Jordan's IIT seeks bankruptcy of Krasnoyarsk sawmill over debt of 440 mln rubles
KRASNOYARSK. July 23 (Interfax) - International Investor for Trading (IIT), a Jordanian lumber importer, has filed a lawsuit with the Krasnoyarsk Territory Arbitration Court seeking to have OJSC Maklakovsky Sawmill declared bankrupt.
The grounds for the lawsuit is the failure of Maklakovsky, one of the region's largest sawmills, to comply with a regional arbitration court order from September 29, 2011 to pay the Jordanian company 438.9 million rubles on a lumber supply contract, according to court materials.
The $164.3 million contract to supply 700,000 cubic meters of softwood lumber over five years was signed on February 17, 2011. The sawmill received prepayment of $12.9 million, but did not deliver the lumber on time. IIT turned to the courts and won its case. The sawmill was ordered to return the prepayment in full, plus a penalty of $712,500.
Maklakovsky later filed a countersuit to annual the contract, but then withdrew it.
Maklakovsky primarily produces lumber, more than 90% of which it exports to Egypt, Syria and Jordan. The mill processed 281,000 cubic meters of timber and produced 98,900 cubic meters of lumber in 2011, and had revenues of 520.3 million rubles.
The controlling stake of 51% in the mill is owned by Forest Holding of Kazakhstan, and 49% of shares are owned by the Investment Fund of Kazakhstan.
