HELLENIC Copper Mines Ltd, in which the Church holds a large stake, faces a massive lawsuit by disgruntled employees who claim they are owed some £100,000 in back salaries.
The company is owned/controlled by the Hellenic Mining Corporation (EME) and Mytilineos SA. The Archbishopric owns 41 per cent of its shares, and Mytilineos SA 26.69 percent. The Archbishopric’s stake is split between EME and the Hellenic Bank.
According to figures posted on Mytilineos’ website, Hellenic Copper Mines was acquired in December 2002 at a net value of 7 million euros. By December 2003, it was a staggering 5.9 million euros under.
In addition to owing workers wages, it has been established that some £320,000 has gone missing from the provident fund. Employees claim the cash-strapped corporation is paying off its debts using money from the fund. Otherwise said, the employees are paying for the company out of their own pockets.
Backed by trade unions, last week the officer in charge of the provident fund filed a lawsuit against company CEO Constantinos Loizides as well as the board of directors. The Ministry of Labour has reportedly been informed of the discrepancy for some time.
Back in December, workers at the Skouriotissa mine went on strike, to protest not being paid their November wages in full and for not receiving their 13th salary. They further accused management of leading them on for a year with hollow promises of better days to come.
In February 2004, acting Church leader Bishop Chrysostomos of Paphos said the Hellenic Mining Corporation would sell its loss-making subsidiaries, as part of a drive to set the Archbishopric’s finances in order.
The mine at Skouriotissa has suspended its operations for some time now. But reports yesterday said Mytilineos SA has proposed to the other stakeholders to take over the company’s operation, although it would have to foot the bill for a significant part of the debts.
Mytilineos SA’s proposal was yesterday due to be discussed at the Archbishopric, which is keen to stave off any legal wrangling with its affiliated companies. In the past couple of years, the Church has come under the spotlight amid allegations of mismanagement and outright embezzlement of its assets.
The company’s CEO Constantinos Loizides, who is in hot oil over his other role as chairman of Cyprus Airways’ board of directors, was abroad yesterday and could not reached for comment.
