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Business|Logistics|Services|transport
business|logistics|services|transport

SA Express must go into business rescue, court rules

6th February 2020

By: News24Wire

  

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The department of public enterprises has confirmed a court ruling that SA Express must be placed into business rescue. 

Earlier in January, transport and logistics company Ziegler filed an urgent court application to place SA Express under business rescue, in an effort to recover around R11.3-million it says the airline owes it for services rendered.

The ruling was made by the Johannesburg High Court on Thursday, the news channel ENCA reported on Thursday morning.  

While SA Express and South African Airways (SAA) are both State-owned airlines, they are distinct businesses. SAA was placed into voluntary business rescue in early December. 

Connie Mulder of Solidarity told Fin24 that the ruling was important, as it showed that State-owned entities were subject to the Companies Act. 

Richard Mantu, a spokesperson of the department of public enterprises, said a statement may be issued about the ruling later today. Fin24 has contacted SA Express for comment. 

Edited by News24Wire

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