Creditors lodge demand asking Bianfishco to declare bankruptcy

>> Can Tho ciity authorities announce Bianfishco’s liabilities

“As an unsecured creditor, I demand that the people’s court initiate the proceedings with Bianfishco, and clarify the individual responsibility of Pham Thi Dieu Hien, its former CEO,” said Nguyen Van Chien, whom Bianfishco owes more than VND7 billion.

Lawyer Nguyen Thi Hong Ngan, who represents the 22 creditors, said calling for the initiation of bankruptcy proceedings is a solution to help the farmers have their debts cleared.

However, the court turned down their demand while saying that the case is being handled by the municipal People’s Committee.

On April 12, the farmers continued to call on the people’s court to initiate the process.

In response to the demand, Judge Le Kim Ban, head of the economic court, said her institution will consider whether or not there is ground to start bankruptcy proceedings with Bianfishco.

“In case the court officially handles the case, it will notify the company, create lists of debtors and creditors, and hold a creditor meeting,” said Ban.

“During the process of the above procedures, should Bianfishco still fail to revitalize its business, the economic court will begin to liquidate the company’s assets to settle its debt.”

 The beleaguered seafood company was found to have outstanding debt of VND1.54 trillion ($73.9 million) to nine banks, a credit institution, and a number of farmers on fish purchases.

On April 6, the inspectorate team formed by the municipal government also found that Bianfishco is indebted to 10 other individuals and businesses for an additional debt of VND27.7 billion ($1.32 million).

Meanwhile, a source said on Thursday that Tran Van Tri, the husband of the former CEO Hien, has obtained the letter of authorization from his wife to officially transfer the CEO chair to him.

The letter was reportedly sent from the US, and was notarized by a notary called SonVo.

The Vietnamese Embassy in the US also confirmed that the letter was signed by Vietnamese counselor Nguyen Hong Ha on April 3, according to the source.

However, “the Can Tho People’s Committee has yet to receive such information,” chairman Nguyen Thanh Son told Tuoi Tre via a telephone conversation. Earlier Hien had reportedly left for the US to receive medical treatment for breast and liver cancer.