The court has granted a preservation order for the Gupta-owned Optimum Coal Mine (OCM) in Mpumalanga.
The high court in Pretoria has ruled in favour of the National Director of Public Prosecutions (NDPP), Shamila Batohi, after the authority filed an application for a preservation order earlier this month.
On Wednesday, the high court in Pretoria ordered that the mine be preserved with a curator appointed to work with the business rescue practitioners who have been in charge since February 2018.
The court confirmed a draft order which the NPA had been praying for, which prohibits against any dealing or disposing of the mine in any manner.
The court ordered that those who intend to oppose the forfeiture of the mine and its business to the state have “14 calendar days” to apply for an order which excludes their interest from a forfeiture order.
The court ordered that Petrus van den Steen be appointed as curator over the property and assume control of the mine, including taking any movable property into his custody.
The 27-page order also stated that Van den Steen will be administering the property and “do any act necessary to preserve the property while the order is in force”.
The court order also said the business rescue practitioners “shall retain the business of Optimum Coal Mine” and co-operate with the curator in good faith.
The curator is expected to value the mine and its business with the business rescue practitioners expected “to use their best endeavours to attempt to find a purchaser for the business of OCM at fair value”.
“The curator bonis is further directed to thereafter file quarterly reports to the registrar of the Court, the applicant and any party who have entered an appearance to oppose the making of a forfeiture order,” the order stated.
The ruling impacts on the business rescue plan the practitioners were about to implement which was going to see the mine taken over by a former Gupta associate, Daniel McGowan.
Batohi is fighting tooth and nail in a court bid to have the Guptas's most significant business asset remaining in the country, OCM, to be forfeited to the state.
The NDPP's argument was centred on that the mine was acquired with funds looted from the state which was channelled through money-laundering actions which involved banks and other Gupta-associated companies and later brought back to acquire the coal mine in 2015.
The NDPP used a section of the Prevention of Organised Crime Act (Poca) which allows for property acquired through the proceeds of crime to be forfeited to the state.
The business rescue practitioners had unsuccessfully argued that if the court allowed the mine to be attached that would affect many people and entities who have been waiting for four years, including workers and creditors.
NPA wins first leg in bid to get Gupta mine forfeited to state
Image: Kevin Sutherland
The court has granted a preservation order for the Gupta-owned Optimum Coal Mine (OCM) in Mpumalanga.
The high court in Pretoria has ruled in favour of the National Director of Public Prosecutions (NDPP), Shamila Batohi, after the authority filed an application for a preservation order earlier this month.
On Wednesday, the high court in Pretoria ordered that the mine be preserved with a curator appointed to work with the business rescue practitioners who have been in charge since February 2018.
The court confirmed a draft order which the NPA had been praying for, which prohibits against any dealing or disposing of the mine in any manner.
The court ordered that those who intend to oppose the forfeiture of the mine and its business to the state have “14 calendar days” to apply for an order which excludes their interest from a forfeiture order.
The court ordered that Petrus van den Steen be appointed as curator over the property and assume control of the mine, including taking any movable property into his custody.
The 27-page order also stated that Van den Steen will be administering the property and “do any act necessary to preserve the property while the order is in force”.
The court order also said the business rescue practitioners “shall retain the business of Optimum Coal Mine” and co-operate with the curator in good faith.
The curator is expected to value the mine and its business with the business rescue practitioners expected “to use their best endeavours to attempt to find a purchaser for the business of OCM at fair value”.
“The curator bonis is further directed to thereafter file quarterly reports to the registrar of the Court, the applicant and any party who have entered an appearance to oppose the making of a forfeiture order,” the order stated.
The ruling impacts on the business rescue plan the practitioners were about to implement which was going to see the mine taken over by a former Gupta associate, Daniel McGowan.
Batohi is fighting tooth and nail in a court bid to have the Guptas's most significant business asset remaining in the country, OCM, to be forfeited to the state.
The NDPP's argument was centred on that the mine was acquired with funds looted from the state which was channelled through money-laundering actions which involved banks and other Gupta-associated companies and later brought back to acquire the coal mine in 2015.
The NDPP used a section of the Prevention of Organised Crime Act (Poca) which allows for property acquired through the proceeds of crime to be forfeited to the state.
The business rescue practitioners had unsuccessfully argued that if the court allowed the mine to be attached that would affect many people and entities who have been waiting for four years, including workers and creditors.
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