Court restores KCM provisional liquidator’s powers to sell assets

Court restores KCM provisional liquidator’s powers to sell assets

Within 48 hours of stripping the powers of KCM provisional liquidator Milingo Lungu to dispose of assents , judge Bobo Banda has been forced to reinstate them.

When stripping the provisional liquidator of his powers, the judge had said that she would hear from both parties on July 4 to determine whether KCM should be wound up.

But the PF demons went to work immediately piling unprecedented pressure on the poor judge who was left with no choice but to do as the state wants.

BACKGROUND

HIGH COURT CLIPS IMPORTANT POWERS OF KCM PROVISIONAL LIQUIDATOR

The Lusaka High Court has cut out most of the powers of KCM provisional liquidator Milingo Lungu until the court decides whether KCM should be wound up or not.

Milingo Lungu was appointed as a provisional liquidator to wind up KCM during an ex-parte court hearing, that is, without other interested parties being given a chance to state their case.

But now Judge Bobo Banda has stayed (cliped) almost all the important powers of the provisional liquidator until the court makes a final decision on the liquidation of KCM.

Among the powers that have been taken away from Milingo is the power ‘to make any compromises or arrangements with [KCM] creditors.’

The court has also forbidden the provisional liquidator from making ‘any agreements on all questions in any way relating to or affecting KCM or its assets’.

Milingo Lungu, the provisional liquidator has also lost the power to sell or dispose of buildings, cars, machinery and other any other property belonging to KCM.

The court has set 4 July 2019 as the date on which all parties, the provisional liquidator and his team and the genuine owners of KCM will be heard together in court.

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