Solidarity forces government into business rescue plan for SAA

Solidarity welcomed the government’s sudden decision to not oppose its application for business rescue.

According to Solidarity, the government forwarded legal documents in which they indicated that they will oppose Solidarity’s application. “We find the sudden turnaround very strange,” Dr Dirk Hermann said.

Solidarity and the legal teams of SAA and Ministers of Finances and Public Enterprises will meet on 5 December at the Deputy Judge President of the South Gauteng High Court in Johannesburg to discuss the process regarding the matter further.

Hermann further said that the decision of the government to place SAA under voluntary business rescue is not voluntary, but in reaction to Solidarity’s business rescue application. “They are probably now trying to obtain control over the process after they realised that Solidarity will succeed,” he concluded.

Solidarity will proceed with the business rescue application and it must still be heard. According to Hermann, Solidarity is convinced that the turnaround plan in its application is the only feasible plan.

More information on Solidarity’s application will be available soon.

Statement issued by Dirk Hermann, Chief Operations Officer: Solidarity, 4 December 2019