The Estonian businessman, Kaido Peiker, says he is ready to declare a hunger strike in his office to convince his debtors to pay their debts. Peiker owns a garment maker that has 35 employees and a small road carrier.
“My objective is to get confirmation that they will make the payment that we agreed for this week.”
Since debtors did not return his phone calls, Peiker last week decided to make an unannounced visit to the debtors in Tallinn and try to reclaim some of the debts. One debtor says Peiker is somewhat insane since delays in paying debts or leaving debts unpaid has become very common in Estonia, the Estonian newspaper Äripäev writes.
Peiker’s first visit is to Baltika, Estonia’s largest garment maker and retailer. “My objective is to get confirmation that they will make the payment that we agreed for this week,” says Peiker. Afterwards, Peiker says that Baltika honoured its obligations and made the transaction in the same day.
Afterwards, Ülle Järv, finance director of Baltika, said that it was clearly unusually that company owners make personal visits for reclaiming debts.
The next company to visit is Glaskek, one of Estonia’s largest window makers. Peiker says that he was ready to declare a hunger strike while in the office of Glaskek and decided not to leave Glaskek before he has reclaimed his money or got a written agreement from them.
Peiker says that his lawyer recommended such a visit and said that unless the debtor pays up, he should get some board member to sign a written agreement on obligations or threaten them with bankruptcy.
In Glaskek, the secretary asks Peiker to wait since there is a board meeting in progress. The company’s finance director promises him that Glaskek will pay 50% of its debt next day and the remaining 50% next week. This promise is not honoured and it takes several weeks before Glaskek pays about 25% of its debt to Peiker.
When Äripäev asks Peiker whether he really believes that such action will help him collect the debt, Peiker admits that the chances are slim. One debtor of Peiker told Äripäev that Peiker was somewhat insane since delays in paying debts or leaving debts unpaid has become very common in Estonia.
Related by the Econotwist: