A South Korean court has frozen the assets and liabilities of Daewoo Motor Co. Tuesday (14/11/00), say same-day Foxmarketwire reports. According to the newswire, the court also barred the motor manufacturer from either recruiting new staff or obtaining fresh loans although Daewoo will continue to pay utilities, taxes and wages.
The company – which reportedly has debts totalling $10 billion – was declared
bankrupt by creditors last week after Daewoo`s labour union rejected management
restructuring plans which would have resulted in the company shedding 18 per
cent of its 18,000 workforce.
The auto-maker filed for receivership at a district court in Inchon on Friday