"The committee decided on Thursday to apply to court for liquidation of Snoras. Once the court takes the decision on the bank's liquidation, the realization of assets and other bankruptcy procedures will be able to start in full scale," Aurelija Mažintienė, head of the state-owned Deposit Insurance Fund and the chairwoman of the creditors' committee, told BNS.
Starting next month, part of the bank's staff will be laid off in an effort to save around 1 million litas (EUR 290,000) monthly, Mažintienė says.
"Given that the administration of Snoras' loan portfolio requires considerable administrative resources, contracts with the remaining staff will be extended for six months," she said.
Snoras' creditors filed a total of 6.523 billion litas in undisputed claims. The Deposit Insurance Fund's claims account for around 60.7 percent of the total court-approved claims.
The creditors' committee held its first meeting on 12 June.
The Lithuanian government nationalized Snoras on 16 November 2011. A court opened bankruptcy proceedings against the bank on 7 December.
