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Published: 26 march 2013 11:33

Lithuanian court refuses to seize 2.5 mln EUR worth of Western Baltija shipyard’s assets

„Vakarų Baltijos laivų statykla“ statys du naujus žvejybinius tralerius.
Vakarų laivų gamyklos nuotr. / „Vakarų Baltijos laivų statykla“

The Lithuanian Court of Appeals has refused to seize 8.632 million litas (EUR 2.5 mln) worth of assets of Lithuania’s Vakaru Baltijos Laivu Statykla (Western Baltija Shipbuilding), which was demanded by BLRT Laevaehitus, Estonia’s shipbuilding company in bankruptcy, which is part of the same BLRT group.

The court ruled on Mar. 21 that this dispute could not be heard in Lithuania, in particular by the Regional Court of Klaipeda. The Estonian company, which has its bankruptcy proceedings heard by the Tallinn-based Harju regional court, told the Court of Appeals that its claims against Western Baltija Shipbuilding totaled 2.5 million euros.

In December 2012, the Regional Court of Klaipeda refused to seize the assets of Western Baltija Shipbuilding stating that this dispute was being heard by a foreign court.

The Court of Appeals said that the dispute on the seizure of assets of Western Baltija Shipbuilding could only have been heard by Vilnius Regional Court so as to avoid any confusion.

Estonia ’s media earlier reported that the debt owed by Western Baltija Shipbuilding, as estimated by BLRT Laevaehitus which is controlled by the same shareholders, dates back to 2007. Bankruptcy proceedings against Estonia’s company have been opened after finding out that its assets were insufficient to cover its liabilities.

Western Baltija Shipbuilding is part of Lithuania’s Vakaru Laivu Gamykla (Western Shipyard), which was 96.82 percent owned by BLRT Grupp at the end of 2011.

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