Zsolnay’s inventory seizure deemed illegal
A Hungarian prosecutor voided the inventory seizure of porcelain maker Zsolnay by tax authorities, daily newspaper Népszava reported today, according to Hungarian News Agency MTI.
Zsolnay house in Pécsʼs Zsolnay Cultural Quarter. (Photo: Pixabay/Anna Armbrust)
The southwest criminal directorate of the National Tax and Customs Office (NAV) made the seizure based on suspected tax fraud. The action was later invalidated by Szekszárd District Prosecutor, Éva Kardos, who was quoted as saying in Népszava’s issue today that she ruled it illegal and unwarranted, according to MTI.
The city council of Pécs, the minority owner of historic porcelain manufacturer Zsolnay, is suing the firm for HUF 300 million, making the claim that the majority owner inflated the value of a real estate holding that was transferred to the company in 2014, lawyer for the city Ivan Szabo told MTI on Monday.
The Pécs city council placed a lien on Zsolnay’s bank account last week, at the same time that the registration of Ledina Kerámia, a firm established by the city council to take over operations, was temporarily suspended by Zsolnay’s request.
Around 130 employees departed from Zsolnay en masse for work at Ledina Kerámia in early June, amidst concerns over the firm’s potential liquidation.
Zsolnay majority owner, Syrian businessman Bachar Najari, said in a June 14 press conference that the company has “come under attack by a group lobbying to take over business” in EU-supported building renovations.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.