BRP to move on Mango sale
Sipho Sono, he business rescue practitioner (BRP) of low-cost airline Mango, says he is proceeding with selling the airline after Public Enterprises Minister Pravin Gordhan failed to meet a deadline set by the High Court to make a decision on the proposed sale as required by the Public Finance Management Act.
Sono said in his latest business rescue report that he had written to the Minister on 31 January informing him he assumed the approval had been granted in terms of the Act as per the court order.
A Business Day report notes on 13 December 2023 the Gauteng High Court (Pretoria) ruled that Gordhan had 30 days to either approve or reject the sale proposed by the BRP.
The court said if the Minister failed to do so, it would be assumed that he had approved it.
The Minister also failed to petition the SCA in time for leave to appeal against the High Court decision, by filing the petition late. The court directed Gordhan to communicate the outcome to the BRP and SAA, and to furnish reasons for his decision.
Instead, Gordhan and Finance Minister Enoch Godongwana filed notices for leave to appeal.
The application was heard at the end of November. In mid-December the court dismissed the Ministers’ application for leave to appeal.
Sono said he has obtained legal advice indicating that if a petition were to be belatedly filed – as was the case with Gordhan’s petition to the SCA – the principal judgment’s order remains executable.
Article disclaimer: While we have made every effort to ensure the accuracy of this article, it is not intended to provide final legal advice as facts and situations will differ from case to case, and therefore specific legal advice should be sought with a lawyer.