(de Ware Tijd) PARAMARIBO — In the next months Suriname’s largest timber company ever, Greenheart, will have cleared itself of the after-effects of the controversial fraud scandal in Canada. The enterprise will undergo a name change under complete new ownership.
‘We’ll be free of accusations and charges,’ says David Wu the company’s spokesman. The company bears the burden of its largest shareholder Sino Forest which was accused last year of intentionally deceiving investors on the Toronto exchange. The scandal caused Sino Forest and Greenheart shares to plummet. Creditors plan to start anew by transferring all Sino Forest’s assets, including the 64 percent stake in Greenheart Suriname to an entirely new company, Newco. The transaction must be completed by November.
By late last year, Greenheart managed to distance itself from its ‘big brother’s’ problems and continue operations in New Zealand and Suriname unheeded. Wu proudly claims his company has become the undisputed market leader in exporting softwood from New Zealand to China and India. ‘Suriname produces hardwood of excellent quality which must be promoted on European, American and Asian markets,’ the spokesman explains.
Although the company produced 350,000 cubic meters of softwood in 2011 in New Zealand, it considers Suriname its next flagship. In addition, the company wants to put a stop to the export of logs and start processing timber locally. The future looks grim for Sino Forest, until recently one of the largest timber multinationals in North America with gigantic operations in China, but now fighting imminent bankruptcy. At least six top executives, including founder Alan Chan, will be indicted in Toronto. International media claim Sino Forest tried to deceive the public about its ties with Greenheart. So far none of the allegations have been proven. Greenheart managed to evolve into the largest timber company in Suriname within two years. The company has close to 400,000 hectares of concessions all across the country.