BULGARIA'S FLAG CARRIER DEMANDS HEMUS AIR TO BE DECLARED BANKRUPT

Business | March 7, 2002, Thursday // 00:00

Hemus Air to be declared bankrupt for a debt to Balkan Airlines amounting to USD 300,000, Bulgaria's flag carrier's receivers Olga Milenkova and Hristo Mollov insisted. On Tuesday they filed a claim to the Sofia City Court seeking the airline's insolvency. The debt of Hemus Air to Balkan Airlines is accumulated by arrears in payment on the technical maintenance of the company's aircraft, Plamen Nakev, representative of Transport Minister Plamen Petrov in Balkan explained. "We repair their engines, but they don't pay back. At the same time for each flight with a leased from Hemus Air plane, Balkan pays in advance, Nakev explained. "Hemus Air will lodge a counter-claim," CEO Dimitar Pavlov said. According to him, the old and current duties of Balkan to Hemus Air exceed USD 900,000. Some USD 450,000 had been accumulated under contracts for leasing aircraft and sold tickets. Balkan has been using Hemus Air's airshed since 1991, without paying a penny, Pavlov added.
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