Four companies taken away from Nibens Group

The Privatization Agency of Serbia yesterday terminated purchase contracts for four companies within Nibens Group because that group failed to fulfill most of the contractual obligations.

As specified in a statement issued by the Privatization Agency, sales contracts are terminated for the Road Company Beograd, Novi Sad-based Vojvodina-Backaput, the railway construction, repair and maintenance company ZGOP from Novi Sad, and the building material manufacturer Buducnost from Presevo.

It is pointed out that the owner failed to do the following: maintain the continuity of operations in these companies, fulfill investment obligations, carry out the agreed social program, and pay the agreed installments for their purchase, as well as that it disposed of the property contrary to the provisions of the contract.

The Privatization Agency will appoint representatives of capital in as short time as possible, whereas the companies will enter into a restructuring process, reads the statement.

Milo Djuraskovic, owner of Nibens Group, was arrested in May for abuse of office and withdrawal of EUR 32 million from the Lubricant Factory in Krusevac, after which the Privatization Agency terminated the privatization agreement for that company in June.