Receivership Proceedings Start at Slovenian building company Vegrad

The Celje District Court decided on Wednesday to stop the debt restructuring procedures at insolvent builder Vegrad and launch receivership. Alenka Gril, who has been in charge of the debt restructuring so far, has been appointed the receiver. Creditors now have three months to file their claims. Claims which have been reported during the court-mandated debt restructuring will also apply, the court said in a statement published on the web site of the Agency for Public Legal Records and Related Services (AJPES).

Vegrad's 633 workers, who have been on strike since 20 September over non-payment of wages, welcomed today's news, unionist Srecko Carter told the STA. Carter added that their future now depended on state institutions and welfare benefits. The workers' representatives were also received by President Danilo Tuerk today. The remaining 400 workers of Vegrad's subsidiaries, who have not received their wages for months either, were meanwhile reserved, as their position remains uncertain. Carter said it would be up to the receiver to decide on the fate of these workers.

News source: The Slovenia Times link: article