Luxury Living Technologies, a company primarily active in the solar power field but also operating several restaurants and a hostel, has been served with a garnishee order by Mediterranean Aviation Company Limited – better known as Medavia.
The garnishee order of an unknown amount is the latest move in a dispute between the two companies. It is now under commercial litigation following the filing of reciprocal judicial claims before the Courts of Malta.
The news was communicated to the market by Luxury Living Finance plc, a financing vehicle for Luxury Living Technologies. The latter is the guarantor of the public company, which has €8 million in outstanding bonds listed on the Malta Stock Exchange’s Prospects Multilateral Trading Facility.
In a filing on 8th January, Luxury Living Finance said it is obliged to maintain confidentiality. However, it stated that it has “a strong case backed by robust arguments to reject the claim being made against it.”
It also informed the market that its has taken “immediate and definitive steps” to have the garnishee order and its effects revoked.
On the same day, Luxury Living Finance announced that it had parted ways with its Compliance Officer and Company Secretary, Clarence Busuttil, who was replaced in both roles by Carlo Mifsud.
No link has been established between the legal dispute and Dr Busuttil’s exit.
Luxury Living Group, founded by Jean Paul Busuttil in 2016, generates income through feed-in tariffs on solar energy farms, a hostel in St Julian’s, the Smoochies brand, and the managing of five restaurants around Malta.
The financial year ending 30th June 2023 proved difficult for the company, which registered total revenue of €1.9 million compared to the projected €6.6 million, a major discrepancy which it attributed to “commercial sales of photovoltaic systems which did not materialise due to issues faced with bureaucracy within local regulators.”
Its projections for 2024 indicate an expected revenue of €3.5 million.
Questions sent by WhosWho.mt to Mr Busuttil and to Medavia remained unanswered by the time of publication.
