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HOW FINANCIAL CRISIS LED TO LACASSEROLE CLOSURE

19/02/2018 07:12:00 BY MBONGISENI NDZIMANDZE AND KWANELE DHLADHLA

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MBABANE – The closure of LaCasserole Restaurant has been as a result of it being in severe financial crisis.

The directors of Rehoboth (PTY) Limited trading as La Casserole disclosed that the company owed different companies a total amount of E500 000.
Another reason which resulted in the closure of the popular Mbabane eatery was because it was also being owed by various companies in excess of E137 000.
This has been revealed by the company’s application for liquidation filed by Lawyer Celumusa Bhembe last Friday.

The application for liquidation was filed before High Court Judge Mzwandile Fakudze last Friday who, however, postponed the matter to this week.
LaCasserole was registered on May 7, 2007 and its main objective was to carry out a restaurant business and to provide conference venues.
In its application for liquidation the company averred that it was insolvent in terms of the Company Act as it was unable to pay its debts. It (LaCasserole Restaurant) claimed that it had been actually trading on deficiency since 2012 resulting in it closing its operations.

According to the shareholders of the company, Zinhle Nontobeko Lukhele and Busisiwe Elizabeth Lukhele, if they would continue trading they could be exposing the company to further debt and liability as they were aware that it was incapable of satisfying its liabilities.

According to information contained in its application for liquidation, the company admitted that it was indebted to the Swaziland Revenue Authority (SRA) in the sum of E350 000. It also owes its employees a sum of E100 000.

As if that was not enough, summons of the sum of E97 812 has been issued against the company by SMVS Investments in respect of rentals.
The restaurant, according to the court papers has been closed and no longer operating. It is reported that the company ceased conducting its business on January 30, 2018 and had since vacated the premises where the business was conducted.

“As at date, hereof, your petitioner (LaCasserole) is truly indebted to its creditors in excess sum of E500 000. Although there are various creditors the company is indebted to, it has at this stage been unable to verify all creditors,” submitted the directors.
They contended that the company was unable to pay its creditors and its subsequent conducting of closing down the business operation, deemed it prudent to lodge the application for liquidation.

“Creditors are pressing for payment and some had instituted court proceedings against the company and at this stage there is no quick solution to the company’s financial difficulties.

In its application for liquidation which had been filed under a certificate of urgency, the directors of the company stated that they were praying for an order for the appointment of senior lawyer Sabelo Masuku as liquidator.