Due to the bankruptcy of the Meljine General Hospital, the lawsuit filed by the Government has been terminated again

Earlier, before the court, the government tried to terminate the privatization contract for the former military complex and hospital in Meljine, Herceg Novi, and to compensate for the damage from the Consortium, which for years was controlled by businessman Duško Knežević.
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Meljine Hospital, Photo: Savo Prelevic
Meljine Hospital, Photo: Savo Prelevic
Disclaimer: The translations are mostly done through AI translator and might not be 100% accurate.
Ažurirano: 12.02.2020. 12:53h

In the Commercial Court, this morning, the lawsuit arising from the lawsuit of the Government of Montenegro against the Consortium consisting of Invest banka Montenegro, Atlas banka, Atlas Cap and Special hospital "Sveti Nikola" was terminated again this morning, which has been demanding for several years the termination of the privatization contract for the former military complex and hospital in Meljina, as well as compensation for damages.

The reason for the termination of the proceedings is last year's initiation of bankruptcy in the Meljine General Hospital in Herceg Novi, which was brought about at the request of the Electric Power Company of Montenegro (EPCG) due to a due and unpaid claim in the amount of about 250 thousand euros.

The judge in this litigation is Milica Popović.

She terminated this litigation for the first time in the second half of 2018, when bankruptcy was initiated in the Meljine complex, the company that is the majority owner of the Meljine General Hospital, and a separate legal entity.

After that, the Appellate Court of Montenegro "overturned" the judgments of the Commercial Court three times related to the initiation of bankruptcy in this Herzegovinian company, the owner of the General Hospital.

In the end, in the second half of September last year, General Hospital Meljine, as a separate legal entity, went bankrupt, at the request of EPCG.

Earlier, before the court, the government tried to terminate the privatization contract for the former military complex and hospital in Meljine, Herceg Novi and to compensate for the damage from the Consortium, which for years was controlled by businessman Duško Knežević.

The purchase agreement with the state for this complex was signed back in 2008, and the Knežević Consortium paid 25 million euros, mostly in bonds (purchased at a discount at a lower price), and did not honor the contractual obligation to invest 120 million euros in seven years.

Since 2012, the buyer of an attractive complex in Herceg Novi has been proposing an annex to the contract to the government, which the state did not agree to, but since the end of 2014, due to non-compliance with contractual obligations, it has only considered terminating the privatization contract.

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