Johannesburg - Tycoon Roux Shabangu has expressed fear he could be bankrupted if he pays back a portion of the millions of rand that was irregularly lent to a liquidated company he co-owned.
Denying that he and eight others were liable to repay the state-owned Land Bank R82million arising from a loan granted to Westside Trading 570 in 2006, Shabangu has taken the long-drawn-out legal battle to the Constitutional Court.
The bank and Westside entered into a R100m deal for a project that eyed land in Hartbeespoort, North West. A township and tourist attractions were to be developed on this land.
Westside had received over R62.6m when its deal with the bank was found to be invalid. The bank had no authority, in terms of the Land Bank Act, to enter into such an agreement.
In an affidavit, Shabangu sought to convince the Constitutional Court to rule that the invalidity of the agreement also meant the suretyship that Westside's directors had signed was invalid.