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Oil Refiners Demand Their Debt from the State

July 26, 2007

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Workers and employees of the Batumi Oil-Refining Factory demand the state to fulfill the promise made to them ten years ago. The state started the construction of cooperative residential building in 1988. Although 54 families had paid the money for their future flats by 1991, the construction did not exceed the basement. The government admits that the debt to those families is the “inner debt of the county”; however they have not worked on the mechanisms to compensate the damaged families.

Former employees of the Batumi Oil-Refining Factory said that Oil-refining Factory established Cooperation (#54), “Menavtobe” in 1998. “We had to pay the 25% of the price in advance and then we were to cover the whole sum within 20 years. Despite that, all future inhabitants paid the money before 1991. The state is not going to finish the construction. We cannot build our flats either because of lack of funds. Anyway they do not let us to carry out constructing activities. They say that the factory was transferred to the state and we are doomed to unemployment. Thus we demand the government to pay our debts immediately and compensate our damage.”

Members of the “Menavtobe” applied to the Human Rights Center (HRIDC) for help. The employees of the factory demand the state to support them. “Unless the government exercises its responsibilities, they will be considered to be our robbers. Should not we trust the government? We demand the authority not to make us sue urgent measures,” said Zurab Bestaev.

Former Director-General of the Oil-Refining Factory, Gocha Mchedlishvili said that the construction did not have any connections with the factory.  “Although the flats were being constructed for factory employees and they were members of the Cooperation, the construction was not funded by the factory. Nobody has informed us about the situation. At the moment the land is transferred to the state and the government might have already sold it out.”

Members of the “Menavtobe” produce the cooperation seal and resolution of the City Administration that definitely state that the Cooperation was set up on the base of Oil-Refining Factory,

Officials from the Adjara Ministry of Finances and Economics said that the Georgian Ministry of Finances is responsible for the inner debts of the country. However, the representatives of the Public Relations Service Office within the Ministry of Finances said that the case is still under consideration. “The commission for investigating the inner debts of the country has been set up within the Ministry and the Minister of Finances is the chairman of the commission. It will draw up special recommendations and introduce them to the Georgian Parliament for further discussion. According to the Georgian Law on State Debt, the inner debt maintains ten categories, responsibilities for the cooperative residential constructions is among them. As soon as the amount of the “historical debt” is estimated, the commission will create the mechanisms for its reimbursement.”

Makvala Kilasonia, the head of the “Menavtobe”, said that the government is indifferent to its responsibilities regarding debtors. “We must find out whether we are the citizens of this country or not. In 1989 the government apportioned our money to families damaged by natural disaster in the Western Georgia. Afterwards, the process prolonged. They did not even let us to sell the territory of the construction. Officials from the City Hall told us they would not register us as Residential Community. Gela Makharadze, the head of the Legal Department, said that the debt must be reimbursed by central government.”

Haidar Tsenteradze, one of the members of the “Menavtobe”, said that the government does not care about people. “If we were the debtors of the state, they would have immediately forced out us from the territory and deprive us from everything. But now they have debts and do not care about it at all. In 1988 I transferred more than 5 thousand maneti on the account. It was quite a large sum at that time. Now I am a pensioner and I am renting a humble house because I am homeless.”

Shareholders of the “Menavtobe” are ready to sell out the territory of the construction in order to reimburse at least small part of their expense. However, the City Hall does not allow them to. “We are obliged to appeal to the court but it has no sense unless we apply to the Strasburg Court.”

Bakur Bolkvadze, lawyer for the Human Rights Center, said that in this particular case the human rights are blatantly violated. “These people paid the total sum for the construction 16 years ago though they do not have any accommodations yet. It is evident that the rights of these people are violated. Although the Georgian Ministry of Finances considers it is the inner debt of the country, they have not prepared legal grounds and perspectives of the debt reimbursement.  The Georgian Parliament should enact the law that will regulate the reimbursement of similar inner debts; however it has been impossible for ten years already. The lawful demands of the employees of the Oil-refining Factory are not satisfied yet.”

Emzar Diasamidze, Batumi

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