Suntech: Court Orders Solar Projects Seized
NEW YORK (AP) -- Suntech Power Holdings Co. Ltd. said Monday that an Italian court issued a ruling to seize more solar projects that received investments from Global Solar Fund SCA.
The court also ordered the seizure of tariffs paid to private companies that got investments from Global Solar, Suntech said.
Suntech lawyers believe that Global Solar used bonds that never existed as collateral in a partnership deal with the Chinese solar-power company.
Suntech said that it learned Thursday of the ruling by a court in Brindisi, Italy, which raises to 37 the number of solar projects ordered seized. The projects represent 21 percent of the power-generating capacity of the companies that got investments from Global.
Suntech owns 88 percent of Global Solar, a fund that invested in solar projects in Italy using Suntech panels. Suntech said Global Solar was reviewing the court ruling and was working with Suntech to keep the projects running.
Shares of Suntech were unchanged at $1.30 in afternoon trading.