President Saakashvili pledged support to the Rustavi 2 broadcasting company, which has announced last week that is unable to pay its current debt of roughly USD 4.8 million.
“We will not make any TV company bankrupt irrespective of the amount they owe [to the state],” President Saakashvili said on June 17.
Founder and owner of the Rustavi 2 television station, Erosi Kitsmarishvili, who also chairs the Georgian Chamber of Commerce and Industry, is a close ally of President Saakashvili. He appealed the court on June 8 with a request to open bankruptcy proceedings over the Rustavi 2 case.
The Rustavi 2 company says it only has 3.8 million Lari (approximately USD 1.9 million) and is unable to pay its current debt of 9.2 million Lari (approximately USD 4.8 million), including the debt to the state budget of 4.6 million Lari.
According to the court’s ruling, the sitting of the Rustavi 2’s creditors is convened for June 28.
According to the Law of Georgia in Bankruptcy Proceedings, in the case of non-agreement with creditors over repayment of debt, the company will be declared bankrupt and its property will be sold.