Brazilian state bank requests the intervention of justice in the case of Odebrecht

The Caixa Federal Economic Bank, asked for justice in the case of Odebrecht, who has been involved in scandals in illegal acts, which is why the financial institution has requested to comply with the law to restructure its millionaire debt. Caixa also asked the judge in charge of the case “the removal of the current administrators” and the convening of a general meeting of creditors to elect “new managers”.

As stated in the resource of the Caixa Económica to which the Efe news agency had access, it is known that the companies of the Odebrecht group that covered the bankruptcy law “were unable to evolve minimally in the negotiations with their creditors, even to propose a basic payment method”

This Brazilian conglomerate accumulates a debt close to 100,000 million reais (the equivalent of 24.5 billion dollars at the current exchange rate) and what is even more serious is that “in addition to not having what a real recovery plan should have, it is full of illegalities, with generic authorizations, forecast of suppression of guarantees and differentiated treatment of creditors”, as specified in the document.

Given these accusations, Odebrecht said in a statement that “it is natural in any judicial recovery process that creditors raise issues at various stages of the process.”

“It is a mere formality, or legal strategy without immediate consequences on the normal development” of the bankruptcy, one of the largest in the history of Brazil and that “is only in the initial phase … Odebrecht is in the process of constructive negotiation with its main creditors and is confident that its recovery plan will be approved for the preservation of its more than 40,000 jobs” said the Brazilian business conglomerate.

K.Villarroel

Source: diariolibre