]The board of SA Express is seeking legal advice after a high court decision ordering the airline be placed under business rescue.
“The SA Express board of directors noted the judgement against SA Express and are seeking further legal advice in relation to the Business Rescue judgement received on 6 February 2020,” the airline said.
The order to place the airline — which falls within the ambit of the Department of Public Enterprises — was made by the Johannesburg High Court on Thursday.
This follows an application lodged by a transport company seeking to recover funds from the airline. The application was made last month.
“The SA Express board states there are disputes with the supplier and it has been dealing with the malfeasance in an orderly process.”
The airline said the review of the judgement by its lawyers is an indication the court exceeded what was required of it.
“The review of the judgement by SA Express lawyers indicates the court exceeded what was required and granted orders not sought by the applicant. The court has also not made any order on whether the matter was urgent or not, in circumstances where urgency was specifically opposed,” it said.
SA Express has been plagued by suppliers currently under internal review for abuse of the procurement system, unfair pricing and overcharging.
“The airline states it would be irresponsible and amount to wasteful and fruitless expenditure to make payment on invoices submitted by Ziegler in circumstances where it was aware of irregularities.
“It would be criminal to allow further misuse of taxpayer money to reward a company whose contract has been identified, through forensic investigations, as irregular and in contravention of the Public Finance Management Act.”