Under insolvency law, there’s an order in which creditors get paid from whatever is left of a company.
Eight former directors of the collapsed super-contractor face being banned for up to 15 years if they are found to be unfit to run a company.
There are lots of burning issues raised by the business rescue that haven’t yet been tested in South Africa. Many will no doubt land in the courts.
A bankruptcy filing always means there’s not enough money to go around, but the process ensures both debtors and creditors are protected.
While critics accuse companies facing lots of lawsuits of using bankruptcy as a sort of ‘get of jail free card,’ the reality of the legal procedure is more complicated.
Stock markets have plunged in recent months on concerns over Trump’s trade war and the possibility of a recession. An economist explains how stocks are like used cars – and lemons.
The South African Reserve Bank was justified in placing VBS Mutual Bank under curatorship.
A primary focus on prosecuting those who have committed illegal phoenix activities has not been successful.
Voluntary administration was considered a state-of-the-art rescue procedure for struggling companies in 1993. But is is time for another wide-ranging review of our insolvency laws?