Africa-Press – Eswatini. In a bid to wound up Tee and Jay Woodworks (PTY) Limited, one of the country’s leading furniture manufacturing companies, the liquidation and plan of distribution is now open for inspection.
Through a notice published through the government gazette last Thursday, creditors and contributors were invited for inspection of the said account. It was stated that the account would lie open for inspection by creditors or contributors at the office of the Master, for a period of 21 days. The notice was given out in pursuant of Section 343 (2) of the Companies Act No.8 of 2009.
“Any person having an interest in the company being wound up may within the stated period lodge an objection stating the reason (s) therefore,” read the notice. Liquidation is the process by which a company is brought to an end, and its assets and property are redistributed. Liquidation is also sometimes referred to as winding-up or dissolution, although dissolution technically refers to the last stage of liquidation. Tee & Jay was placed under liquidation way back in 2021, when the company applied for liquidation in the High Court.
Liabilities
In its application for liquidation, the company informed the court that it had reached a position where its liabilities exceeded its assets, and that it was unable to pay its debts. It further brought it to the attention of the court that the above scenario had further deteriorated to the point that as at the end of October 2021, the company had no monies to pay any creditors, raise funds or pay its employees.The applicant (Tee and Jay Woodworks) averred that if it continued to carry on business, it would incur further debts, which would be impossible to pay due to lack of funds. In his founding affidavit, the then Director and Chief Executive of the company, Thembinkosi Mndzebele submitted that the company was incorporated on August 10, 2001, with a share capital of 100 shares of E1 each.
Furniture
He told the court that the applicant’s main business objectives were to inter alia, carrying on business of manufacturing, designing, selling and distributing furniture of all kinds.VMndzebele submitted that the applicant was indebted to the following; Eswatini Revenue Service the amount of E5 560 828.03, Swaziland Scrapyards (PTY) Limited in the amount of E215 374.50, Eswatini National Provident Fund the sum of E32 347.88 being penalty charges from April 28, 2020, salaries for 25 employees for the month of October 2021 with the aggregate sum of E62 099.87 and Interpark Swaziland (PTY) Limited the amount of E730 513.92.
“In light of the above, the applicant humbly submits that it is unable to pay its debts, and that it should be wound up, in order to enable a liquidator, not only to take charge of the company but to more importantly realise its assets under the machinery of the winding up for the sole benefit of the creditors and the applicant,” contended Mndzebele.
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