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Government to pay BCL Liquidator in advance

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Government to pay BCL Liquidator in advance
DETERMINED: Molale

Government is paying for the costs of the BCL Liquidator, but in the form of an advance that will be paid back at a later stage.

When responding to a question by Member of Parliament, Sadique Kebonang last week, the Minister of Mineral Resources, Green Technology and Energy Security, Eric Molale said that government took that decision with the principal objective to protect the interest of the workers by paying for their separation costs through the Liquidator.

“Subsequently the funds advanced were for the care and maintenance programme under the liquidation process.” Molale said, adding that the care and maintenance programme is deemed crucial in order to adequately protect the assets of the mines in preparations for the disposal as part of the liquidation process.

However, Molale noted that the liquidator cannot be paid from the proceeds of the liquidation as these will only be realised once the estate has been wound up.

“Under normal circumstances, government as a creditor would not pay for a liquidator process but in this instance the action was that of a responsible government to protect the interest of the republic and its people,” noted Molale.