HeavyFinance has appointed Aldona Micė as its new head of risk and recovery, as the agricultural lender continues to expand.
Micė previously spent more than 10 years managing credit and debt at Lithuanian agricultural firm Agrochema. She will oversee HeavyFinance’s “rapidly growing” agricultural loan portfolio to ensure a smooth recovery process and prudent risk management.
“Overall, my primary responsibility as the leader of HeavyFinance’s recovery team is to oversee and tailor recovery proceedings specifically for the agricultural sector,” said Micė.
“This involves proactive monitoring and, when required, initiating the recovery process. Our objective is to avoid legal proceedings, which tend to be lengthier and less controllable.
“Additionally, understanding and addressing the root causes of payment delays is crucial to developing strategies that prevent such issues in the future, ensuring timely payments to our investors.”
Micė noted that at HeavyFinance, recovery processes will only commence after a borrower has been uncommunicative and inconsistent with repayments. In situations where there is no feasible repayment plan, legal measures will be taken.
“The initiation of legal proceedings is a response to a breakdown in communication and cooperation, coupled with an inability to adhere to agreed repayment schedules,” explained Micė.
“At HeavyFinance, we prioritise open dialogue and flexibility in repayment plans, but when these avenues are exhausted without resolution, we must resort to more decisive actions to protect the interests of our investors.”
The platform’s recovery process involves two parts, pre-trial and legal. Pre-trial proceedings operate outside the judicial system and involves the recovery team working with the debtor to secure alternative financing.
If this fails, formal legal proceedings are begun, where the case may be presented in court or handled through notaries, eventually leading to the involvement of bailiffs.
“Throughout both stages, our focus remains on achieving a resolution that is fair and effective, ensuring that the interests of all parties are considered and respected,” added Micė.
She said that while pre-trial recovery typically takes between two weeks and six months to resolve, judicial recovery can last several years.