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Court of Appeals of Craiova ordered the opening of the bankruptcy procedure RAAN

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The Court of Appeals of Craiova ordered on Tuesday the opening of the bankruptcy procedure for Romania's National Company for Nuclear Activities (RAAN). 

RAAN sources say the justices have rejected the appeals filed by the official receiver EuroInsol and by the special manager against a 28 January decision of the Mehedinti County Tribunal (which has the territorial jurisdiction over RAAN's heavy water plant) in favour of the bankruptcy request introduced by the creditors' committee. 

The state authorities had obtained in February a temporary stay of RAAN's liquidation, as the municipality of Drobeta Turnu Severin and its district heating service intervened to ask the continuation of household heating by RAAN's Romag Termo subsidiary, and paid 20 million lei to secure this service for more than 30,000 households. 

The RAAN has entered an insolvency procedure in September 2013,on debts over 680 million lei. Since then, 70 million lei accrued. The company's creditors are more than 300 companies, public institutions, local administrations and banks. 

RAAN's industrial subsidiary Romag Prod sits on a stock of heavy water worth over 1.2 billion euros. It has already produced enough heavy water for the expected life of Romania's two operating nuclear power plants of Cernavoda. The future of its 500 employees is still unclear.

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