MULTIMILLION-rand credit facility extended to struggling steel maker Evraz Highveld Steel & Vanadium has sparked a war of words between trade union Solidarity and the creditor, Sasfin.Solidarity is calling on Sasfin to pay back R35m that Highveld Steel was reportedly compelled to pay the bank in the form of an early payment fine on a R100m loan.However, Sasfin, a small family-owned bank, refers to a R175m credit facility.It also cited a "break fee" of R20m, saying a provision was standard banking practice, especially for a high-risk investment. "The R20m break fee is certainly not excessive and had no impact on the sustainability of Evraz Highveld," Sasfin spokeswoman Cathryn Pearman said on Tuesday.But Solidarity general secretary Gideon du Plessis presented a different version, saying when Highveld Steel was placed in business rescue last year, the bank had demanded that a loan of R100m be repaid immediately, after which the bank reportedly fined the company R35m for the early rep...
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