“We could bring the best managers from London or Washington, and pay them hundreds of thousands of euros, but they could still do nothing, because wise guys are everywhere, in each of the 100 state-owned companies,” Borza said in a conference hosted by ZF Expert.
The term “wise guys” was originally applied to a small number of companies, especially traders, who bought energy directly from Hidroelectrica at less than the market price, but is now understood to mean any individual or entity placed in a favorable economic position through political intervention.
Only after six months of insolvency and restructuring can Hidroelectrica’s problems be solved, Borza said.
He added that Prime Minister Victor Ponta, Economy Minister Daniel Chitoiu and Remus Vulpescu, head of the privatization office (OPSPI), made a historic choice to have Hidroelectrica file for insolvency, since if it is successful, other state-owned companies will follow suit.
“The benefits of Hidroelectrica’s insolvency are certain, not probable,” the administrator stressed. “Parasitism exists at every level and in every sector, and defines every state-owned company.”