Other empty pools and memories: Former Solana workers gather to mark 20 years since bankruptcy was introduced

Former workers of the Bajo Sekulić Saltworks will gather on Sunday, May 4th, in the circle of the oldest Ulcinj collective to symbolically mark 20 years since the introduction of reorganized bankruptcy.

The introduction of bankruptcy, which in 2005 coincided with the day when the lifelong president of the former Yugoslavia passed away Josip Broz Tito,, as one of the representatives of former workers and former finance manager says Sasa Mitrovic, also carries that symbolism.

"We expected the saltworks to recover, but from this time perspective, it was actually the beginning of the end. Everything that came later indicated that the end of the saltworks was marked precisely on May 4th," Mitrović said in an interview with "Vijesti".

The privatization of the Saltworks began in 2001, and bankruptcy through reorganization failed, so in 2011, a classic bankruptcy was introduced. Two years later, the Saltworks will have its last salt harvest, and the workers will end up in the bureau...

"We will get together to agree on our future activities. The company still owes us about a million euros in unpaid wages and contributions for about five years of service. We will see what the other workers think, maybe we will start blocking roads too," says Mitrović, who is well-informed about all the business and events in Solana since the beginning of privatization.

Bankruptcy due to debt to a travel agency

He claims that the bankruptcy in 2005 was introduced in a bizarre manner, due to a debt of around 5.800 euros.

"This was hidden from the public, they said it was because of some large electricity debt," said Mitrović.

He told what preceded the introduction of bankruptcy.

"When the Eurofond and Moneta funds in 2005, through the well-known foreign exchange-foreign exchange method through old foreign currency savings, became owners of almost 70% of Solana, 33,7% each, and appointed new management, we thought that better days were coming for Solana. Especially after the disastrous performance of the previous management from 2002 to 2005, which left us with four million euros in debt," says Mitrović.

He recalled that the first thing the new owners did was to send a trusted person to scan the condition of the Saltworks.

"That gentleman spent seven days at the saltworks, and my task was to 'feed' him with customer and supplier cards, then synthetics, analytics... The report he made was short, clear and accurate - the saltworks was in a difficult situation, incorrect accounting, excess workers, debts to both customers and suppliers, hidden documentation, outdated equipment, poor personnel structure... The proposal, of course, was bankruptcy through reorganization, layoffs of excess employees and recapitalization," says Mitrović.

The story goes on to say that the then administration asked the owner of a travel agency from Ulcinj to file a claim with the Commercial Court due to a debt of around 2.000 euros.

The owner resisted a little because he knew that the people of Ulcinj would criticize him for it, but in the end, the bankruptcy judge relented. Dragan Vucevic "issues decision number 77/05 of May 4, 05, declaring the introduction of bankruptcy through reorganization in Solana," Mitrović said.

He points out that even after the bankruptcy was imposed, nothing changed at Solana - salaries were still low, late, and sales were poor. As a result of this way of working, there would be a workers' strike at the end of 2006, which would last until the first months of next year.

"We thought better days were coming again when the recapitalization was carried out, first two closed-end ones where only Eurofond paid in two million euros each and one open-end one where anyone interested could buy shares. But again, Eurofond bought the most, for about a million, and so with almost 3 million, they started buying new equipment. Eurofond then approached the figure of almost 80% ownership of the Saltworks. However, the new equipment raises dust from the dried salt to a dangerous concentration, its operation can be heard a kilometer away," Mitrović recalls.

The second piece of equipment for packaging 5 kg, 10 kg and 25 kg, he says, arrived later, followed by a special Italian machine for packaging 0,5 kg and 1 kg.

"All that equipment was never put into operation. Later, in 2020, it was sold as scrap metal somewhere in BiH and is probably operating successfully," claims Mitrović.

30.000 tons of salt disappeared in a year

Mitrović also talks about one of, as he points out, the biggest robberies in this region.

"The year is 2010, the winter is cold, the whole of Europe is covered in snow and ice. Trucks arrive every day and carry our road salt because its quality is well known. From January 10 to June 1, 2010, 30.000 tons of salt left the Saltworks. According to the inventory on December 31.12.2009, 33.000, there were just over 2010 tons of salt in stock, and on July 3.000, 5, about 6 tons. Every 150-180 days, six trucks from a company from Paraćin arrived, carrying XNUMX-XNUMX tons each," says Mitrović.

He says that the invoices were not typed in the sales department but by the secretary, and that outside experts were also hired.

"Later we found out that those papers were thrown away in Bijelo Polje where new ones were issued, and thus the trace of over 20.000 tons of salt leaving the Saltworks was lost. The remaining 10.000 tons were recorded and sold regularly, but everything went through the cash register because the Saltworks' bank account had been blocked since September 2009. From the 10 tons, the profit was around a million euros. To understand how much robbery this was, let me state that the salary fund for 70 employees (2009-2010) was around 6.200 euros, an average of 90 euros each, with a delay of 6 months. We could have lived off that salt for several years. But that's not how others wanted it," says Mitrović.

Due to debts, Solana was left without electricity, water, telephone... back in 2011.

"There was quiet talk that the Solana would be closed and that it was best for us to go home. But the Solana union organized itself and we carried out the harvests in 2011 and 2012. Sales started just when it seemed we were getting back on our feet. We also did the harvest in 2013, sales started again, but only some workers were paid," says Mitrović.

This situation did not last long and in December 2013, the employees went on strike again, which lasted until May 2014.

The 2013 harvest, it turns out, was the last in the long history of the saltworks, which began operating in the XNUMXs.

Mitrović recalls that at that time, workers' representatives were in Podgorica twice and spoke with members of the Committee for Monitoring the Privatization Process and the Committee for Economy and Budget, but without results.

Replacement of four bankruptcy trustees

The workers also filed criminal charges for theft, but nothing came of that either, even though, as they claim, they provided the inspectors with extensive documentation with evidence.

"During the strike in 2014, I proposed that we workers take over the Saltworks for a while because there was over 5.000 tons of salt in stock, but the top of the trade union organization rejected my proposal. They chose for us to go home, or rather to the labor office," says Mitrović.

This is how the workers welcomed 2020 and the August elections.

"The then bankruptcy trustee Žarko Ostojić In the summer of 2020, he places an advertisement for the sale of scrap metal, small inventory, equipment, vehicle fleet, in short, everything that can be taken away from Solana, regardless of the fact that at least 40% of it could be used. As is usually the case, the main help with this sale is a former Solana employee who tells a colleague who asks him to leave at least the gas station on 31st Street, "Solana is no more." Ostojić does not come to Solana and very soon we hear that he has been dismissed because he did not pass some exams. Since then, the bankruptcy administrator, the fourth in a row, Milos Popovic"...And so, life goes on," Mitrović says ironically.

He recalls that since 2015, the National Parks have been leasing the Salt Mine, employing a dozen former workers to work at the pumps, and have been running the Salt Mine ever since.

"There is no production, only birds. There is the NGO sector that admires the beauty of biodiversity, visitors who are surprised at how we are destroying that same beauty, and we former workers who remember how we used to work for our directors and their families. And 20 years of life pass," says Mitrović.

Montesalina offered investments in Solana, institutions remained silent

And former CEO of Solana Dear Gazivoda believes that the introduction of bankruptcy in Solano in 2005 was a wrong step.

"The majority stake in Solana was privatized in 2005 through a mass voucher privatization, when the privatization funds Eurofond and Moneta took over the shares from state funds. In this way, Solana was effectively privatized without a clear development strategy and without the involvement of a strategic partner, which I, as the then executive director, considered unacceptable. For this reason, I resigned from the position of executive director, as well as an employee of the company," Gazivoda told "Vijesti".

He recalled that in May 2005, bankruptcy proceedings were initiated in Solana due to a debt to the company Tranšped Montenegro.

"In my opinion, completely unjustified and to the detriment of the company's further operations," said Gazivoda.

His family also privately owns the company Montesalina, which has repeatedly expressed interest in leasing the Saltworks and renewing production.

"However, despite our willingness to invest and develop this potential, there has been a lack of a clear vision and strategy from the Government, local governments, and relevant state institutions regarding the future of the Saltworks," said Gazivoda.

If you vote in the referendum, don't come to work.

What happened in the company before the referendum, says Mitrović, will remain in his worst memory, even though it had nothing to do with Solana's operations.

"The 2006 referendum was approaching, a big day for Montenegro and all its citizens. Three days before May 21, one of the owners came with a list of 37 names of workers of the Orthodox Saltworks, and in the first place of honor I saw my name and surname. I was called to the director's office where I was briefly told, ''Mitrović, if you vote in the referendum on Sunday, don't come to work on Monday,'' says the interviewee of "Vijesti".