Noboa´s Company submitted a protection action in a conflict with former employees

The company Industria Cartonera Ecuatoriana, one of the companies of the banana entrepreneur and former presidential hopeful Alvaro Noboa, submitted an extraordinary action of protection against the alleged irregularities in the payment for eviction to a group of former employees.

Fernando Alarcon, the legal representative of the Noboa Corporation, one of Alvaro Noboa’s groups of companies, said on Monday, December 12, 2016 that they filed a judicial appeal before “the violation of the due process, the effective legal protection, and the legal certainty in the country.”

Last Thursday, La Clementina company, another firm of Noboa, was forced to pay USD 3.9 million for eviction to a group of 1 900 former employees. The company had to pay that value to avoid the auction of the land and the property of the cardboard company, located in the south of Guayaquil.

The sale, to be executed last Friday, December 9, 2016, was ordered by the Ministry of Labor to compensate the former employees of Noboa´s company. With the payment, on Thursday, December 8, the auction did not take place.

After the payment, Leonardo Berrezueta said that the action was legitimate to protect the interests of the former workers. They stated that they initiated other proceedings against La Clementina company, for dismissal, and for the payment of employer retirement for a group of 411 workers.

According to the lawyer of the Noboa Corporation, the determination of joint liability to more than 50 companies of the banana entrepreneur the Labor Inspectorate ordered, and the provision of precautionary measures, such as the prohibition to confiscate the assets, caused damages to the group of companies.