Companies

CySEC oversight on 50 companies , ‘unacceptable’

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CySEC oversight on 50 companies , ‘unacceptable’

Bar Association chairman Michalis Vorkas criticized the plan to only oversee 50 of the biggest service-industry firms for compliance, arguing that company size should not be the sole criterion for scrutiny. This discussion took place at the House legal committee, following the announcement of a new oversight authority by Finance Minister Makis Keravnos. The Cyprus Securities and Exchange Commission is being considered to oversee these 50 companies. Vorkas also mentioned that the government had not invited relevant parties for dialogue, although a presentation is scheduled for March 22. Concerns were raised about the potential for this oversight to violate lawyer-client confidentiality, with Vorkas emphasizing the importance of privacy and established legal principles. The committee plans to invite representatives from various associations and finance ministry officials for further discussions.

Platform set up to evaluate business, ’ ESG compliance

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Platform set up to evaluate business, ’ ESG compliance

The Cyprus Credit Bureau, in collaboration with the Cyprus Banks Association and ICAP CRIF, is introducing a tool for assessing compliance with ESG (Environmental, Social, Governance) criteria through the Interbank Business Evaluation Project using Synesgy, a global digital platform. This initiative aims to enhance transparency and sustainability in Cyprus by enabling companies of all sizes and sectors to assess their ESG compliance and obtain a certificate valid for one year. Companies will receive a personalized Action Plan with recommendations for improving their ESG performance based on the assessment results. The methodology for evaluating a company’s ESG data adheres to current international and European regulations and standards, and the Synesgy questionnaire is certified by the CRIF Rating Agency. The platform facilitates easy access for businesses to complete the questionnaire, which is crucial for accurate ESG assessment and is shared with the company’s banking partners. Yiannis Tomasides, General Manager of Artemis Credit Bureau, highlighted the project’s significance in evaluating and enhancing the ESG performance of Cypriot companies and banks, contributing to the development of an ESG ecosystem in Cyprus.

Government offers money for upgrade of processing units

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Government offers money for upgrade of processing units

The Council of Ministers approved a €25 million budget for the creation, modernisation, and digital upgrade of processing units for marketing agricultural products. This initiative is part of the EU’s Recovery and Resilience Plan, spanning from 2021 to 2026, aimed at supporting existing and new SMEs. Commerce Minister Giorgos Papanastasiou noted a €3 million saving from the first tender, which will be reinvested in the second tender. The application process for this sponsorship is entirely digital, facilitated through the Ministry of Energy, Commerce, and Industry’s electronic system. The program is open to companies, cooperatives, and beekeepers.

Orthodoxou Aviation appointed Air India sales agent in Cyprus

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Orthodoxou Aviation appointed Air India sales agent in Cyprus

Orthodoxou Aviation Ltd has been appointed as the General Sales Agent (GSA) for Air India in Cyprus, responsible for the airline’s marketing and sales activities in the Cypriot market. Air India, a leading global carrier and a member of Star Alliance, connects 39 cities across five continents and 45 cities within India. The airline is undergoing a five-year transformation plan, including receiving 470 new aircraft from Airbus and Boeing and refurbishing its wide-body fleet’s interiors. Air India operates non-stop flights to Delhi from nine locations in seven European countries. Orthodoxou Aviation Ltd, part of the Orthodoxou Group of Companies, specializes in services for airlines, travel agents, tour operators, and the public, based in Cyprus since 1995.

Thousands of companies face hefty fines

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Thousands of companies face hefty fines

Out of approximately 230,000 registered companies in Cyprus, only 140,000 have updated their records regarding their ultimate beneficial owners (UBOs) as required. Companies that do not comply with this requirement by the extended deadline of March 31, 2023, could face fines starting at €200 on January 1, 2024, and accumulating at a rate of €100 per day of non-compliance, potentially reaching up to €20,000. Many companies have found it difficult to update their UBO information due to various reasons, including the inability to contact UBOs who are in Ukraine or Russia. Additionally, around 70,000 of the 90,000 entities that have not updated their UBO records have filed for deletion from the registry, but tax authorities and banks have not consented to many of these deletions. There has been criticism of the Registrar of Companies for not implementing electronic signatures, which has contributed to inefficiencies. Concerns have been raised about the potential impact of the fines on family businesses, especially given the short time frame until the deadline.

Elon Musk takes another swing at OpenAI, makes xAI, ’s Grok chatbot open-source

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Elon Musk takes another swing at OpenAI, makes xAI, ’s Grok chatbot open-source

Elon Musk announced that his AI startup xAI will open-source its ChatGPT competitor, Grok, this week. This announcement comes shortly after Musk sued OpenAI, accusing it of deviating from its original non-profit mission. Musk, who co-founded OpenAI in 2015 and left in 2018, has previously criticized the profit-driven use of technology by major tech companies. The lawsuit against OpenAI highlighted Musk’s earlier support for a for-profit model and suggested a merger with Tesla. Open-sourcing Grok aligns xAI with other companies like Meta and Mistral, which have released their AI models to the public. This move is part of a broader debate on the implications of open-sourcing AI technology, including potential risks like the misuse by terrorists.

Call for labour compensation fund

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Call for labour compensation fund

The House labour committee discussed the need for establishing a labour compensation fund. A request was sent to the labour minister to explore the creation of a workers’ compensation insurance fund and to contribute to creating a legislative framework for it. A bill passed in 1989 provided for the creation of such a fund, which would compensate workers in case of work accidents, similar to the fund for motor vehicle insurers that compensates uninsured drivers. The need arises because employees without employer’s liability insurance or those whose insurers went bankrupt are not compensated in case of work accidents, leading to significant social problems.

Three Cyprus-registered companies sanctioned by US for al-Shabaab links

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Three Cyprus-registered companies sanctioned by US for al-Shabaab links

The U.S. Department of the Treasury imposed sanctions on an international fundraising and money-laundering network for the al Shabaab militant group, targeting 16 entities and individuals across the Horn of Africa region, the United Arab Emirates, and Cyprus. The sanctions list includes three Cyprus-based companies: HALEEL FINANCE LTD, HALEEL HOLDINGS LTD, and HALEEL LTD, with registrations in Nicosia and Limassol. These companies were registered within eight months in 2017. This action follows previous U.S. sanctions against a network linked to al Shabaab in October 2022, aiming to freeze any U.S. assets of those targeted and prevent dealings with them by Americans. Al Shabaab, considered a terrorist group by Washington, generates over 0 million a year and has been fighting the Somali government since 2006 to establish rule based on Islamic Sharia law. The State Department highlighted that al Shabaab’s revenues support al-Qa’ida-linked groups globally, funding terrorism and undermining governance.

Akel demands cheaper electricity

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Akel demands cheaper electricity

The opposition party Akel in Cyprus, led by Stefanos Stefanou, has urged the government to reduce electricity costs for households and businesses and has demanded an investigation into the liquefied natural gas (LNG) terminal project at Vasiliko. Stefanou emphasized the need for Cyprus to transition to natural gas for electricity generation to avoid the high costs associated with burning heavy fuel oil, highlighting that Cyprus paid about €350 million in greenhouse gas emissions allowances last year. Akel has proposed several measures to alleviate high electricity prices, including reducing VAT on electricity from 19% to 9%, taxing windfall profits of banks and energy companies, promoting competitive tenders for renewables, and extending electricity subsidies.

REALTYon: No. 1 Cyprus property event returns bigger and better

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REALTYon: No. 1 Cyprus property event returns bigger and better

REALTYon, the only event in Cyprus dedicated to the entire property industry, is set for its second edition on July 3-4, 2024, at the City of Dreams Mediterranean Integrated Resort. The event, which promises to be larger than its previous edition, has already sold out 80 percent of its expo floor. It aims to bring together over 1,000 attendees and more than 20 exhibitors compared to the last year, making it the largest gathering for property experts in Cyprus. Organized by Ultimate Fintech, the expo will feature over 70 property developers and real estate agents, showcasing more than 200 projects. The event covers a wide range of topics within the property industry, including investment, residential, commercial, luxury homes, new developments, resorts, and environmental construction. Notable participants include Imperio Properties, CDA Group, Vassos Markides, Limassol Greens, Crona Group, Pafilia, DOM.com, and Marfields. The 2024 edition will offer over 10 hours of content on more than 15 real-estate industry topics, addressing themes like moving to Cyprus, investing in real estate, proptech, ESG and sustainability, and tokenization in real estate.