Following KrAZ: the court opened a bankruptcy case against Bogdan Motors

The Commercial Court of Dnipropetrovsk region has opened bankruptcy proceedings against the Bogdan Motors Automobile Company, which is part of the Bogdan Corporation. This was reported by liga.net with reference to finbalance.

The initiator of the bankruptcy procedure is the financial company Finwork, the publication clarifies. The full list of creditors’ debt claims will be submitted within 30 days after the bankruptcy case is opened.

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This is the second lawsuit related to the bankruptcy of companies from the Bogdan Corporation.

In early November, the Commercial Court of Dnipropetrovsk region declared Megaterm (formerly known as Mega Auto Logistics) bankrupt. The initiator of the bankruptcy procedure was Hyundai Motor Ukraine. Megaterm was one of the guarantors of Bohdan Corporation’s debt to Ukreximbank in the amount of UAH 1.3 billion.

Bogdan Corporation took a loan from the State Bank in 2009 for the construction of automobile plants in Cherkasy and Lutsk. Ukreximbank tried to collect property from Bohdan to repay the loan, but in 2018 the parties agreed on a 13-year debt restructuring. Under the agreement, the corporation undertook to repay the loan by December 25, 2031.

Bohdan Corporation reacted to the beginning of the bankruptcy proceedings of Bohdan Motors Automobile Company, stating that “the conditions in which the automotive industry in Ukraine survives today are the least favorable in the last two decades. both because of the systemic problems of the industry and the corona crisis. ”

The corporation noted that no program to support the industry has been adopted, automakers have not gained access to cheap loans, government orders are declining.

As a result, Bohdan Motors’ revenues fell several times: in 2019, the amount of taxes paid by the company amounted to UAH 384 million, for 11 months of 2020 – UAH 120 million.

“The state is doing everything to question the loans already received. For more than a year now, the Kyiv Commercial Court has been challenging the novation agreement between Ukreximbank and Bohdan Motors. The prosecutor’s office is delaying the case,” Bohdan Corporation said.