Economics

​CHISINAU PRIMARIA CHALLENGES COURT DECISION ON CONFLICT WITH FASTCOMTRANS

04 may, 2016

Chisinau Primaria [city government] has challenged in the Superior Court of Justice the Appeals Chamber decision on the conflict between the capital city authorities and the FastComTrans Company.

According to Primaria, the conflict has been lasting since 2006, when the company has won the tender on conducting repairing of the facade of Mikhail Kotsiubinsky Theoretical Lyceum of Chisinau, which is a national architecture monument. Back then, the Primaria has allocated 100 thousand lei, but the works could not be conducted as there was no project and the contractor should have developed necessary documents on the basis of the provided sum.

Ignoring the Primaria requirements and the absence of necessary documents, the economic agent continued the conducting of repair works, violating thus all the building norms. The violations have been proved as a result of the conducted examinations. The company maintains it conducted the entire volume of works, but it has not been paid.

Later, the FastComTrans addressed to court with the demand to local authorities to pay 9 million lei on the basis of the elaborated budget. After 6 years of court proceedings, the judicial institution has decided to oblige the city administration to pay to the economic agent 3.7 million lei. Primaria regarded this decision as intended blocking of the activity of one of municipal departments.

As a result of the April 21, 2016 decision, issued by the Appeals Chamber, the Department of Capital Building has been declared bankrupt, the fact that prevents its further activity.

According to Primaria, the implementation of over 114 projects on capital building is threatened by this situation. There is a risk for the Chisinau energy security; also, as a result of the court decision the Department employees have not been receiving salaries for many months already.

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