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IFC and DEG no more postpone seizure and sale of Lenac shipyard's property

KOSTRENA, May 9 (Hina) - The International Finance Corporation (IFC)has sent a letter to the Trade Union of Metal Industry Workers (SMH)branch in the Viktor Lenac shipyard informing unionists that the IFCcan do nothing but "sell the property which is mortgaged with the IFC,although this could result in the liquidation of the shipyard," whichis in receivership.
KOSTRENA, May 9 (Hina) - The International Finance Corporation (IFC) has sent a letter to the Trade Union of Metal Industry Workers (SMH) branch in the Viktor Lenac shipyard informing unionists that the IFC can do nothing but "sell the property which is mortgaged with the IFC, although this could result in the liquidation of the shipyard," which is in receivership.

According to a copy of the letter which the union commissioner in the Viktor Lenac company handed to media on Monday, the IFC, a member of the World Bank Group, issued an order for the confiscation of property mortgaged with it and the German Development Bank DEG. The IFC and DEG, which will continue with the speedy sale of the mortgaged property, say in the letter that they regret being forced to take such measures.

The IFC and DEG can confiscate the ailing shipyard's Dock Seven and cranes as well as smaller vessels. These two financial institutions claim about 120 million kuna.

The seizure of the mortgaged property was initiated at the Rijeka Commercial Court a year ago, but the seizure was postponed several times. The latest deadline expired about 10 days ago.

The unionists say they will accept only the shipyard of Uljanik as the potential buyer, so that this Pula-based shipyard could become the co-owner of the Viktor Lenac, as part of plans that the latter be a state-owned company once again.

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