FAMOUS SEA RESORT DEAL CANCELED

Business | July 21, 2001, Saturday // 00:00

The vacation settlement `Elenite` neighboring the `Slanchev Bryag` (Sunny Beach) resort will change its owner, it transpired yesterday after the Supreme Administration Court announced its decision on the litigious deal. In 1999 the Privatization Agency unlawfully sold the resort to the WMA (Workers` and Managers` Association) `Elenite Invest` AD, ruled the SAC. WMA `Elenite Tours`, outbidden two years ago in the tender for the elite resort, initiated the legal procedure. The only proof presented by the PA to the court was that the list of personnel of the `Eleni Tours` doesn`t meet the criteria of WMA. The row about the vacation settlement`s privatization flared in 1999, immediately after sealing the deal. Then it transpired that Yordan Tsonev - then head of the budget committee in the parliament- backed the WMA winner. His name was not mentioned in any of the registration papers, but it was a public secret that exactly Tsonev and people close to him managed the resort. The losing party has the right to appeal before 5-member jury of SAC, but their chances to succeed are almost nil, commented lawyers, well-informed about the case.

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