Romstrade’s creditors are set to convene on February 21.
Several creditors of Romstrade have filed requests to the Giurgiu Court demanding the opening of insolvency proceedings against Romstrade.
The court has also approved insolvency proceedings against Romstrade Logistic Expres (former Direct Aero Services), following a request filed by DHL International Romania.
Both Romstrade and Romstrade Logistic Expres are owned by Romanian businessman Nelu Iordache who was placed under preventive arrest early December for the alleged embezzlement of 25 million lei (EUR5.5 million) from EU funds, forgery and money laundering. Iordache allegedly embezzled money that was supposed to go into the construction of the Nadlac-Arad highway, which his company Romstrade was building.
Romanian authorities have recently terminated the contract for the construction of a section of the Nadlac-Arad highway, which was being built by a consortium that included Romstrade, citing delays in works.
In 2011, Romstrade posted a profit of EUR2.6 million, down to a half of its 2010 profit, according to Forbes Romania.
In 2009, Romstrade was the biggest local construction company, with profits of more than EUR31 million and a turnover of EUR268 million.
Iordache was ranked 28th in the 2011 edition of the Forbes 500 Billionaires with an estimated wealth of EUR150 million. (EUR1=RON4.5388)