Frustrated firms use Web to shame clients who fail to pay bills

Michal Novak, manager of Fobos Business, a Prague-based freight carrier, said he has dozens of debts with companies who refuse to cough up and few good ways of getting satisfaction. In desperation, Novak has turned to an unlikely resource: his company's Web site, which lists details of five companies that are behind in paying money they owe to Fobos. The largest and most irritating debtor is a north Bohemia-based transport company, which Fobos claims owes it 411,782 Kc ($13,300). Such pages are becoming increasingly common on Czech Web sites. According to the companies involved, using the Internet can be a good way of generating publicity, shaming debtors and even selling a debt to another firm who might have more luck getting the money back. It is also cheaper than using a factoring firm or a specialist debt-collection agency, which will often take a hefty cut of the repayment. Firms and individuals with debts can also use third-party Web sites such as Dluznici.cz, which currently lists more than 800 debts, with a total value of almost 1.5 million Kc.