The SPF To Take Mittal To Court?

On Friday the head of the State Property Fund (SPF), Valentina Semenyuk, announced plans to take Mittal Steel to court to force it to accept the SPF’s interpretation of the privatization agreement it made when it bought Mittal Steel Krivy Rih.Semenyuk wants Mittal to be obliged through 2015 to increase wages in step with increases in the official minimum “survival” income. (KSTL: BUY). Concorde Capital: Semenyuk has climbed down from her previous threat to seek to cancel the privatization, which would have been truly ridiculous. Still, it’s unfortunate that the country’s biggest foreign investor is facing such hassles. Mittal has already agreed to raise employee salaries once by 10%, but it doesn’t want to surrender control over wage policy to the government.