Moto Morini goes into voluntary liquidation

Two Italians are currently in strife: Prime Minister Silvio Berlusconi and motorcycle manufacturer Moto Morini. Let's deal with the two wheels first.

Moto Morini has entered into voluntary liquidation after failing to pay its staff or suppliers in September.

Although its situation is certainly dire, the company, according to its UK distributor, is continuing to operate as normal (for an Italian factory…), and that production of a new 1200 supermotard machine is still on schedule for January production.

In Australia, liquidation usually means a company ceases to carry on business while its assets are wound up.

According to the UL importer, Three Cross Motorcycles, production and ex-factory deliveries have failed to make budget so far in 2009, which has caused a cash flow problem - normally enough to put any business in a precarious position.

Apparently, some potential investors are already on the scene, so a positive outcome is expected.

Since the collapse of Stony Creek Powersports last year, there hasn't been an official Australian distributor for Moto Morini.

But in the UK, Moto Morini sold 15 percent more bikes in the first eight months of 2009 than it did in the whole of 2008.

Meanwhile, our good friend Berlusconi has found himself in hot water again, with the country's constitutional court throwing out a law that shielded him from prosecution while in office, paving the way for corruption proceedings to resume against him.

A defiant Berlusconi has vowed to see out his five-year mandate won in April 2008, but it looks like the road ahead is going to be bumpy.