Cercanías Móstoles Navalcarnero applies for voluntary bankruptcy

The concessionaire company Cercanías Móstoles Navalcarnero, belonging to the OHL Group, has today applied for voluntary bankruptcy due to its current insolvency. 

The current insolvency situation arose after the High Court of Justice of Madrid dismissed a provisional stay of the 34,080,696.76 euro penalty that the Department of Transportation, Housing and Infrastructure of the Region of Madrid had imposed on Cercanías Móstoles Navalcarnero on 11 February 2016. The sanction was ordered after the concessionaire company had applied for termination of the contract on 12 June 2015, due to a breach by the Community of Madrid of its contractual obligations, amongst other reasons. 

On the grounds that the sanction was inadequate, Cercanías Móstoles Navalcarnero lodged a contentious-administrative appeal last February. Before this appeal, in December 2015, the concessionaire company had already brought the project before the courts to demand termination of the concession contract, claiming indemnification from the grantor Administration of 369.5 million euros, for its investments and for loss and damage. 

The OHL Group has invested 238.9 million euros in this project and has repeatedly submitted the Community of Madrid with solutions to render the project socially and economically viable. These solutions contemplated proposals that were highly beneficial for local residents, such as avoiding a passenger transfer in Móstoles in the Atocha-Navalcarnero-Atocha journey and removing tracks above ground that still divide the municipality of Móstoles. 

Consolidated Annual Accounts of the OHL Group for the 2015 financial, reference to Cercanías Móstoles Navalcarnero, download here