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[POLITICS] · Italy · 3 sources

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Benevento financial insolvency declaration sparks debate

Debate has resurfaced regarding the 2017 declaration of financial insolvency (dissesto) by the Municipality of Benevento. Nicola Boccalone, president of the Associazione Benevento Domani, has questioned the necessity of the declaration following recent liquidation results. He noted that the Extraordinary Liquidation Body closed with a positive balance of approximately 42.6 million euros in unconstrained management and over 6 million euros in constrained management, against an admissible passive mass of only 23.9 million euros.

Boccalone argues that the surplus suggests the municipality may not have been truly unable to provide essential services in 2017, but rather struggled to balance its budget. He highlighted the negative impact on citizens, including high local taxes and declining commercial activity.

In response, former Finance Councilor Maria Carmela Serluca defended the decision as a necessary act of responsibility. She stated that the administration inherited a severely compromised financial situation in 2016, characterized by a technical deficit exceeding 39 million euros and significant liquidity shortages. Serluca noted that the Court of Auditors had previously rejected a prior rebalancing plan in 2014 and had recommended declaring insolvency, asserting that the decision was dictated by certified financial realities rather than political preference.

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