CAPE TOWN - After eight companies linked to the Gupta family, entered business rescue last month, Standard Bank has agreed to take over deposits from business rescue affairs and the Bank of Baroda.
This decision has ended an almost two-year boycott of the controversial family's business interest by the entire banking sector in South Africa.
The City Press reported exclusively yesterday that business rescue practitioners are moving towards securing a R1.05 million fine from Eskom.
This was after the energy company was given the multi-million rand penalty in relation to the Optimum coal mine disaster.
After a joint meeting between business rescue practitioners and Standard Bank board members, the financial institution has decided to engage with Gupta-linked companies, given the fact that the Gupta family is no longer in control of the businesses.
The Gupta family's interest within these companies has yet to be discussed. What has been made clear, is that the company is no longer involved in the leadership of said companies.
A number of meetings were held yesterday between creditors of Tegeta Exploration, VR Laser and Optimum Coal Terminal.
In an addition, meetings were also held for creditors of the Guptas’ two investment companies: Islandsite 180 and Confident Concepts.
It has been reported that these creditors were informed that the ultimate plan was to unbundle and sell the group’s assets.
What was made very clear was that the Guptas would not regain control of the companies and therefore the banking boycott should not continue.
Meanwhile it was reported yesterday that Canada is on the lookout for a sleek Bombardier Global 6000 business jet sporting tail number ZS-OAK.
This comes after the Guptas bought the plane with help from a $41 million loan from Export Development Canada, or EDC, Canada's state-owned export-import bank.
However, the EDC claims that the family defaulted on the loan in October and still owes the bank $27 million.
The Guptas made the plane's location data private after EDC sought the jet's exact whereabouts in a court filing.
Yet, the plane has been spotted in recent weeks at airports in India, Russia and Dubai.
- BUSINESS REPORT ONLINE