Angolan textile factories return to state ownership

22 August 2019

The former África Têctil factory, managed by Alassola, Indústria Têxtil de Benguela since 2014, on Wednesday returned to Angolan state ownership through the Institute of Public Asset Management (IGAP), the Angolan press reported.

The return to state ownership is the result of an injunction proposed by the Attorney General’s Office and accepted by the court.

IGAP Chairman Valter Barros, who received the factory’s assets on behalf of the state, said that an executive director of the plant had already been appointed by the government, whose mission is to ensure its protection and keep it running until a final court decision.

“Alassola, as an interested party and at its discretion, can appeal this court-ordered seizure decision,” he said, adding that the joint management period (government administration and former manager Alassola) is a matter that is dependent on the court’s decisions.

Textile factories built with public funds that are the focus of foreclosure proceedings by the Attorney General’s Office in Luanda, Benguela and Kwanza Norte provinces began to be formally handed over to the state on Tuesday.

The formal delivery process began with the Textang II unit (Luanda) and should culminate on Friday with Satec, located in Dondo village, Kwanza Norte province.

The Attorney General’s Office last June moved ahead with the seizure of these units, due to irregularities in the privatisation process and the breach by the new owners of the contractual clauses, particularly in terms of finances.

At the time, the director of the PGR Asset Recovery Service, Eduarda Rodrigues, said the process, that has now been triggered, made perfect sense, as the state was the only one to bear the costs.

“They benefited from a credit line, with a sovereign guarantee and never paid this debt, and the entity making the monthly payments to the international bank was the Angolan state,” she said, noting that the issue had been under discussion for over a year, without a solution.(Macauhub)