Welcome to FIS   Sponsored By
Subscribe to FIS | Register with FIS | Advertise with FIS | Newsletter | About FIS | Contact us
   


Manuel Fernández de Sousa leaving the courts

Pescanova's former executives tried for falsification of accounts

Click on the flag for more information about Spain SPAIN
Tuesday, December 03, 2019, 05:30 (GMT + 9)

The top managers of Pescanova between 2009 and 2013 are sitting in the dock almost seven years after the bankruptcy of the company. The process, which now reaches its climax, will analyze how its accounts were made up to keep an industrial "giant" beset by debt afloat.

The trial starts Monday in Madrid and is scheduled to last until March, four months during which the 19 defendants and numerous witnesses and experts will pass through the headquarters of the National Court in San Fernando de Henares.



At the head of all of them will be the former president of the Pescanova group, Manuel Fernández de Sousa, whom the prosecutor considers the leader of a network aimed at hiding the group's millionaire debt and thus deceiving investors, creditors and regulatory bodies.

Accused of eight crimes, the prosecution claims a total of 32 years in prison. Fernández de Sousa has seen how the case also splashes his wife and two sons, since in a separate case the National Court has decided to open an oral trial against them for money laundering and against the Public Treasury. Among the defendants is also former CEO Alfonso Paz Andrade,  the entire leadership of the Vigo-based company, as well as the auditor of the company, BDO.

Paz-Andrade, who directed Pescanova until 2007, told FIS at the time that he did not agree with the direction taken by Pescanova management, then directed by Fernández, mentioning in particular, multi-million dollar investments in farms in Portugal and Central America. This situation led him to resign from his position and distance himself from the company to focus on other projects.

On the other hand, he also clarified that since it was not, since 2007, CEO of Pescanova the decisions and control of the company was totally out of his responsibility. Finally, he said that, as of 2007, he relied on the accounts of the external auditor of Pescanova, BDO, who did not inform the shareholders of any irregularity in the company's accounts at that time.

According to the prosecutor's documint, to which EFE has had access, the “descent into hell” of Pescanova starts in 2007 with an ambitious investment plan aimed at expanding its aquaculture business, especially in Ecuador, Central America, the Southern Cone, Galicia and Portugal. With an estimated disbursement of EUR 833 million, the company initially financed this expense through loans granted by its parent companies to different companies that were part of the same group.

Pescanova Stock Price Feb-Mar-April 2013 | Source. Cinco Dias/El País

From 2010, coinciding with the outbreak of the crisis, the lack of resources forced the company to decide to resort more to bank financing, and then bet on “alternative financing mechanisms with short-term maturity”, in a vicious circle that kept on increasing its debt. To hide the sensitivity of their situation, according to the prosecutor's investigation, Pescanova executives commanded by their president executed "irregular business practices." The volume of its debt in 2010 and 2011 was between three and almost four times higher than stated, according to the documentation. The 2012 accounts, which were not approved, also pointed to an alleged benefit of EUR 36.6 million, far from the EUR 791 million of losses it carried.

The house of cards eventually collapsed in March 2013, when in a meeting of the Board of Directors two of its members revealed that Fernández de Sousa had summoned them days before to recognize the "delicate situation" of the company and urged them to contribute EUR 50 million.

The firm then initiated pre-bankruptcy proceedings and the CNMV decided to suspend the contribution shares, a situation in which it remained for more than four years. The restructuring of the company was closed in 2015 with its split into two parts: the productive part was under the control of the creditor bank, grouped in Nueva Pescanova, while the “Old” continues as a holding company in the hands of minorities.

The process will also sit in the dock the auditor during those years, BDO, since the prosecutor believes that its partner Santiago Sañé gave his approval to the accounts despite "being aware" that they "could not reflect the true economic and patrimonial situation" of the company.


Source: ABC

[email protected]
www.fis.com


 Print


Click to know how to advertise in FIS
MORE NEWS
France
Jan 20, 00:00 (GMT + 9):
Novacyt signs agreement with French group for distribution of molecular diagnostic products for aquaculture
Chile
Jan 20, 00:00 (GMT + 9):
AquaChile sends salmon to Miami in exclusive cargo flight of a Boeing 747
Chile
Jan 17, 20:00 (GMT + 9):
Salmones Multiexport secures USD 250 million loan
Netherlands
Jan 17, 19:40 (GMT + 9):
Nutreco partners with cell-based protein companies
United States
Jan 17, 18:00 (GMT + 9):
BSAI Pacific Cod DAP catch weekly count
Ghana
Jan 17, 12:50 (GMT + 9):
Chinese trawler fails to pay USD 1 million fine
Ukraine
Jan 17, 12:10 (GMT + 9):
Production of frozen sea fish grows almost 20% in Jan-Nov 2019
China
Jan 17, 00:00 (GMT + 9):
Import and export statistics of crab products
China
Jan 17, 00:00 (GMT + 9):
Import and export of fish eggs
United States
Jan 17, 00:00 (GMT + 9):
Frozen Pacific cod exports
United States
Jan 17, 00:00 (GMT + 9):
Fisheries management is actually working, global analysis shows
United States
Jan 17, 00:00 (GMT + 9):
Fortune acquires Seattle Fish Co. business in Kansas City
Seychelles
Jan 17, 00:00 (GMT + 9):
Seychelles seeks to improve implementation of economic partnership with EU, African states
Norway
Jan 16, 18:50 (GMT + 9):
Mowi ASA (OSE:MOWI): Q4 2019 Trading update
Canada
Jan 16, 14:00 (GMT + 9):
Clearwater Seafoods and Quin-Sea Fisheries form JV



Lenguaje
FEATURED EVENTS
  
TOP STORIES
Import-Export statistics 2018-2019
Russia Fed.   Click to enlarge it [email protected] www.fis.com...
Fisheries management is actually working, global analysis shows
United States Nearly half of the fish caught worldwide are from stocks that are scientifically monitored and, on average, are increasing in abundance. Effective management appears to be the main reason these stocks...
IMARPE concludes fishery-biological survey of anchovy
Peru The results of the operation will allow the Ministry of Production (PRODUCE) to take measures to order the said fishing resource. In order to determine the distribution and biological-fishery aspec...
Second anchovy fishing season finishes in north-central zone with only 36% of quota caught
Peru • To date, 1 002 388 tons of anchovy have been unloaded, equivalent to 35.98% of the allocated quota • The amount of juveniles reported with respect to the total captured is 6.47% • I...
 
Maruha Nichiro Corporation
Nichirei Corporation - Headquarters
Pesquera El Golfo S.A.
Ventisqueros - Productos del Mar Ventisqueros S.A
Wärtsilä Corporation - Wartsila Group Headquarters
ITOCHU Corporation -Headquarter-
BAADER - Nordischer Maschinenbau Rud. Baader GmbH+Co.KG (Head Office)
Inmarsat plc - Global Headquarters
Marks & Spencer
Tesco PLC (Supermarket) - Headquarters
Sea Harvest Corporation (PTY) Ltd. - Group Headquarters
I&J - Irvin & Johnson Holding Company (Pty) Ltd.
AquaChile S.A. - Group Headquarters
Pesquera San Jose S.A.
Nutreco N.V. - Head Office
CNFC China National Fisheries Corporation - Group Headquarters
W. van der Zwan & Zn. B.V.
SMMI - Sunderland Marine Mutual Insurance Co., Ltd. - Headquarters
Icicle Seafoods, Inc
Starkist Seafood Co. - Headquearters
Trident Seafoods Corp.
American Seafoods Group LLC - Head Office
Marel - Group Headquarters
SalMar ASA - Group Headquarters
Sajo Industries Co., Ltd
Hansung Enterprise Co.,Ltd.
BIM - Irish Sea Fisheries Board (An Bord Iascaigh Mhara)
CEFAS - Centre for Environment, Fisheries & Aquaculture Science
COPEINCA ASA - Corporacion Pesquera Inca S.A.C.
Chun Cheng Fishery Enterprise Pte Ltd.
VASEP - Vietnam Association of Seafood Exporters & Producers
Gomes da Costa
Furuno Electric Co., Ltd. (Headquarters)
NISSUI - Nippon Suisan Kaisha, Ltd. - Group Headquarters
FAO - Food and Agriculture Organization - Fisheries and Aquaculture Department (Headquarter)
Hagoromo Foods Co., Ltd.
Koden Electronics Co., Ltd. (Headquarters)
A.P. Møller - Maersk A/S - Headquarters
BVQI - Bureau Veritas Quality International (Head Office)
UPS - United Parcel Service, Inc. - Headquarters
Brim Ltd (formerly HB Grandi Ltd) - Headquarters
Hamburg Süd Group - (Headquearters)
Armadora Pereira S.A. - Group Headquarters
NOAA - National Oceanic and Atmospheric Administration (Headquarters)
Mowi ASA (formerly Marine Harvest ASA) - Headquarters
Marubeni Europe Plc -UK-
Findus Ltd
Icom Inc. (Headquarter)
WWF Centroamerica
Oceana Group Limited
The David and Lucile Packard Foundation
Ajinomoto Co., Inc. - Headquarters
Friosur S.A. - Headquarters
Cargill, Incorporated - Global Headquarters
Benihana Inc.
Leardini Pescados Ltda
CJ Corporation  - Group Headquarters
Greenpeace International - The Netherlands | Headquarters
David Suzuki Foundation
Fisheries and Oceans Canada -Communications Branch-
Mitsui & Co.,Ltd - Headquarters
NOREBO Group (former Ocean Trawlers Group)
Natori Co., Ltd.
Carrefour Supermarket - Headquarters
FedEx Corporation - Headquarters
Cooke Inc. - Group Headquarters
AKBM - Aker BioMarine ASA
Seafood Choices Alliance -Headquarter-
Austevoll Seafood ASA
Walmart / Wal-Mart Stores, Inc. (Supermarket) -Headquarter-
New Japan Radio Co.Ltd (JRC) -Head Office-
Gulfstream JSC
Marine Stewardship Council - MSC Worldwide Headquarters
Royal Dutch Shell plc (Headquarter)
Genki Sushi Co.,Ltd -Headquarter-
Iceland Pelagic ehf
AXA Assistance Argentina S.A.
Caterpillar Inc. - Headquarters
Tiger Brands Limited
SeaChoice
National Geographic Society
AmazonFresh, LLC - AmazonFresh

Copyright 1995 - 2020 Fish Info & Services Co.Ltd| All Rights Reserved.   DISCLAIMER