Issue link: https://maltatoday.uberflip.com/i/1395902
maltatoday | SUNDAY • 25 JULY 2021 NEWS CONTINUED FROM PAGE 1 The Debono Group, a 20% shareholder in TXF Tech, en- tered into constitutions of debt with TXF tech and affiliated companies TXF Tunisia and TXF Cyprus in September 2020: through these instruments, TXF Tech constituted itself as a debt- or of Debono's company for the sum of €1,615,285; TXF Tunisia and TXF Cyprus also constitut- ed themselves as debtors to the tune of €195,518 and €50,743 re- spectively. The constitutions of debt were rendered executable by a judicial letter sent on 14 October 2020 and on 6 November, a garnishee for €1,615,285 was put into place after the relevant request was upheld by the court. This pro- cess was replicated with regards to the other debtors registered in Malta, TXF Tunisia. Now Debono Group has in- formed the court that despite the agreement being rendered executive and the passage of 24 weeks since the execution of the executive title, the debt remains unpaid. It pointed out that on 8 July it received the "miserable sum (especially in the context of the larger debt owed by Debono of over a million, six hundred thou- sand euros) of €195,518." Because of the pending debts owed by TXF and Bolt, Debono engaged in discussions with the operator over several months, where during these discussions, Debono would receive many promises of payment, exhibiting a letter from Jacob Frank Appell for TXF Tech Ltd and Nikita Ut- kins for Bolt OU – Bolt's found- ing Estonian parent company – assuring them that the debt would be paid. Today, the creditor company said, with the benefit of hind- sight, it could see that the prom- ises were "empty and fraudulent" and intended only to convince Debono not to take judicial ac- tion, whilst allowing the compa- nies to continue operating un- hindered. "Today it is clear that the fi- nancing of the company could only have happened with mon- ies belonging to the creditors of TXF Tech, including Debono. "Despite Bolt's operations ap- pearing, at least in the streets of Malta, to be going swimmingly, the money owed to Debono has not been paid. It is difficult for one to understand how a com- pany which is legally insolvent is still operating with an evidently strong presence in the local mar- ket. "It is also difficult to under- stand where the money and profits generated by the oper- ation are going, the manner in which employees are being paid and the manner in which mon- ies and payments owed between TXF Tech and affiliated compa- nies… are being made without the transfers being stuck un- der the garnishee orders men- tioned." The plaintiff also rued that it was hard to understand how, despite the strength of the local operation, Debono's credit re- mained unpaid. Besides this, TXF Tech and TXF Tunisia had failed to pres- ent their financial statements and audited accounts as required by law, claimed Debono. Debono Group's lawyers Mal- com Falzon and Jasmine Abela requested that a provisional ad- ministrator be appointed by the court, together with the court's declaration that the defendant company is unable to meet its financial commitments. The lawyers also requested that the court order the dissolu- tion and winding up of the both TXF Tech Ltd and TXF Tunisia Holding Ltd. 'Difficult how company which is legally insolvent still operating with strong presence'