Liquidation 'Day Zero' approaching for South African Post Office

Liquidation 'Day Zero' for South African Post Office soon approaching

The South African Post Office (Sapo) has warned that its 'Day Zero' is rapidly approaching in October 2024, the point at which its cash reserves will be depleted and its business rescue practitioners (BRPs) may need to consider liquidation.

In an update on its ongoing business rescue efforts, Sapo highlighted that it requires a R3.8 billion government bailout to fulfill its business rescue plan and sustain its operations.

From June 2023 to June 2024, Sapo utilised a R2.4 billion infusion to address debts, financial obligations to creditors, settlements, and retrenchment costs.

Additionally, these funds were allocated to pay salaries and benefits for remaining employees and to cover operational shortfalls.

Joint Business Rescue Practitioner, Anoosh Rooplal, is confident that the R3.8 billion investment will not only enhance service delivery but also bolster South Africans' trust in the entity, which Rooplal regards as a "national asset."

"The R3.8 billion will now allow us to effectively upgrade the infrastructure that's been neglected over the last 10 to 15 years so that we can then further pursue our business rescue plan and to save the entity."

- Anoosh Rooplal, Joint Business Rescue Practitioner

ALSO IN THE MIDDAY REPORT:

State looking for co-accused in IEC Commissioner Masuku's R1.2m fraud case

In a recent court hearing, the state disclosed that it is seeking three suspects who are accused of conspiring with Nomsa Masuku, an Independent Electoral Commission (IEC) Commissioner, to defraud Standard Bank.

Masuku made a brief appearance at the Johannesburg Specialised Commercial Crimes Court in Palm Ridge today.

During her tenure as head of Standard Bank’s Corporate Social Investment unit from 2006 to 2013, Masuku is alleged to have directed bursaries to friends and family, receiving kickbacks totaling R1.2 million.

She faces charges of fraud, theft, and money laundering.

EWN reporter Thabiso Goba reveals that, at this point, the state seems to be facing difficulties in locating the suspects.

"It was a very brief appearance."

- Thabiso Goba, EWN Reporter

Senzo Meyiwa: Ballistics expert Chris Mangena still under cross-examination

In the Senzo Meyiwa trial, the defence has accused the State's ballistics expert of deviating from his training and deliberately targeting the third accused as the gunman responsible for the footballer's murder.

Ballistics expert Chris Mangena faced another round of cross-examination in the Pretoria High Court.

His testimony, which connects the bullet found at the crime scene with Mthobisi Mncube’s firearm, is currently under intense scrutiny.

Mncube, along with four others, is charged with the 2014 murder of Bafana Bafana captain Senzo Meyiwa.

"It seems he's [Chris Mangena] trying to drive the point that there was contamination of the crime scene."

- Kgomotso Modise, EWN Reporter

'Medico-legal claims is a scam' – Andy Mothibi (SIU)

Andy Mothibi, Head of the Special Investigating Unit (SIU), has declared that medico-legal claims in the public sector have devolved into a scam.

Addressing Parliament, he warned that the financial impact on the state could surpass R4 billion.

Mothibi exposed a troubling network of collusion involving unscrupulous lawyers, middlemen, and medical professionals orchestrating fraud against both the state and claimants.

He has called for a comprehensive overhaul of the claims process to address these issues.

"It's really a syndicate, a web of collusion and corruption."

- Lindsay Dentlinger, EWN Reporter

City of Ekurhuleni implements 70% debt write-off incentive for struggling households

Households facing difficulties with paying rates and taxes in Ekurhuleni, now have the opportunity to take advantage of a new city initiative.

Residents who have overdue municipal accounts exceeding 12 months can apply for a 70% debt write-off.

This programme is designed to help reduce the city’s outstanding debt and ease financial burdens on residents.

Ekurhuleni's Finance MMC, Jongizizwe Dlabathi, told EWN that this offer will be available from now until June 2026.

"People do have to apply."

- Alpha Ramushwana, EWN Reporter

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