Protecting Clients in Financial Institution Bankruptcies

Šulija & Partners is actively representing multiple clients in the ongoing bankruptcy proceedings of BUAB Payrnet, the Lithuanian electronic money institution whose licence was revoked by the Bank of Lithuania in June 2023 for serious violations of financial regulation and safeguarding requirements.

Following the revocation, the Vilnius Regional Court initiated bankruptcy proceedings against BUAB Payrnet in November 2023. Early indications suggest that recoveries may reach 30–50% of approved claims, depending on the final pool of assets collected by the administrator.

Our firm has already secured the recognition of several client claims, ensuring their inclusion in the bankruptcy estate and protecting their right to participate in distributions. We continue to advise affected creditors on the preparation of evidence, the submission of claim documentation, and ongoing negotiations with the insolvency administrator.

Lithuania remains a vibrant fintech hub within the European Union, attracting international payment and e-money institutions. However, the Payrnet case serves as a reminder that clients should remain vigilant and act swiftly if their funds are withheld, so as not to find themselves drawn into lengthy bankruptcy proceedings.

If you are experiencing difficulties with financial institutions or concerns about fund safeguarding, please reach out to Šulija & Partners for guidance and representation at info@sulijapartners.com

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