Insolvency of a Group of Companies with liabilities amounting close to 250 million Euros. Although the main body of the business prospered in the property sector, the business was further involved in investments in the photovoltaic and graphic art sectors. The insolvency was due to the Group's elevated debt levels – the freezing of its current assets, the drop in value of properties and fundamentally the crisis of the real estate advertising and construction sectors, as well as credit closure from banking entities.
Submission of application for a meeting of creditors, with the objective of halting the legal actions undertaken by some financial entities and to reach agreements guaranteeing the continuing of the company and the handing over of properties that were in the advanced phase of construction. The Company's liquidation was obtained with the meeting describing it as fortuitous.
Through pacts with the mortgage creditors, both privileged credits and part of ordinary credits were satisfied, as well as the company problem of handing over properties to their buyers was resolved. The company administrators remained exempt from any liability, including financial liability and from other orders such as the incapacity to administer goods to third parties.
