Liquidator Motala loses bid to overturn Master's ruling
The SCA has upheld the removal of controversial liquidator Enver Motala, formerly known as Enver Dawood, from the panel of liquidators from whom the Master of the High Court will make appointments, writes Carmel Rickard for Legalbrief. Motala was removed while acting as joint liquidator of troubled gold mining group Pamodzi.
After his initial appointment, he developed a conflict of interest in relation to Aurora, a company that offered to buy Pamodzi mines but that never did so. Instead, it stripped out mine assets, dismissed workers and did not pay their wages.
Motala made a R3m load to Aurora, whose directors included a grandson of former President Nelson Mandela, a nephew of former President Jacob Zuma, and Zuma's personal lawyer, and then received preferential repayments of that loan above the interests of other creditors, all without the knowledge of the other liquidators or the Master.
Motala was also found by the court to have lied under oath about his conviction many years ago on a number of counts of fraud.
Given his 'disgraceful and dishonest conduct', five appeal judges have now unanimously agreed that the decision to remove him from the panel of liquidators should not be reversed. In their decision on Friday they also ordered that he pay costs.
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