ZAGREB, June 9 (Hina) - Croatia's Prime Minister Ivica Racan told reporters on Friday the government had decided on bankruptcy with reorganisation for the NAMA department store chain intending to show the prospects of finding similar
solutions for such situations. Racan said an operations team had been formed to that end, comprising representatives of the Croatian Privatisation Fund, the Economy Ministry, and Privredna Banka Zagreb. The team is currently looking for a bankruptcy trustee, in cooperation with major creditors and the president of the Commercial Court. "We want to ensure urgent proceedings to make NAMA's workers as much protected as possible," said the prime minister. He announced the government would put their ownership share in NAMA and all claims in the function of keeping as many workers as possible, and added an energetic investigation was in course into harmful business and crime
ZAGREB, June 9 (Hina) - Croatia's Prime Minister Ivica Racan told
reporters on Friday the government had decided on bankruptcy with
reorganisation for the NAMA department store chain intending to
show the prospects of finding similar solutions for such
situations.
Racan said an operations team had been formed to that end,
comprising representatives of the Croatian Privatisation Fund, the
Economy Ministry, and Privredna Banka Zagreb. The team is currently
looking for a bankruptcy trustee, in cooperation with major
creditors and the president of the Commercial Court.
"We want to ensure urgent proceedings to make NAMA's workers as much
protected as possible," said the prime minister.
He announced the government would put their ownership share in NAMA
and all claims in the function of keeping as many workers as
possible, and added an energetic investigation was in course into
harmful business and crime at NAMA.
Racan reiterated that demands to maintain the current situation and
launch new financial restructuring at the expense of the state,
i.e. taxpayers, were unrealistic in NAMA's and similar cases. "This
government has no right to support this, because it doesn't have the
right to throw taxpayers' money into a bottomless well," he said.
Commenting on announcements of farmers' protests over the price of
wheat, the prime minister said the government did not view well
threats of road blockades because the entire nation was aware of how
important it was to ensure a good tourist season.
"Everything threatening this strategic economic interest is in
conflict with the Croatian people and it is logical that bodies of a
democratic state will not permit something of this sort," Racan
said.
He added he believed in the democratic maturity of farmers,
especially given that over the past two months the government had
demonstrated a high degree of understanding for the conditions
farmers have in manufacturing.
Racan pointed out the government had set a price for wheat which
together with inducements amounts to 1.30 kuna per kilo, something
he said guaranteed higher earnings for farmers than last year.
Commenting on announcements by petrochemical industry
Petrokemija's defence headquarters of public protests over the
government's non-compliance with an agreement on the method of
privatisation for the industry, the prime minister said the
government was faced with a disastrous situation with a portion of
the state portfolio bringing DM2 million in daily losses.
"We can avoid the closure of companies with no prospects by closing
Croatia, and some bankruptcies by risking the bankruptcy of
Croatia. This is not the mandate the government has been given,"
Racan said.
(hina) ha jn