Pettai's company files 730,000€ action against Center Party (1)
The Center Party has been served with an action, submitted with regard to letters of gurantee issued to Paavo Pettai, involving a claim of 730,000 euros. The Estonian political party on its part has stated that there are no grounds for this claim.
"A statement of claim has been received from OÜ Midfield; the claim is for 730,000," confirmed Center Party Secretary General Oudekki Loone to ERR's radio news, adding that the party found that this claim was unjustified and would be contested.
It was revealed today that Harju County Court had placed the property of the Center Party's main office on Toompea Hill under a mortgage due to the letters of guarantee issued to Pettai's company OÜ Midfield. Pettai had filed the action in July already.
If the courts accept OÜ Midfield's claim against the Center Party, the party's offices will be put up for sale and profits from their sale will cover the debt owed to Midfield.
Asked how great the risk is, that the Center Party will be left without their house on Toompea Hill, Loone replied that she did not currently see a great risk of this happening.
"We definitely believe that this is unjustified," confirmed Loone. "We will also definitely be submitting an appeal regarding the mortgage taken out in order to ensure the action."
The party secretary general also added that the mortgages that have been taken out are not related to a single ruling. "These have been [taken out] only to ensure the action in the disputes to come in arbitration court, which have yet to begin.