In just a short period of time, the insolvency administrator reviewed all the claims applications, amounting to almost CZK 1.5 billion. The insolvency administrator had to deal with a complete absence of accounting and the lack of cooperation from the obligated entities. The case was also significant due to the fact that, in view of suspected criminal activity, the insolvency proceedings also involved the criminal authorities.
Many years of insolvency proceedings, which are already producing court decisions, expert articles, and documents for insolvency law publications today. The proceedings included numerous personal meetings with creditors, state authorities, and judicial authorities, as well as interventions by municipal officials and the Police of the Czech Republic, when the insolvency administrator was dealing with the monetization of valuable real estate assets, which brought the necessity of resolving land consolidation, additional building permits, actions for the exclusion of certain real estate assets from the property estate, settlement of the community property of spouses, recovery of claims for sub-debtors, and more. Almost all of the incidents ended up before the nation’s Supreme Court or its Constitutional Court, where they ended in success for the insolvency administrator. Due to the involvement of a so-called “foreign element” (a citizen of the Federal Republic of Germany), the investment protection agreement concluded between the Czech Republic and the Federal Republic of Germany also had to be discussed and reviewed.
The former operator of the world-famous Kludský circus, who declared bankruptcy. Circus Kludsky was once one of the largest circuses in Europe. As part of the bankruptcy proceedings, extensive real estate assets were monetized, and a complex investigation of the assets took place in Bulgaria in addition to the Czech Republic.
Handling everyday debtor affairs doesn’t usually involve the task of leasing high-tech equipment to the tune of hundreds of millions of CZK for a company like SETUZA a.s., but that’s exactly what was needed in this insolvency case. The proceedings additionally included complex legal disputes over the recovery of assets.
A hotel operator with nearly 200 rooms and extensive sports facilities.
Unique proceedings. Thanks to the quick and efficient actions of the insolvency administrator, this case led to a unique outcome in the context of the Czech Republic, with creditors being satisfied in the amount of 100%.
The debtor’s assets included, among other things, a business share in a wine company, which was monetized successfully. Furthermore, the insolvency administrator was able to successfully monetize specific movable assets (large-capacity wine barrels). In these proceedings, the insolvency administrator’s effective work again resulted in 100% satisfaction of the claims of all registered creditors.
Insolvency proceedings for one of the largest (alternative) postal operators in the Czech Republic, which at the time of its greatest boom was among “Big Four” in the industry (formerly operating under the TNT Post trading company).
In light of the recent inflationary years, this case involved a highly specific (and currently rather frequent) instance of a borrower fraudulently extracting savings from consumers. The company was engaged in issuing bonds. One unique aspect of these proceedings was the need to coordinate the insolvency administrator’s actions with the Czech police.