Suppliers are the last to be considered when assets of insolvent companies are divided, after the state, banks, and employees, says the chairman of the National Association of Insolvency Practitioners in Romania (UNPIR), Arin Stanescu.
"The degree of debt recovery from an insolvent company is a lot lower than 12% in Romania. World Bank data reveal that in the European Union this percentage is of around 20%. We are faring somewhat worse. The only ones who get their money back are state-owned creditors and those with guarantees, maybe the employees, as well, if they are insured by the Fund for guaranteeing salary debt. Unsecured creditors, mainly suppliers, manage to recover very little, if at all," Stanescu said at the International Conference dedicated to CFOs, organised by Forum Invest.
UNPIR data reveal that 150 million euros in debt were recovered in the first half of 2009 from insolvent companies, with things worsening in the second half of the year, when sums recovered amounted to only 50 million euros.
Suppliers are the last to be considered when assets of insolvent companies are divided, after the state, banks, and employees, says the chairman of the National Association of Insolvency Practitioners in Romania (UNPIR), Arin Stanescu.
"The degree of debt recovery from an insolvent company is a lot lower than 12% in Romania. World Bank data reveal that in the European Union this percentage is of around 20%. We are faring somewhat worse. The only ones who get their money back are state-owned creditors and those with guarantees, maybe the employees, as well, if they are insured by the Fund for guaranteeing salary debt. Unsecured creditors, mainly suppliers, manage to recover very little, if at all," Stanescu said at the International Conference dedicated to CFOs, organised by Forum Invest.
UNPIR data reveal that 150 million euros in de
