No bankruptcy procedure in TE-TO Sugar Factory in Senta – Account still blocked, company in need of EUR 5 million to continue operating

The pre-bankruptcy procedure in TE-TO Sugar Factory in Senta has been terminated. The decision on the completion of the pre-bankruptcy procedure and the rejection of the motion for initiating a bankruptcy procedure was made by Ilma Aldi, bankruptcy judge at the Commercial Court of Subotica, but the company's account is still blocked in the amount of RSD 533 million, and the liabilities amount to RSD 1.4 billion. At the same time, the factory's claims amount to RSD 780 million.

The termination is the result of the fact that none of the creditors demanded the initiation of the bankruptcy procedure in the Senta factory. TE-TO started facing considerable difficulties when it was taken over from Italy's SFIR by Sunoko, a member of Miodrag Kostic's MK Group, after which commercial banks immediately blocked the account and the property in order to recover the claims.

A similar situation regarding the termination of the pre-bankruptcy procedure has already occurred, but the procedure was renewed each time.

The biggest problem in TE-TO is the lack of around EUR 5 million of working assets. People in head positions in the Senta factory and Sunoko have held several meetings with sugar beet producers from the area in the past few days, hoping to reach an agreement on the production and secure the raw material, as the fate of the factory and its facilities depends on this. The factory currently has 122 workers left, receiving minimum wage, whereas the rest have left the company, unable to make a living there.

The campaign was not started in the Senta factory this year, as Sunoko had waited for several months for the decision by the Commission for Protection of Competition, preventing the preparations for the campaign to be carried out. Due to this, the sugar beet negotiated by the Senta factory has been processed or is still being processed in Sunoko's facilities in Kovacica, Vrbas and Pecinci.

Fabrika Šećera TE-TO Senta

SFIR-Italija

Sunoko d.o.o. Novi Sad

MK Group d.o.o. Beograd

Privredni sud u Subotici

Miodrag Kostic

bankruptcy procedure in Senta sugar factory

Ilma Almadi

recovery of claims

sugar beet production

sugar production

sugar beet

Commission for Protection of Competition

sugar factory Kovacica

sugar factory Vrbas

sugar factory Pecinci