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Spanish business head calls elections

Published 10/04/2010, 03:25 PM
Updated 10/04/2010, 03:28 PM

MADRID, Oct 4 (Reuters) - The head of Spain's main employers' association is to call early elections for his post after his credibility was called into question because of his management of his own businesses.

Gerardo Diaz Ferran, chairman of the Spanish Confederation of Business Organisations (CEOE), will formally announce elections at a board meeting on Oct. 20, the organisation said in a statement.

A spokeswoman for CEOE said she did not know if Diaz Ferran would stand in the elections.

One of Diaz Ferran's businesses, the airline Air Comet, filed for administration in December after a British court impounded nine of its aircraft at the request of German bank HSH Nordbank.

Diaz Ferran and business partner Gonzalo Pascual signed a deal to sell a second ailing business, travel agent Viajes Marsans, in June for 600 million euros including the company's debt. Later that month, the firm entered administration.

The International Air Transport Association had in April withdrawn the firm's licence to sell airline tickets.

As chairman of the CEOE, Diaz Ferran represents Spanish businesses in three-way discussions with the government and unions on policy ranging from pensions to labour reform. (Reporting by Sarah Morris; editing by Andrew Roche)

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