Ajay and Atul Gupta. File picture: Independent Media

Johannesburg - Suspicion is growing about the legitimacy of the company that has grabbed the Gupta's mining unit Tegeta for R2.97 billion.

On Wednesday Oakbay Investments which is owned by the controversial Gupta family announced that it will sell off another of its investment component, this time Tegeta which focuses on mining, to a Swiss-based company called Charles King SA. 

The company said the decision was taken to in order to avoid job losses. 

Tegeta has done business with state-owned enterprises such as Eskom and recently raised suspicion when it was revealed that the company was prepaid millions for coal it had yet to deliver to Eskom. 

Concerned citizens took to Twitter to raise their suspicions about whether Charles King SA was a "shelf company" being used by the family to fight off controversy faced by its companies. 

A simple google search of the name "Charles King SA" does not reveal any information about the company besides the fact that it sells fashion products.

This latest move by the Gupta family follows an announcement earlier this week that Oakbay would also sell its media components; The New Age and ANN7 to a known ally and former government spin-doctor Mzwanele Manyi for over R400 million. 

Oakbay also justified this sale as a solution to saving 7 500 jobs at both TNA and ANN7. 

The Gupta's have been faced with the closure of their bank accounts by SA banks who have flagged suspicious activity as the reason. And the family has said that it feared that it's employees would suffer as they wouldn't be able to receive their salaries because of the closure of the bank accounts. 

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