The Insolvency Administration of Tubos Reunidos has released a report in which it proposes that the group’s insolvency proceedings be considered “fortuitous,” as it does not see any grounds for declaring it “culpable.”
If the Vitoria-Gasteiz Court of First Instance (Court number 7) confirms this proposal, it will be understood that the company’s state of insolvency is due to market factors or bad luck, and not to “fraudulent, intentional or seriously negligent” management.
In that scenario, the administrators would be exempt from having to respond with their personal assets for the unpaid debts of the company, and they would not be subject to bans on running other companies nor would they lose the collection rights they might hold.
As Tubos Reunidos states on its website, after analyzing the background and the most relevant facts, and following a detailed study, the Insolvency Administration has prepared a reasoned report supported by documentation. In it, it proposes to classify as “fortuitous” both the insolvency proceedings of Tubos Reunidos, S.A. and the other two insolvency proceedings affecting the rest of the companies in the Group, since none of the circumstances that would allow them to be classified as culpable are present.
The insolvency administrator has examined the accounting records and the decisions made in the two years prior to the declaration of the insolvency, without finding any misappropriation of assets or the simulation of a false balance-sheet situation; nor any serious irregularities in the accounting or double bookkeeping; nor any relevant inaccuracies in the documentation submitted to the court; nor a deliberate and manifest delay in filing the insolvency proceedings in order to aggravate the crisis.
Within the framework of Spanish insolvency law, the classification as “fortuitous” means that the administrators are free from legal and economic liability, since it is understood that the closure or bankruptcy responds to a business risk linked to the economic context and not to a “trap or a serious business oversight.”