12 Nov 2020 13:31
CURRENT REPORT
In compliance with Law no. 24/2017 regarding Issuers of Financial Instruments and Market Operations and F.S.A. Regulation no. 5/2018
Report date: November 12, 2020Company name: Societatea Nationala de Gaze Naturale ROMGAZ S.A.
Address: Medias, 4 Constantin I. Motas Square, Sibiu County - Romania, 551130Phone/fax no: 004-0374-401020 / 004-0269-846901
Fiscal Code: RO14056826
LEI Code: 2549009R7KJ38D9RW354
Trade Register registration number: J32/392/2001
Subscribed and paid in share capital: 385,422,400 RON
Regulated market where the issued securities are traded: Bucharest Stock Exchange (BVB), London Stock Exchange (LSE)
Significant event to be reported:
· Additional information regarding the Economic-Financial Inspection Report of the National Agency for Fiscal Administration (NAFA)
Additional to and updating the information notified to the capital market through the Current report published on February 18, 2020, we notify the following:
On August 19, 2020, Romgaz submitted the Request for Compensation No. 26138/August 19, 2020 to the fiscal authority (ANAF Registration No. ANAF MC_REG-1004581-2020/August 24, 2020) by which it required the compensation of the amount of RON 50,000,000 with current fiscal obligations payment due by Romgaz to the state budget, consist in value added tax and windfall tax resulting from deregulation of natural gas prices.
The Request for Compensation was resolved by Decision on the compensation of fiscal obligations ("Decision") issued by ANAF on October 30, 2020, notified and registered at Romgaz on November 11, 2020.
According to the Decision, the fiscal authority did not compensate the fiscal obligations requested by Romgaz to be compensated, but it compensated ex officio amounts considered to be overdue dividends due to the majority shareholder in the amount of RON 24,284,077 set out in the Economic and Financial Inspection Report No. SB 4/January 31, 2020 ("Inspection Report") and the mandatory Provision No. SB 4/31/June 10, 2020, together with the accessories for the amount of RON 938,430 set out by the measures Provision No. SB 10/June 10, 2020. The remaining difference up to the amount of RON 50,000,000 was compensated by the current value added tax.
As previously mentioned in the current Report No. 6855/February 18, 2020 issued by Bucharest Stock Exchange and published on the Company's website, Romgaz took action against the Inspection Report and Disposition No. 4. In this respect, the Company field a prior compliant with the Regional General Department of Public Finance in Brasov and filed a complaint with the Alba Iulia Court of Appeal. Following the preliminary complaint, the Department for prior Complaints and Appeals at the Ministry of Public Finance decided to abolish the measure on the calculation of interest and penalties for late payments and to replace them with default interests; the rest of the measures were maintained.
Following this decision, ANAF issued the Measures Provision No. SB 10/June 10, 2020, under which the accessories for the period June 26, 2019 - January 27, 2020 were reduced from RON 1,580,893 (interest and penalties for delayed payments) to RON 938,430 (default interests).
Romgaz did not agree to pay the dividends and related accessories set by the control documents in the following considerations, which were also presented in the complaints filed with ANAF and the Court of Appeal:
a) No dividend payments may be made by the company without the approval of the shareholders, the distribution of dividends being their exclusive right.
b) taking into account the court action pending, in the event that the company will win, the amounts paid (by compensation) to the majority shareholder in the form of dividends on the basis of the misinterpretation of the controlling bodies of Article 43 of the GEO No. 114/2018, will be considered as amounts paid outside the company's dividend policy.
c) the legislation in force does not confer on ANAF the right to approve dividends, this is the exclusive right of shareholders.
We remind that, through the Current report published on February 18, 2020, S.N.G.N Romgaz S.A. has informed the capital market upon the results of the economic-financial inspection performed by the inspectors of NAFA - the General Regional Direction of Public Finances of Brasov - Fiscal Inspection - Department of Economic-Financial Inspection.
Details regarding this matter: https://www.bvb.ro/infocont/infocont20/SNG_20200218161213_Current-report---NAFA-Inspection-Report.pdf .
Chief Executive Officer, Deputy Chief Executive Officer,
Constantin Adrian VOLINTIRU Daniel Corneliu PENA