Transpordi Varahaldus wind-up will send 25 million euros to state

The wind-up of Transpordi Varahaldus, a state-owned company that leased aircraft to Nordica, will transfer 25 million euros to the state budget next year, ERR reported.

The government is expected to authorize infrastructure minister Kuldar Leis in the coming weeks to wind up the company. It made a preliminary decision to liquidate it in July.

The company has sold its seven aircraft and spare parts, has no debts and holds 25 million euros in its bank accounts. Leis said the money will go to the state treasury, and the Finance Ministry will decide how it is used. The funds are not earmarked for a particular purpose.

Transpordi Varahaldus also has claims totalling more than 60 million euros against bankrupt Nordica and its subsidiary Regional Jet. The claims amount to 35.7 million euros against Nordica and 27.5 million euros against Regional Jet.

The claims will remain with Transpordi Varahaldus during its liquidation and then transfer to the state as a non-cash liquidation distribution, Leis said. The Finance Ministry or the Climate Ministry will manage them until the bankruptcy proceedings are concluded. The state does not plan to abandon the claims and will continue trying to collect them.

Leis said the liquidation process could take nine to 12 months, due to the legal steps involved.