CIVIL DEBT
SA Express in R87.3m debt dispute
Application against the state-owned airline has been brought in the high court by aircraft leasing company Solenta Aviation
Cash-strapped South African Express is facing an application for liquidation because it cannot pay its debts. The application against the state-owned airline has been brought in the high court by aircraft leasing company Solenta Aviation on the basis of the nonpayment of R87.3m and will be heard on August 11 if it is not opposed. South African Express acting CEO Victor Xaba said the airline did intend to oppose the application because of a dispute over the amount owed. He said the airline was engaging with legal counsel and Solenta to find an amicable solution and gave the assurance to creditors, customers and stakeholders that South African Express was not in distress and was able to pay its debts. The application for liquidation comes hot on the heels of South African Airways’ inability to repay a R2.3bn loan to Standard Chartered Bank, which required the Treasury to step in with a cash injection. South African Express also experienced a cash crunch in February when it was unable ...
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