Gupta companies have two weeks to try to stop Bank of Baroda closing their accounts
Gupta-linked companies have 15 days to launch their final bid to stop the Bank of Baroda from closing their accounts, and in the meantime these accounts will remain open. The High Court in Pretoria on Monday granted an interim interdict stopping the bank from "deactivating and/or closing" the accounts or from terminating the banker-customer relationship. Judge Tati Makgoka ordered that the Bank of Baroda could not limit, in any way, the manner in which the bank accounts were operated by the companies. It also stopped the bank from demanding that four of the companies — Annex Distribution, Confident Concepts, Sahara Computers and VR Laser Services — repay the sums owed in terms of their loan and overdraft agreements. The bank informed the companies in July that it would close the business and loan accounts of 20 companies on September 30. The companies argued that the bank had not given them sufficient notice of the intention to close the accounts. But the Bank of Baroda said it had ...
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