The independent think tank Expert-Grup calls on the authorities to investigate the way in which the debts accumulated at Air Moldova airline. In a position note on October 4, experts of the Center said it seems that Air Moldova was intentionally managed inefficiently so as to bring it on the verge of bankruptcy and to privatize it at a low price, IPN reports.
An investigation by competent institutions, such as the National Anticorruption Center, can show if the company accumulated debts as a result of difficult conditions and increased competition on the market or as a result of the intention of some groups of interests.
The Center’s experts note the company was privatized without designating an individual financial consultant, as the legislation provides in the case of property of special importance. There is no clear argumentation as to the value of the transaction. There is nothing that would show there was performed an independent assessment and would confirm that 50 million lei (money transferred to the state budget as a result of the privatization) is a justified sum for a company like Air Moldova.
According to the experts, the communication about the privatization creates the impression that the authorities didn’t aim to attract investors. The documents related to the tender contest weren’t translated into a foreign language and the privatization was announced only through official press releases placed on the website of the Public Property Agency, not speaking about the very short period offered to potential investors for analyzing the documents.
The experts consider the poor financial performance led to the over-indebtedness of the company. During only five years, Air Moldova accumulated new debts of over 625 million lei.
The legal entity that took over the company was founded in August 2018 and has a share capital of 500,000 lei. It is not known if the company that is 49% owned by Blue Air Aviation and 51% owned by two private individuals has the funds needed to clear the debts of Air Moldova and how swiftly these should be settled.
The Public Property Agency recently announced that the commercial contest to privatize the Moldovan airline Air Moldova was won by Civil Aviation Group SRL that manages the Romanian airline Blue Air. The value of the transaction is 1.2 billion lei. A sum of 50 million lei was paid into Moldova’s budget, while the rest of the sum will go to cover the debts of Air Moldova.
