News

The Court declared the cram-down illegal and ordered Zanon be declared bankrupt

Chamber E of the Appeals Court decided to annul the “cram-down” procedure due to its illegality. The sentence says “it is clear that the cram-down procedure initiated by the judge is inapplicable, and therefore lacks legal support.”

In February this year a post-insolvency creditor had requested the bankruptcy of Zanon. The judge should have then pronounced bankruptcy without any further proceedings, but he initiated the cram-down procedure, opening the way for a vulture fund or the Zanon family to make an offer to buy the factory. A ghost company owned by Zanon’s wife, “Ocabamba SA”, registered in this procedure.

The workers of Zanon have said since the first day that the cram-down was a legal ploy to end workers’ management and the 473 jobs at the factory. We denounced it both in struggle and in the court. The Appeals Court agreed with us.

Now the judge has to annul the entire procedure and declare the factory bankrupt: “The ruling is revoked, the judge must act accordingly.”

With the declaration of bankruptcy there are no longer any excuses for not recognizing the workers’ management of the factory by the FaSinPat cooperative. This recognition is not a definitive solution but it is a large step forward in improving working conditions, increasing production and creating new jobs. For these reasons we do not rule out the possibility of new maneuvering by the courts and those in power. We call on the community to be alert and ready, to demand recognition of the workers’ management of the factory and to support us in the struggle for the expropriation and nationalization without payment under workers’ control, in order to continue with the factory at the service of the community.

Everyone to the march on Thursday the 7th at 11:00am at the San Martín monument.

ZANON BELONGS TO THE PEOPLE – SUPPORT THE WORKERS

Translation by Shana Yael Shubs