Public Enterprises Minister Pravin Gordhan has rejected the South African Airways (SAA) business rescue practitioners’ request for a further R10 billion for funding.
In a letter addressed to Les Matuson and Siviwe Dongwana on Tuesday, the minister said government didn’t have the money.
Cash strapped SAA operations have been shut down because of the COVID-19 lockdown.
Matuson and Dongwana were brought in to save the broke airline after undergoing business rescue last year.
But the outbreak of coronavirus has brought their plans to a complete standstill.
Now they’ve been dealt another blow with government refusing to give them any more money to sustain the business rescue process.
Minister Gordhan said COVID-19 had stretched national resources, the airline industry was devastated globally and the practitioners must consider options with the resources at their disposal.
More Stories
CoCT Plans To Shield Capetonians From Power Cuts Within 3 Years – Hill-Lewis
Modernise Basic Education System – Ramaphosa
New Johannesburg Mayor To Be Elected On Friday
Unions Reveal Culture Of Fear At Eskom
Ramaphosa Set To Provide Recovery Plan For Basic Education Sector
Not Implementing Eskom Tariff Hike Could Be Disastrous – Experts
Tshwane Owes Eskom R1.4bn
Eskom Announces Stage 5 Blackouts
Coalition Files Court Papers To Set Aside Nersa’s Eskom Tariff Approval
Public Protector Completes Onvestigation On Phala Phala
Nelson Mandela Bay Dams Dries Up
Energy Crisis Committee Releases Update On Action Plan