A Croatian court has opened bankruptcy proceedings against struggling Uljanik Shipyard.
The commercial court in Pazin took the decision on Monday due to the continuing freeze on its bank accounts, the Hina news agency reported.
The chairman of the shipyard's board, Sandi Bozac, said Uljanik's account had been frozen for 231 days.
The country's financial agency Fina puts the yard's debt at HRK 164.8m ($25m), including HRK 76.5m owed to workers.
Another hearing is scheduled for 17 May at which a decision will be made as to whether bankruptcy proceedings will be opened for parent Uljanik Group as well.
The group also operates the 3 Maj yard.
The Croatian government is hopeful that Chinese investors will step in to save the yard, which has been struggling with worker strikes and cancelled orders.
