Court bid to liquidate SA Express

File: SA Express was placed under provisional liquidation and anyone wanting to oppose the final order will have to do so by June.

File: SA Express was placed under provisional liquidation and given an extension after failing to secure additional funding for the airline.

Wikimedia Commons/Bob Adams

JOHANNESBURG - Another state-owned airline faces the spectre of liquidation.

Business rescue practitioners have filed an urgent court application to have SA Express liquidated.

The matter is set to be heard on Tuesday.

READ: SA Express applies for UIF relief

The rescue practitioners says there's no hope of SA Express making it after government denied post-commencement funding.

South African Express is not only facing possible liquidation, but it’s also unable to pay workers for March and most of April.

Since the airline was placed into business rescue in February, the rescue practitioners have failed to secure funding from government.

READ: Future of SA Express uncertain

With COVID-19 and lockdown travel restrictions, the airline is suffering even more.

The only lifeline it's had is the UIF COVID-19 relief fund, which it has approached to help pay workers.

Over 600 workers have been pleading with the government to pay them and save the airline.

READ: SA Express employees to be paid portion of April salaries

In court documents, the business rescue practitioners say there is no prospect left for the airline.

If the court allows liquidation, the airline will shut down completely.

eNCA has also spoken to a potential buyer of SA Express.

Fly Modern Ark has submitted a plan to buy the airline and is waiting for the practitioners to say whether this is an option or not.

READ: Liquidation of SAA, SA Express not off the table

eNCA approached the Public Enterprises Department about the liquidation application but has had no response.

The business rescue practitioners have also not responded to questions or phone calls. 

Source
eNCA

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