The builder of COPA Center on Národní třída is in insolvency proceedings

Prague - Jiří Zeman, the owner of former stalls in Prague near the Národní třída metro station, has filed an insolvency petition against the company COPA Centrum Národní, which is building a multifunctional center around the metro. The Municipal Court in Prague has initiated insolvency proceedings today. The developer allegedly owes Zeman 27.7 million crowns. COPA Centrum Národní considers the insolvency petition to be unjustified.
    "The insolvency petition filed by Mr. Jiří Zeman has no justification for a number of reasons. Mr. Zeman is not a creditor of the company Copa Centrum Národní, we do not owe him anything, nor does he have any legitimate claim," said the developer's spokesperson Karin Cífková to ČTK. "We are surprised that the court is dealing with unsubstantiated petitions and we will certainly defend ourselves," added co-owner of the developer Sebastian Pawlovski.
    During the insolvency proceedings, the debtor can only manage their assets in a very limited way. For example, they are not allowed to take any steps that would significantly change the nature, use, or visibly reduce their assets. The creditors of the debtor can assert their claims in court from the start of the insolvency proceedings.
    A multifunctional building is being constructed above the Národní třída metro station for approximately four billion crowns. It will include apartments, offices, shopping arcades, and parking for 250 cars. At the same time, the entire metro station should be renovated. However, the transport company is still unsure whether the insolvency proceedings will affect the station's renovation. "We will initiate talks with the Copa center to clarify what this will mean," said the spokesperson for the transport company, Ondřej Pečený, to ČTK.
    Entrepreneurs and experts previously stated in a ČTK poll that the phenomenon of filing insolvency petitions over small overdue debts has become a problem for the Czech market. The publication of the petition in the insolvency register, according to them, tarnishes the company's good name and could trigger a chain reaction.
    According to the weekly Ekonom.cz, the claims mentioned in the petition registered with the Municipal Court in Prague arose in June of last year when Copa Centrum performed a demolition and completely destroyed the commercial pavilion that belonged to Zeman. Tenants of the pavilion, who are other creditors of the company Copa Centrum Národní, were also reportedly harmed.
    The petition mentions Inženýring dopravních staveb, the ground construction division of Skansky, the National Heritage Institute, and two other companies operating under the Trade Licensing Act. Their claims total nearly 84 million crowns.
    Copa Centrum Národní reported a loss of 29 million crowns for 2008, according to data in the collection of documents, reported the server Ekonom.cz.