EU – Baltic States, Latvia, Legislation, Transport

The insolvency case was initiated by the Riga Northern District Court on February 20, according to information published on the Insolvency Administration's website. The claim was filed by the foreign company Nordweg Ship Repair.

The court will review the case on March 5, as LETA learned from the court.

Riga Shipyard CEO Janis Skvarnovics told LETA that the company has not received any documents from the court, he was therefore unable to comment on the case.

Skvarnovics explained that Riga Shipyard had signed a contract with Nordweg Ship Repair, a company which carried out various activities as a subcontractor. "A number of these activities, in our opinion, were not accomplished, for this reason, we have filed a claim against this company," Skvarnovics added.

The Riga Northern District Court told LETA, however, it has not yet received Riga Shipyard's claim against Nordweg Ship Repair.

In the spring of 2014, several insolvency claims were filed against Riga Shipyard.

Skvarnovics blamed the claims on one of the company's minority shareholders. These insolvency claims were artificial and intended to generate major publicity, the claimant was expecting Riga Shipyard to go bankrupt any moment. All these attempts failed, Skvarnovics said in an interview with LETA.

As reported, Riga Shipyard turned over EUR 12.386 million in the first nine months of 2014; net losses amounted to EUR 1.281 million, according to the company's financial report submitted to the "Nasdaq" Riga Stock Exchange.

Remars-Riga is the largest shareholder in Riga Shipyard with 49.86% of shares.

Riga Shipyard is a shareholder in Tosmares kugubuvetava (49.72%), and Remars Granula (partnership 49.8%). Riga Shipyard was founded in 1995.