As previously reported, Lenzing has attempted to take operational control of mask manufacturer Hygiene Austria based on its contractual agreement with business partner Palmers Textil. Lenzing now reports that it has not succeeded in gaining full access to important documents and resilient records and is thus “not in a position to exercise operational management in the interest of Hygiene Austria’s customers and to carry out the intended forensic work for resolving the issues comprehensively and in the required quality.”

According to Lenzing, most of the required documents are located in Palmers’ offices, to which Lenzing has not been granted access or permission to enter. Lenzing says it will now assist the relevant authorities in clarifying the current allegations. It has withdrawn the recently announced nomination of Stephan Sielaff as managing director of Hygiene Austria and will also remove the current managing director, Stephan Trubrich. A trustee to be appointed as soon as possible will subsequently be entrusted with the administration of Lenzing’s shares in Hygiene Austria.

Whether Hygiene Austria mislabeled masks produced in China and sold them as Austrian products and who would be responsible remains unclear.