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The owner of Kaizer Chiefs could be forced to repay R10 million he got for his company.

The owner of Kaizer Chiefs could be forced to repay R10 million he got for his company.

Because the liquidators refuse to acknowledge the sale agreement, Kaizer Chiefs CEO Bobby Motaung could be compelled to pay over R10 million to a Joburg company that bought his soon-to-be-liquidated company.

GRC Property Investment has filed papers in the Joburg High Court, requesting that the liquidation order against Motaung's company, Lakeshore Trading 224, be set aside. Lakeshore Trading 224 owns the shopping complex in Ormonde, near Gold Reef City in Joburg south.

They also want the court to exempt Motaung's business from final liquidation. They want Motaung's company to repay the money if all else fails.

GRC Property Investment director Ahmed Talia Nazir said in court filings that they bought the shopping complex in 2016 before it could be liquidated by another firm, Pent Up, to which Motaung owed R2.5 million.

After Motaung and the company failed to repay the debt, Pent Up, according to Nazir, liquidated Lakeshore Trading 224 in 2017.

Nazir said his firm had a claim against Motaung's firm since it had purchased the complex for R9.5 million and paid the full amount before the firm went into insolvency. When the shopping center was put into liquidation, Nazir claimed it had not yet been transferred into his company's name.

He stated that liquidators John Francois Engelbrecht and Gunvantrai Muggan had been appointed to wind up the corporation.

Pent Up has presented claim documentation to the liquidators, who agreed to call a creditors' meeting to consider proof of its claim, he claimed. However, his company purchased Pent Up's R2.5-million claim before the special meeting.

Nazir stated he provided this to the liquidators, but they chose not to follow the sale agreement, much to his dismay. He said they instead placed Motaung's company in liquidation and under the supervision of the High Court's Joburg Master.

Nazir claimed that he told the liquidators of the sale deal, and that because the liquidators broke the agreement, they want their R9.5 million back.

Following the acquisition of Pent Up's claim, Motaung, the company's sole director, decided to sell his shares to them. "In this case, the applicant will buy the fifth respondent's shares, subject to this order being granted, and the fifth respondent has also agreed to retire as a director of the company and appoint me following the firm's discharge from liquidation," the papers stated.

According to Nazir, the company should be released from liquidation because it was factually and commercially solvent.

Source:://

https://www.sundayworld.co.za/news/kaizer-chiefs-boss-may-have-to-pay-back-r10m-he-received-for-his-firm/

Content created and supplied by: MzansiMgozi (via Opera News )

Ahmed Talia Nazir GRC Property Investment Joburg Kaizer Chiefs Motaung

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