The Gauteng High Court (Johannesburg) has ruled that a Bombardier Global 6000 aircraft which the Gupta family was leasing, must be handed over to the applicants and stored at Lanseria airport. The court also ruled that the family and its companies were interdicted and restrained from using the aircraft.

A News24 report notes Export Development Canada (EDC) – which operates as an export credit agency – and Stoneriver brought the application against the Guptas over a lease agreement relating to the Bombardier jet valued at $41m.

The Guptas have a lease agreement with EDC for the aircraft, registered as ZS-OAK, but are currently engaged in a legal dispute in the courts in the UK over the lease agreement. Judge Fayeeza Kathree-Setiloane ordered the Guptas to return the plane to SA pending the outcome of court proceedings in England.

Full News24 report

The Civil Aviation Authority (CAA) has also been ordered to deregister the aircraft, which effectively means it will not be able to fly anywhere in the world, notes a Business Day report. The CAA previously said it would not oppose the application. The Guptas have 15 days to comply and are expected to appeal the ruling.

‘EDC is pleased with the favourable ruling and expects an orderly handover of the aircraft pursuant to the court order,’ spokesperson Phil Taylor reportedly told Business Day.

The Canadian export bank painted a graphic picture in court last week of the Gupta's SA empire crumbling as evidence mounted that the family had made its money from looting state entities. It cited the closure of Gupta bank accounts, their holding company delisting after sponsors and auditors jumped ship, a corruption case alleging they must repay R7bn misappropriated from Eskom, and preservation orders obtained by the Asset Forfeiture Unit (AFU), including for money from Westdawn, the Gupta company that leases the jet. Westdawn’s decision to switch off the aircraft’s public tracking device on 4 February and the Hawks raid prompted the bank to bring the urgent application to ground the jet, fearing the Guptas could use it to flee the country or commit crimes. EDC told the court that it was also concerned that the AFU could seize the aircraft and attach any repayments if these were deemed the proceeds of crime.

The Guptas argued that EDC had unlawfully cancelled its loan agreement after they had inadvertently defaulted on a repayment in October last year because the Bank of Baroda had failed to make the payment.

The payment was later made but the Guptas could make no further payments because the bank cancelled the loan agreement, citing reputational damage. The Guptas still owe the bank $27m.

Full Business Day report