Denel's partner in Asia insolvent, says Lungisa Fuzile
The former Treasury director-general says Gupta-owned VR Laser SA could battle to raise cash for the Asia joint venture
State arms manufacturer Denel entered into its Asian joint venture with a technically insolvent company and one connected to the politically exposed Gupta family. This is according to an affidavit lodged by former Treasury director-general Lungisa Fuzile in response to Denel’s high court bid to acquire approval for the joint venture. Fuzile said Gupta-owned VR Laser SA did not appear to be in a position to raise the funds that would enable VR Laser Asia to establish the joint venture. VR Laser Asia is owned by Gupta associate Salim Essa. “VR Laser SA runs its business operations and capital commitments through loan-financing raised from its shareholders,” he said in his answering affidavit. “The shareholders have been identified as politically exposed persons.” If you are already a subscriber, please click on the following link below to go to the full article: Denel’s Asian partner insolvent, says Lungisa Fuzile If you would like to subscribe to BusinessLIVE Premium to read the ful...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.