Staff Reporter
The Free State High Court has ruled that the business rescue practitioners of the Gupta-owned company Islandsite have the legal standing to represent the company in legal proceedings and not the directors of the company.
This comes after the NPA’s Investigating Directorate (ID) brought a successful application to restrain the assets of Iqbal Sharma, his company Nulane Investments 204 (Pty) Ltd as well as Islandsite Investments 180 (Pty) Ltd which belongs to Atul and Rajesh Gupta and their wives, Chetali and Arti Gupta, in June 2021.
Judge President Musi, in an order delivered electronically on Wednesday, confirmed the legal position of Knoop and Klooper.
“The application for leave to appeal against the order of the Supreme Court of Appeal filed with an application for condonation did not suspend the order of that court,” read part of the ruling.
“That said, it means that the business rescue practitioners are still in ‘charge’ of the company’s affairs, business and property pending the outcome of the application for condonation.”
Last week, the directors of Islandsite, through Ronica Ragavan, attempted to oppose the confirmation of the unlimited restraint order against the company while it is in business rescue under the authority of Kurt Knoop and Johan Kloppers as the business rescue practitioners.
ID spokesperson Sindisiwe Seboka said in a statement the provisional restraint order against Sharma, Islandsite and others has been extended to 18 November 2021.