The head of the Mladá fronta credit committee is asking the administrator to pay CZK 47 million

Updates: 11.04.2022 12:02

České Budějovice – The chairman of the credit committee of the Mladá fronta publishing house sent a pre-litigation summons to the insolvency administrator. He claims to pay over CZK 47 million in damages. He said she was selling the publisher’s property badly. Administrator Petra Hýsková refuses, according to information in the insolvency proceedings register. Next week, the court administrator will propose how to monetize the rest of the property worth several million CZK.

The chairman of the credit committee, lawyer Petr Houžvička, represents Crane Constancy Investments (CCI), which is a secured creditor. According to her, Hýsková did badly when she sold the property of the publishing house. “Through this action, the insolvency administrator caused damage both to the debtor (Mladá fronta) and then to the secured creditor,” he states in the register. Hýsková also stated there that in the pre-litigation summons she asked the chairman of the creditors’ committee to pay damages of CZK 47.5 million. However, Hýsková does not acknowledge this claim. “We will comment on this, but we will do so only within the framework of the ongoing (court) dispute, so that we do not reduce the possibility of procedural defense,” Hýsková told ČTK today.

The young front, which published the economic weekly Euro, several other magazines or books, was sent to bankruptcy for the first time the year before last. Hýsková then started selling the publisher’s property. Last January, the online division of the publishing house, including the trademarks of the printed magazine Euro, was sold at auction. It was bought by Internet Info for 15.8 million. In the same month, some magazines auctioned for almost 4.2 million. In February, Albatros Media bought the publishing’s book division for $ 14 million. The court has also previously agreed that Czech Property Investments (CPI) will receive CZK 25.8 million as a secured creditor. The Mladá fronta publishing house owed CZK 23.2 million to CPI, the majority owner of which is Radovan Vítek.

Last week, Hýsková suggested to the creditors’ committee how to sell the rest of the property. According to her, the creditors mostly agreed with that. “No later than next week, we will submit to the court for approval a proposal to monetize the rest of the assets,” the administrator said. These are assets such as computers, trademarks or a car, worth a maximum of several million CZK.

In February this year, the High Court in Prague confirmed that the bankruptcy for the Mladá fronta publishing house was valid. He thus confirmed the earlier decision of the regional court. He rejected the appeal of two creditors, Jaromír Soukup Consulting and Crane Constancy Investments (CCI). It follows from the information in the insolvency register. According to the court, the Young Front cannot be reorganized when it has no operations or employees.

According to Hýsková, there was around CZK 50 million in the accounts of the Mladá fronta’s assets in the winter. Receivables were tens of millions higher than this amount last year. Lenders previously asked about 400 million for the publishing house. According to older information, the accumulated loss of the Young Front was almost 200 million. The court closed the publishing house.

Source: České noviny – hlavní události by

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