hellenic supervising authorities have decided to permanently revoke the operating license of the insurance company “VDV LEBEN” on Jan,5, 2011 (already suspended since last September). The company can no longer honor its commitments on the insurance contracts/financing tools it has concluded in house mortgages, health insurance and pension schemes. This has emerged as a major issue for hundreds of contract holders throughout Greece. Our Law offices disposing of a valuable experience from the successful settlement over the Lehman structured products case and following an in-depth research have opened the case on behalf of several contract holders in order to file legal claims versus all parties involved on that case. Update and more details on our Greek home web page.

24 November 2010: Our Law firm wins case versus EFG-Eurobank on Lehman products

On its 8792/Nov,17,2010 ruling, the Athens Court of First instance ordered a conservative seizure (injunction) on all assets of the bank up to the requested amount for one of our clients who purchased Lehman structured products through that bank.

It is the very first time that a Court grants such an injunction versus a major Bank which until now was denying any liability in connection of the purchase of such structured titles. This is a major Court victory following an amicable record settlement reached with Citibank some months ago.

4 November 2010: Switzerland and Greece sign revised double taxation agreement

Bern, 04.11.2010 - Today in Bern, Federal Councillor Eveline Widmer-Schlumpf and the Greek Ambassador in Switzerland, John Mourikis, signed a revised double taxation agreement (DTA) in the area of taxes on income and capital. The DTA also contains provisions on the exchange of information which were negotiated in line with the parameters decided by the Federal Council and are in accordance with the OECD standard. The revised DTA will contribute to the further positive development of bilateral economic relations.In addition to the adoption of a provision on the exchange of information in accordance with the OECD standard, the protocol specifies, amongst other things, that dividend payments to occupational benefits schemes and public bodies will be exempt from withholding tax. The rate of tax the source state is entitled to levy on interest payments has today been lowered from 10% to 7%. An arbitration clause has also been adopted in the revised DTA with Greece. This will contribute to the definitive avoidance of double taxation. After negotiations finished, a report on the agreement with Greece was submitted to the cantons and business associations concerned for their comments. They largely approved the signing of the agreement. Source: Swiss Federal Department of Finance. http://www.efd.admin.ch.

The agreement is expected to be effective as of Jan 1,2011. Click here to download the full text of the protocol.

Lehman Brothers Settlement

Compromise has been reached for an out of court settlement between our clients and Citibank, Greece concerning the Lehman products.

For more news on this settlement, click to see text in Greek.

Disposal of Lehman structured products: On behalf of dozens of clients we have undertaken legal action in Greece representing claims of several million Euros against Banking Establishments for the disposal of such products considered by our clients as irregular and illegal. More details under our "news" section in both Greek and English and in our Greek homepage as well.