The process of reaching a settlement under the extraordinary administration procedure of Agrokor is one of the most complex in Croatia and in Europe due to the complexities of Agrokor as a business and the total amount of the debt as well as the large number of creditors, 5.700 of them. This section contains all the news on the process of reaching of a settlement for all the key stakeholders, as well as the latest details and developments.
Letters to Supervisory Boards of Jamnica and Mercator
24. Aug 2018.
Fabris Peruško is looking to raise the standard of corporate management in Agrokor Group and suggests management changes
Fabris Peruško, Extraordinary Commissioner for Agrokor has sent letters today to the Supervisory Board of Jamnica d.d. and to members of the Supervisory Boards of Poslovni sistem Mercator d.d. in order to inform them of important facts that should result in management changess in these two companies owned by Agrokor d.d..
The Extraordinary Commissioner suggested to the Supervisory Board of Jamnica d.d. that in the company’s interest they should consider a decision to recall Mr. Mislav Galić as CEO and Member of the Management Board in Jamnica and appoint Mr. Dario Šalić as CEO of Jamnica. The proposition for the recall of Mr. Galić is, among other things, supported by facts that Mr. Galić was part of the former Management Board of Agrokor which had caused the initiation of the Extraordinary Management proceedings and that he is the subject of a criminal proceeding which is causing harm to Jamnica’s business reputation and also limits Mr. Galić in his work performance.
In his explanation of the proposition to the Supervisory Board of Jamnica Fabris Peruško wrote: “It was expected that all persons who were part of the former Management of Agrokor d.d. which was led to a state that was not viable, as the ones responsible, would resign the managing positions in Agrokor’s dependent and affiliated companies as well, but this unfortunately did not occur in this specific case. Regarding Mr. Galić and considering the circumstance that there is an ongoing criminal proceeding against him, this is additionally hurting Jamnica’s business reputation because it is unusual for a company to be represented by a person that is under criminal proceeding indirectly related to his current function. For that matter, it is my opinion that the presumption of innocence principle normally applied in criminal proceedings, cannot exonerate Mr. Galić for his current situation which, without a doubt and unnecessarily, burdens Jamnica. For the above mentioned reasons and after an adequate substitution for the CEO of Jamnica was found, I think that it is in Jamnica’s best interest to reach a decision to recall the appointment of Mr. Galić.”
The Supervisory Board of Jamnica will consider the Extraordinary Commissioner’s proposition in its next session.
In another letter related to corporate governance standards that was sent today by Agrokor’s Extraordinary Administration, one addressed to CEO of Mercator d.d. Tomislav Čizmić and also informing the Members of the Supervisory Board of Mercator, the Extraordinary Commissioner for Agrokor informs Mr. Čizmić of suspicions on the irregularities and illegalities in the work of previous Management of certain companies under the Extraordinary Administration that are also related to Mr. Dražen Kocijan, currently a Manager in Mercator. Extraordinary Commissioner informed Mercator’s CEO and Members of the Supervisory Board that Mr. Dražen Kocijan, previously the CEO of Tisak d.d. from Zagreb, as the person responsible for that company, potentially caused severe damage to the company with his negligent work based on which there is doubt that this person’s actions have the characteristics of criminal offense prosecuted ex officio.”
Extraordinary Commissioner invited the CEO of Poslovni sistem Mercator d.d. to preserve the principles of corporate ethics and business on a high level and, taking into account the facts from the letter that was sent to him, to undertake all necessary actions to maintain or achieve that goal.
On this occasion Fabris Peruško said:” Successful restructuring of Agrokor requires increasing the quality of corporate governance as well as raising professional and ethical corporate standards in all Agrokor companies to a higher level. Each of us as a manager is responsible for their own decisions and actions. I expect from management of companies in Agrokor system to take on this responsibility in full, both as individuals and as part of managing bodies of the companies.”