Court in Estonia declares Kodumaa Kapital bankrupt — ERR News

Harju County Court in Estonia declared the savings and loan association Kodumaa Kapital bankrupt in mid-September. ERR News reports.

Payments to depositors suspended

At the beginning of the year, Kodumaa Kapital stopped paying funds to depositors. As Ärileht reported, the association explained this by amendments to the law on savings and loan associations.

In February, depositors received a letter proposing that they exchange their claims for units in the Kodumaa Fund. The fund was presented as a mechanism for protecting depositors’ interests, intended to ensure the growth of the association members’ funds and avoid the cessation of operations.

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Suspicions over asset transfer

The letter stated that the loan portfolio of the Kodumaa group, which includes Kodumaa Kapital and Kodumaa Laenud, would become an asset of the fund. Depositors went to court, suspecting an asset transfer: through a subsidiary, the association transferred its main asset — a loan portfolio worth €2 million — to the new fund.

Kodumaa Kapital’s management board currently includes Kiur Lootus and Pille Lõigas. Reform Party politician Tõnis Kõiv left the board in the summer of 2025. He had headed the association since 2021; according to ERR News, he likely continues to work as an adviser.

Creditors must submit to the bankruptcy trustee all claims that arose before the declaration of bankruptcy no later than November 15. Recognized claims filed late will be satisfied last.