In 2014, the micro-credit company "Fondi Besa", owned by entrepreneur Bajram Muçaj, aimed to expand into the Albanian market, by creating a subsidiary company "Besa Agro Invest", with the aim of investing in the agricultural field.
With a capital of around 5 million euros, Muçaj's "Besa Agro Invest" hoped to increase its financial portfolio. But, less than a decade after starting its activity, the commercial entity found itself in difficult financial conditions. In 2023, the main shareholder, "Fondi Besa", now with the changed name "Albania Besa Capital-ABC", seeks the bankruptcy of the "daughter" company.
The bankruptcy proceedings began in 2023, when Bajram Muçaj's company submitted the relevant request to the Tirana Court.
Judge Antonela Prendi, with the decision dated March 4, 2024, ordered the initiation of the bankruptcy procedure for "Besa Agro Invest".
According to documents obtained by "Boldnews.al", it turns out that Bajram Muçaj's agricultural company has liabilities of around 3 million euros and is unable to pay them.
The failure of “Besa Agro Invest”
The capital of the company “Besa Agro Invest” is 485,000,000 new lek. The sole partner of the company “Besa Agro Invest” sh.pk is the “Albanian Besa Capital” foundation, which owns 100% of the shares.
The company "Besa Agro Invest" sh.pk, in the position of the debtor entity, has approached the court to open bankruptcy proceedings.
Before the court, the entity "Besa Agro Invest" submitted that "...in recent years, the company has faced financial difficulties, caused by the deterioration of the liquidity situation, as a result of the decline in sales."
Excerpt from the court decision declaring bankruptcy for “Besa Agro Invest”
Referring to the insolvency report, “it results that the amount of liabilities that the company has towards third parties is 288,967,508 new lekë”. According to the distribution plan, these debts consist of; (1) the liability towards the Municipality of Krujë, 5,016,878 new lekë; (2) the liability towards the Ministry of Agriculture and Rural Development, 281,055,127 new lekë; and (3) the liability towards suppliers, 2,895,503 new lekë.
"Besa Agro Invest" has submitted to the Tirana court that "the company has matured obligations and insolvency, a fact that dictates the need for the liquidation of assets and distribution of income, through bankruptcy proceedings."
Question marks over bankruptcy
Bankruptcy proceedings, in general, are associated with suspicion of the risk of fraud or fictitious actions, to the detriment of creditors. For this reason, the 2016 Law “On Bankruptcy” is permeated by the spirit of suspicion and requires the relevant authorities to keep in mind the best interest of debtors, that is, those who may lose financially from the bankruptcy of a commercial entity.
These legal principles were also mentioned in the decision of the Tirana Court to initiate bankruptcy proceedings for "Besa Agro Invest".
Judge Prendi emphasizes in the March 2024 decision that "...this procedure (bankruptcy) aims to collectively settle the debtor's obligations through the distribution of income that can be obtained from the sale of his assets or reaching an agreement for the reorganization of the activity."
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