DISTINGUISHING SERVICES & EXPRIENCE

During the last decade of the 20th century, South Africa has witnessed an increasing number of insolvencies, liquidations and corporate restructures. Increasingly complex corporate structures and business transactions, coupled with the changing economy have added to the uncertainty and challenge of competing successfully in today’s global market.

Where an individual, company or business does not achieve its financial objectives, bankruptcy, liquidation and/or corporate restructuring is sometimes the best strategy.     
Our Insolvency Department represents both creditors and debtors in insolvency, strategic restructuring and turnarounds and the management of a business prior to liquidation.

At the outset, we work closely with our client to evaluate various options and determine the best strategy.  Our Insolvency Department believes in the team approach and is comprised of a skilled and experienced infrastructure of attorneys and support staff.  Where necessary, we have the advantage of being able to call on the resources of other departments, such as Corporate Recoveries and Forensic Investigations to assist us in delivering the best possible outcome for the client.

Clients benefit from our extensive experience in insolvency related matters.  On the creditor side, we understand the operations of a financial institution’s corporate recoveries division.  The attorneys in this division have been involved in some of the most complex and high profile liquidations in the country and have acted for major creditors inside and outside of the Banking Sector in South Africa.  We are on the Master’s Panels in Pretoria, Cape Town and Pietermaritzburg, accepting appointments nationwide.

Some of these insolvencies/liquidations include the following: Kings Sports (Pty) Limited, Vittmar Industries (Pty) Limited, Alitex (Pty) Limited and Beier Wool (Pty) Limited. Some of these companies had assets in excess of R110-million and liabilities in excess of R150-million.  We were also appointed in the Coastal Group Companies, a listed company, and KwaZulu Transport (Pty) Limited, which was ultimately sold for R102-million and Sawina Logistics (Pty) Limited which was sold for R138-million.

The Insolvency Division receives bonds of security from Hollard Limited, Guardian National Insurance Co. Limited, Allianz and Mutual & Federal and has never experienced any problems in any liquidation handled by the Department.  We are well known to financial institutions and enjoy the support of them all.  Due to the nature of insolvencies over the last few years and the increasing criminal activities by directors, shareholders and insolvent companies we have been involved in major investigations and pride ourselves in personally conducting the major enquiries without incurring exhorbitant legal costs for the estates.  In two pyramid schemes namely Dymarco Limited and Streetwise Mutual Assistance CC and the brokerage scheme in S A G Kazi we travelled abroad to locate assets and were directly involved in the successful criminal prosecution of the directors in Dymarco Limited and the scheme operators in Streetwise Mutual Assistance CC.