Interesting Judgment: Arqomanzi v Vantage Goldfields and Others

31 May 2021

Herewith an interesting judgment handed down by Legodi JP today.

The question before the Court was whether as a general rule a business rescue practitioner can without creditors’ votes make substantial amendments to a business rescue plan after the plan has been adopted and notwithstanding that the plan had a clause that permitted the BRPs to amend the plan provided that such amendment did not prejudice an affected person and that the BRPs acted reasonably.

Although the facts in this matter substantially dictated the outcome, there are some interesting comments made by the learned judge as to the rights that BRPs have to amend a plan, regard being had to Sections 140 and 151 of the Companies Act.  

Kindly sent to us by Colin Strime of Fluxmans.

  Judgment: Arqomanzi v Vantage Goldfields and Others. Case 549 of 2021