JOHANNESBURG – Lurco, the diversified commodities, beneficiation and trading business whose R500 million bid for the Gupta linked Koornfontein Mine was scuppered by late payment, has approached the courts for a reprieve against the business rescue practitioners.
This is after the company, which had won as preferred bidder for the mine in October, missed a five-day deadline to commit R500m into a local account and subsequently lost the opportunity, which was handed to Black Royal Minerals who had R200m less.
Ellington Nxumalo, Lurco group chief executive, said yesterday the deadline was both impossible and unreasonable, given that the company had to adhere to the South African Reserve Bank time frame of a minimum of three to six weeks.
“To bring half-a-billion rand into the country in five days is not practical, it is impossible, they got it wrong, and we are hoping the court will make the judgment for us,” Nxumalo said.
Louis Klopper, the business rescue practitioner for the mine, said Lurco was within its rights to approach the court, but that it had been unable to bring the money into the country by a specified date.