---------------------------------------------------------- Czech-List Digest Archive --- Total Messages Posted Sat 05/31/08: 2 ---------------------------------------------------------- Today's Message Index: ---------------------- 1. 12:06 PM - CZAW Bankruptcy Petition (Kata) 2. 12:19 PM - CZAW Deposit Holders Warning (Kata) ________________________________ Message 1 _____________________________________ Time: 12:06:30 PM PST US Subject: Czech-List: CZAW Bankruptcy Petition From: "Kata" Regional Court in Brno Court: Regional Court in Brno Husova 15 Arrived: 21.05.2008, 07:50 601 95 Brno Number of parties/attachments: 17/ File no.: KSBR 44 INS 1207/2008 Prague, 20.5.2008 Petitioner: COMINVEST ASSOCIATED LIMITED, with its registered office at Pasea Estate, Road Town, Tortola, British Virgin Islands, company no. (registration no.): 626279 Debtor: CZECH AIRCRAFT WORKS spol. s r.o., with its registered office at Kunovice, Na Zhonech 212, Post Code 686 04, company no. 251 10 969, entered in the register maintained by the Regional Court in Brno, section C, file no. 33816 STATEMENT OF THE PLAINTIFF I. In the resolution of the Regional Court of 7.5.2008 the petitioner was called upon to give a statement to the pripis dluznika/registration of the debtor of 25.4.2008 and 30.4.2008. On the basis of this call of the bankruptcy court, the petitioner submits this statement. II. Bankruptcy proceedings were launched against the debtors assets on 27.3.2008. As at todays date the court has received notices or registrations of receivables of approximately 20 creditors, who have outstanding claims against the debtor with a total value of CZK 51,000,000 (DEPOSITS NOT INCLUDED) with appurtenances, and it can be assumed that other creditors will register their claims from this date onwards. The debtor is currently unable to meet its legal obligations towards the District Social Security Administration (see this creditors notice dated 2.5.2008). A similar delay with the payment of outstanding obligations can also be expected in the case of the relevant tax office or health insurance companies. The debtors employees were not paid their salaries for April and May. III. In its submission of 25.4.2008, the debtor submitted to the court a list of its employees and a list of its assets (which is comprised of a list of warehouse inventories valued at CZK 20,390,329.61, a list of production in progress valued at CZK 12,220,365.06, a list of production in progress valued at CZK 616,000 and a list of finished products valued at CZK 4,866,227.71). Despite the debtors numerous declarations that these lists are complete and correct, the petitioner is convinced of the fact that the lists submitted by the debtor do not give a true reflection of the assets owned by the debtor, but rather than the debtors assets are overvalued. Nevertheless, despite the petitioners above-mentioned reservations to the lists submitted, it must be stated that even from these records it is clear that the debtor meets all the legal prerequisites for over-indebtedness, as this term is defined in Section 3(3) of Act No. 182/2006 Coll., the Bankruptcy Act (hereinafter referred to as BA), namely: i) the debtor has more than one creditor, and ii) the sum of its obligations exceeds the value of its assets. The petitioner is of the opinion that the documents submitted hitherto to the bankruptcy court by the individual creditors as well as by the debtor prove the debtors bankruptcy, as the debtor i) has more than one creditor, ii) has monetary obligations that are more than 30 days overdue, iii) is unable to make good on these obligations. In accordance with Section 3(2)(a) and (b) of the BA, the debtors inability to pay may be deduced from the fact that i) the debtor stopped the payment of a significant part of its monetary obligations, whilst at the same time ii) the debtor is not paying a significant part of its monetary obligations for more than three months after their due date. At the same time, the petitioner states that, contrary to Section 128(3) and Section 104 of the BA, the debtor has yet to submit to the court the requested list of all its obligations, in spite of the fact that this list should form a mandatory part of the accounting records that the debtor is obliged to keep by law. Thus, by failing to submit the requested lists, another prerequisite for the debtors inability to pay pursuant to Section 3(2)(d) of the BA. IV. The debtors bad financial situation was also confirmed by the debtors executive director himself (see, for example, the declaration of the debtors executive director that the value of the obligations was lowered from an initial value of CZK 35.3 million to CZK 28.8 million; the declaration on page 1, where it is expressly stated that CZAW was already bankrupt back in 2007, etc.) in his statement (which forms an appendix to the statement of the debtor to the bankruptcy of 25.4.2008). The petitioner would also like to take this opportunity to emphasise the fact that the statement of the debtors executive director contains a number of errors as far as the debtors obligations are concerned. As has already been stated above, the debtors executive director states that the debtors obligations reach CZK 28.8 million. However, the interim results of the bankruptcy proceedings show that this value is at least twice this amount (as at todays date the bankruptcy court has received notices from creditors who have outstanding claims against the debtor in excess of CZK 51 million). The debtors executive director further states that in the period from 31.12.2008 (clearly this should be the period from 31.12.2007), a loan from KB totalling CZK 5 million was to be paid by the debtor. But from the communication of the company FAME Jihlava, a.s., submitted to the above court on 12.5.2008 it ensues that this obligation was not settled by the debtor, but that this obligation continues in existence (albeit under the title of undue enrichment, on account of the debtor refusing, contrary to the loan agreement, to sign an amendment thereto). This obligation has not been settled by the debtor to this date, despite the fact that the debtor was repeatedly called upon to make good on this obligation. V. The petitioner is unable to give an opinion on the other claims made by the debtor in the statement of the debtors executive director regarding the internal structure and management of CZAW, as it is not and never was a member of the debtor. Nevertheless, according to the debtors memorandum of association (filed in the collection of documents kept by the Regional Court in Brno) it is clear that the debtors general meeting only reached quorum if attended by members having at least 94.60% of the votes, with the member AIRCRAFT ENTERPRISES LTD. holding 4515 votes, the member SLAVIA CAPITAL AERO (SC AERO) LIMITED holding 4965 votes, and the member Trihold Limited holding 540 votes. For any resolution to be adopted, a 67% majority of all the votes of all members was always required. >From the above, it is clear that SLAVIA CAPITAL AERO (SC AERO) LIMITED did not have the majority of votes required to adopt or push through any resolution, and therefore was unable by itself (i.e. without the co-operation of another member, AIRCRAFT ENTERPRISES LTD., whose majority shareholder as ensues from the Confirmation on Shareholder Status, again filed in the collection of documents kept by the Regional Court in Brno is the debtors executive director, i.e. Mr Chip W. Erwin), to push through any decision, take any measure or to damage the debtor in any other way (as the debtor infers in its statement). Evidence: Shareholder Status as at 13.11.2007 VI. In its petition, the debtor states that it feels it has suffered damage, as COMINVEST ASSOCIATED LIMITED did not contact it and evidently took no steps aimed at the payment of the alleged receivable. Once again, the above claim made by the debtor is not founded on truth, as documented by the facts presented by the petitioner below. On 31.1.2008, the Bill of Exchange was presented to the domicilat/domicilatory for payment. By so doing, the condition of the due presentation of the bill of exchange was met. The debtor was subsequently called upon to pay the outstanding obligation. However, from the confirmation issued by SOB, a.s. of 14.2.2008 it is clear that the debtor did not react in any way to this call and failed to make any payment towards the outstanding obligation. Evidence: collection order from the bill of exchange of 31.1.2008 confirmation issued by SOB, a.s. of 14.2.2008 (file no. KSBR 44 INS 1207/2008) COMINVEST ASSOCIATED LIMITED Read this topic online here: http://forums.matronics.com/viewtopic.php?p=185637#185637 ________________________________ Message 2 _____________________________________ Time: 12:19:53 PM PST US Subject: Czech-List: CZAW Deposit Holders Warning From: "Kata" Regional Court in Brno Husova 15 601 95 Brno Czech Republic 23 May 2008 Dear Sir, Re: CZAW in liquidation CASE FILE No. KSBR 44 INS 1207/2008 My name is Leonardo da Costa Sayago and I am the Managing Director and owner of Aeromarine Lda. Mr. Erwin offered to sell me 9% of CZAW for the sum of $800,000, but my financial advisers told me not to invest. A little later in the middle of 2006 I was given exclusive distribution rights to all products of CZAW for Portugal and Spain (Atlantic to a meridian passing through the centre of Madrid). For these rights Mr. Erwin convinced me to send CZAW the sum of $300,100, as a prepayment of 5 Sportcruisers and deposits on 5 Sportcruisers and 1 Mermaid. This order was increased to 15 Sportcruisers and another $50,000 was sent. Deliveries were promised at a rate of 2 per month starting March 2007. In about May 2007 I visited the factory to see my planes and in the presence of Mr. John Mohr Mr Erwin told me Why should I supply you the planes that you have already paid for, just send another $300,000 . He proceeded to steal my order OC 3984 and sold it to a client of mine. I said you have from Aeromarine nearly $50,000 on this plane and now you are going to receive $75,000 from my client. Do you want to be paid twice for the same plane? He replied, What a good idea for my cash flow . My $15,000 commission was never paid and he refused to even discuss it. He also sold another plane to one of my clients, Mr. Pereira, and contrary to our written agreement he refused to pay my company around $25 000 due on the transaction. Mr Erwin holds $70,000 in deposits, approximately $40,000 in unpaid commissions, $2,000 in warranty work on faulty planes which we did not claim as we knew that he had been insolvent for some time. After many false promises of delivery, he signed new contracts, now for 7 planes in lieu of 8 outstanding (the stolen OC3984 he does not want to honour). Deliveries were to start in Feb 2008.But as usual absolutely no deliveries were made. Recently he promised to refund my deposits. I asked that he build me one plane. He wrote a document in front of Mr. Robert Miller, Managing Director, Aeromarine UK Ltd confirming the transfer of my deposits as payment in full for a plane OC3988 which was to be delivered at the end of April. This plane has been in the assembly line for 3 months but remains in the same state as the day the document was signed. Mr Erwins response when asked why it had not progressed was why should I deliver it when it has already been paid in full. I am a 64 year old Naval Architect. I have been in business since 1967. I have dealt with many businesses from all over the World and I have NEVER come across anybody capable of so much prevarication, fraud, lies, deception. I know this gentleman has been involved with other companies that have gone bankrupt and by all accounts he has been able to buy them back and continue to rob clients of their hard earned cash. I hope this will not happen on this occasion. I am $112,000 short and he plainly refuses to deliver my goods. Having sold me the rights to sell in Portugal and Spain he has taken a considerable amount of my money and failed to supply the goods. I understand he has now given those rights to another company. I consider this as the worst type of immoral behaviour. Yours Faithfully Leonardo da Sayago C.Eng. FRINA Managing Director Read this topic online here: http://forums.matronics.com/viewtopic.php?p=185641#185641 ------------------------------------------------------------------------------------- Other Matronics Email List Services ------------------------------------------------------------------------------------- Post A New Message czech-list@matronics.com UN/SUBSCRIBE http://www.matronics.com/subscription List FAQ http://www.matronics.com/FAQ/Czech-List.htm Web Forum Interface To Lists http://forums.matronics.com Matronics List Wiki http://wiki.matronics.com Full Archive Search Engine http://www.matronics.com/search 7-Day List Browse http://www.matronics.com/browse/czech-list Browse Digests http://www.matronics.com/digest/czech-list Browse Other Lists http://www.matronics.com/browse Live Online Chat! http://www.matronics.com/chat Archive Downloading http://www.matronics.com/archives Photo Share http://www.matronics.com/photoshare Other Email Lists http://www.matronics.com/emaillists Contributions http://www.matronics.com/contribution ------------------------------------------------------------------------------------- These Email List Services are sponsored solely by Matronics and through the generous Contributions of its members.