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Reuters reports that state-owned airline SA Express escaped liquidation on Tuesday, after a judge granted a three-month delay in liquidation proceedings, giving the government more time to clarify its plans for the domestic and regional carrier.
SA Express was placed under provisional liquidation in April after its business rescue practitioners (BRPs) said they could not secure funding for turnaround efforts. But lawyers for the BRPs asked the High Court to delay a hearing on whether the airline should be finally liquidated, citing a letter from the Department of Public Enterprises that referred to an allocation of R164-million in the fiscal year that commenced in April, subject to certain conditions. The lawyers said that was a sign that the "government is contemplating a form of 'restart' for the operations of the airline" and that delaying the hearing would allow "national executives to roll out proper plans". The request to delay the hearing was supported by the provisional liquidators, as well as trade unions and creditors. SA Express has not paid salaries since February, prompting some of its employees to protest in recent days.
- Read the original of the report in the above regard by Engineering News
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