Tongaat Hulett’s BRPs are granted leave to appeal sugar levy ruling

Published Aug 2, 2024

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LEVIES owed to the South African Sugar Association (Sasa) since October 2022 once more hang in the balance as Tongaat Hulett’s joint business rescue practitioners (BRPs) were granted leave to appeal the Durban High Court’s ruling to pay the levies.

In May, Judge Rashid Vahed ruled that the Sugar Industry Agreement (SIA) was statutory legislation and that Tongaat must honour the financial obligations under the SIA and pay the outstanding levies.

The South African Canegrowers Association has previously said the levies were essential to the economic survival of sugar cane farmers and the tens of thousands of livelihoods they supported.

However, in a Stock Exchange News statement, the firm said, “The company and the joint business rescue practitioners of the company (BRPs) have been granted leave to appeal by the Supreme Court of Appeal (SCA) in Bloemfontein against the judgment of Honourable Judge Vahed dated 4 December 2023 in the High Court of South Africa, KwaZulu Natal Local Division, Durban.

“Further, the SCA ordered that the costs of the application for leave to appeal in the Durban High Court and costs in the appeal in the SCA will be determined in the SCA appeal.”

Tongaat and the BRPs now have one calendar month to deliver their notice of appeal to the SCA.

BUSINESS REPORT