Clear Leisure updates market on latest in Mediapolis litigation

Clear Leisure announced on Thursday that, following increasing legal pressure being put upon the receiver in charge of the Mediapolis bankruptcy and in order for Clear Leisure 2017 Ltd (CL2017) to obtain the proceeds due from the sale of the Mediapolis land, the auctioneer has now proposed to the Ivrea Court to allocate the total of €1.94m to Fallimento Mediapolis Srl.

The AIM-traded firm said Fallimento Mediapolis Srl was the new legal name of Mediapolis Srl, following the bankruptcy procedure.

It said the Mediapolis land was sold at auction in July last year for €1.96m, and it had been transferred to the purchaser of the land by the Court of Ivrea on 22 February this year.

The difference of approximately €20k between the sale price of the land and the sum assigned to Fallimento Mediapolis srl was due to the payment of the costs of the seizure procedure incurred by Ivrea Court.

Clear Leisure said the allocation proposal required the formal approval of the Ivrea Court at a hearing scheduled for 22 November.

Once the funds were transferred to Fallimento Mediapolis Srl, the Mediapolis receiver would be formally asked again to proceed with an anticipated assignment of such funds immediately to CL2017, as the beneficiary of the first charge on the Mediapolis Land, net of further procedural costs to be charged by the receiver.

The amount receivable by CL2017 would initially be up to a maximum of 80% of €1.94m.

Clear Leisure’s board said that as a general principle, Italian receivers must distribute funds to creditors at the end of the bankruptcy procedure, however under certain circumstances, Italian law allowed to anticipate such a distribution of up to 80% of the total sum due.

“CL2017 will continue to have the right to receive the remaining 20% of the proceeds of the sale, or any balance to the 100%, that would be assigned at the conclusion of Mediapolis’ bankruptcy procedure,” the board said in its statement.

“CL2017 will maintain legal pressure on all the parties involved, in order to obtain the aforementioned assignment of the proceeds resulting from the auction of the Mediapolis Land following the conclusion of the Ivrea Court hearing in November.”