AKP respects the Supreme decision: Agro Kosovo to return under private party management

The Supreme, in an act pronounced on May 25th, has ordered AKP to return case to previous status and has ordered The AKP will execute this decision within days.

The Kosovo Privatisation Agency (AKP) has accepted the decision by the Supreme Court's Special Chamber in which a temporary majority measure has been imposed against the AKP Board's decision to withdraw shares and deploy the new company Agrokosova under the AKP's direct management until the final decision of the review of its former buyer's indictment.

A media report says that with this provision, a property of public interest in Kosovo's economic development is determined to leave the administration of a state institution such as the AKP and return under private management.

The AKP emphasises that it respects the court's decisions, but is extremely surprised.

“The AKP respects the court's decisions as a whole, but it is extremely surprised by the court's decision and that it wants to announce the general public and all interest parties, that this is the first time since the establishment of the AKP and the former - The AKM, which in the AKP Board's decisions on attracting shares due to violations of privatisation contracts with special spin-off, which a property leaves with court ruling from public administration and is carried under private administration”.

“The AKP has been ordered to make the company's admission, so in the spirit of this and in respect of the Court's decisions, it plans to make admission on 30 May 2022 at 11 o'clock in Agrokosova” objects.

The AKP continues to insist that decisions have been made in full compliance with the law and based on the 5 independent external audits, which audits have proven beyond any doubt that within the entire period the deadline for meeting investment and employment commitments between 2007 and April 2017, the former buyer has failed to fulfil pledges under the contract of this enterprise.

Privatisation History

Agro Kosova Holding or is h - NBI Suhareka was privatised on August 27th 2007 by buyers Konjino Fantinel and QMI through the Special Spin Off approach in the XIX sale wave worth 4,175,999 euros.

One of the contracts was for the bee to make investments worth 8.6m euros within the two-year period.

In the employment part, the buyer vowed to employ minimum 172 workers for the first six months, while during the second year employing 345 workers.

The AKP says that as a result of its failure to meet the completion of the commitments agreement, between 2011 and 2013, it has issued buyers financial penalties worth 3,579,997.53 euros, for which the buyer has filed complaints in the Special Chamber of the Supreme Court, for which there is still no final decision, Telegrafi writes.

From the beginning of the decision-making period until September 2019, five external audits have been conducted at the Agro Kosovo Holding company.

And so, The AKP says the buyer and the company have made serious violations of the terms of the contract, because according to them only 24.67 per cent of the employment pledges have been met, until April 15th 2017.

On the other side, The AKP says the violation of the contract is also the fact that even the investment pledge has met only 85.79 percent. Investments verified by foreign audiences have been 7,378,005.82 of the value of 8.6 million in the contract.

As a result of these actions, The AKP emphasises that in line with the competencies and legal mandate, as well as in line with the Vomat Agreement, the Board of Directors has approved the withdrawal of shares of Agro Kosovova Holding from Suhareka and their return to the Kosovar Privatisation Agency.

Besides, The AKP says it has made the decision to be asked by the buyer to return the expropriation tools, which are paid by the Government of Kosovo for the expropriation of several company properties for highway needs.