The Acting Minister of Communications and Digital Technologies, Hon Enoch Godongwana on the judgment of the High Court of South Africa, Gauteng division on the placement of the South African Post Office on business rescue
The Acting Minister of Communications and Digital Technologies, Hon Enoch Godongwana welcomes the decision of the High Court of South Africa, Gauteng Division handed down today, 10 July 2023 to place the South African Post Office SOC Ltd under supervision and in business rescue. The court ruled that the business rescue proceedings are to commence with immediate effect.
The Acting Minister further notes the appointment of Mr Anooshkumar Rooplal and Mr Juanito Martin Damons as joint interim business rescue practitioners in respect of the business rescue proceedings subject to approval by the Registrar of Financial Services and ratification by the majority of SAPO’s creditors.
The decision of the court in support of the application brought by Minister Mondli Gungubele confirms that indeed SAPO is a strategic government asset that provides vital services throughout the country, especially in remote areas where SAPO is often the main link between residents and the outside world. It further uses its countrywide footprint to render such services as the distribution of social grants at its branches; distribution of medication to those in need, various national and international postal services, etc.
This decision will give SAPO the much needed time and space to restructure its affairs under supervision and implement the turnaround plan to fundamentally change its business model into a solvent and viable business with broad revenue streams that leads on modern services.
“The challenge is on SAPO, the Department and all stakeholders to live up to the commitments made in the application.” concluded Acting Minister Godongwana
Enquiries:
Tlangelani Manganyi (Tlangi)
Cell: 060 886 4670
E-mail: Media@DCDT.gov.za
