The North West Provincial Executive Council has approved the winding down of Mafikeng Industrial Development Zone (MIDZ) through a formal and orderly de-registration and de-listing process. The resolve to close MIDZ was endorsed at a special Exco meeting to review state owned enterprises chaired by Premier Mme Thandi Modise held in Mahikeng on Wednesday.
The decisive resolve to wind down MIDZ was taken as it is technically insolvent as its liabilities exceed its assets. After the appointment of a caretaker administrator as from 18 January 2012, the contract of its former Chief Executive Officer who had been on suspension from April 2011 was terminated as from 29 February 2012.
The provincial government had noted that besides the completion of the 1st phase of the development amounting to R126 million, the entity has not achieved any of its strategic intents.
The entity was intended to design, build, operate and manage a world class Industrial development zone, establish viable investment opportunities and recruit potential public and private investors.
As part of the winding down process, assets that belonged to MIDZ, irregular payments, verification of past salary adjustments and overpayments to staff are to be recovered.
Staff matters are to be dealt with in accordance of the provisions of the Labour Relations Act.
Mafikeng Industrial Development Zone to be winded down
Province
