Asia/Pacific News
Court Ruling Sees Bunker Supplier Force Tanker Company into Restructuring
A Chinese court has accepted a restructuring case against shipping company Nanjing Tanker based on a request by bunker supplier Tianjin Huifeng Energy Development Co. (Huifeng Energy), Chinese shipping news site SinoShip News reports.
Huifeng Energy said Nanjing Tanker was unable to pay RMB19.45 million ($3.13 million) in bunkering fees, and the tanker operator reported a total liability of RMB15.77 billion ($2.54 billion) as of the end of 2013.
The court will chose a manager for the restructuring process.
Nanjing Tanker, a subsidiary of Sinotrans & CSC, has faced conflict with its shareholders, and General Manager Li Wanjin said it stopped paying interest to banks this March because of its financial distress, according to a previous SinoShip News report.
The company has promised 17 ships to various creditors and banks to offset some of its debt.