Regional airline SA Express objects to business rescue ruling by court
State-owned regional airline SA Express has reacted strongly to the ruling by the Johannesburg High Court on Thursday that it be placed in business rescue. The airline stated in a press release on Friday that it was seeking further legal advice on the matter. The company headed its release “SA Express slams Business Rescue judgement as unsatisfactory”.
(A service provider to SA Express, Ziegler SA, brought the application to the court to place the airline under business rescue. SA Express reportedly owes Ziegler R11.3-million and the airline is also reportedly technically insolvent.)
“The review of the judgement by SA Express’ lawyers indicates that the court exceeded what was required and granted orders not sought by the applicant,” stated the airline in its press release. “The court has also not made any order on whether the matter was urgent or not, in circumstances when the urgency was specifically opposed.”
In its statement, the airline affirmed that it had “disputes with the supplier” and that its board had been, in an orderly manner, “dealing with the malfeasance”. SA Express further noted that it had been “plagued” by suppliers who had overcharged it and applied unfair pricing. These suppliers were now under internal review by the airline.
“The airline states that it would be irresponsible and amount to wasteful and fruitless expenditure to make payment on invoices submitted by Ziegler in circumstances where it was aware of irregularities,” it asserted. “It would be absolutely criminal to allow further misuse of taxpayers’ money to reward a company whose contract has been identified, through forensic investigations, as irregular and in contravention of [the] PFMA [Public Finance Management Act].”
SA Express further averred that “tens of invoices” that had been authorised by the airline’s previous management had been found to contain discrepancies. “[I]t is on this, among a number of other issues, that the airline will appeal.”
Comments
Research Reports
Latest Multimedia
Latest News
Showroom
BOVA cemented their reputation in Africa by delivering high quality engineering through their range of safety footwear. 21 years after producing...
VISIT SHOWROOM
Weir is a global leader in mining technology. We recognise that our planet’s future depends on the transition to renewable energy, and that...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
