The Slovak government wants to create a fund to help companies that have not been paid for their work on public orders. Prime Minister Robert Fico announced the government’s decision following revelations that the contractor Váhostav will pay its suppliers just 15 percent (€15.7m) of their claims. The construction giant, which is building motorways in Slovakia for the state, applied for protection against creditors in autumn 2014. The company hoped that writing off part of its debts would protect it from bankruptcy. Váhostav is currently in restructuring, but Fico says the company’s management is suspected of criminal conduct, and the government will support investigations into the matter. He also suggested that companies that are in the restructuring process should not be allowed to participate in public tenders. He also believes companies should only have to pay VAT on invoices that have been paid.
