SA Express slams business rescue judgement as unsatisfactory
PORT ELIZABETH - SA Express board of directors said in a statement that it would appeal a High Court judgement that placed the state-owned airline under business rescue, after logistics company Ziegler filed an urgent application on Thursday to recoup millions from SA Express.
"The review of the judgement by SA Express’ lawyers indicates that the court exceeded what was required and granted orders not sought by the applicant.
"The court has also not made any order on whether the matter was urgent or not, in circumstances when the urgency was specifically opposed," the board said.
It said that it was in dispute with the international supply chain service provider.
"It is a known fact that SA Express has been plagued by suppliers who are under internal review for serious abuse of the procurement system, unfair pricing and overcharging," the board said.
The airline states that it would be irresponsible and amount to wasteful and fruitless expenditure to make payment on invoices submitted by Ziegler in circumstances where it was aware of irregularities.
"It would be absolutely criminal to allow further misuse of taxpayers’ money to reward a company whose contract has been identified, through forensic investigations, as irregular and in contravention of [the] PFMA.
"Tens of invoices, allowed by previous SA Express management, were found to have discrepancies and it is on this, among a number of other issues, that the airline will appeal," the SA Express board said.
- South African News Agency (ANA)