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SAPO News

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Government has promised to allocate R3.8 billion to fully implement the business rescue plan at SAPO

The entity has warned that it will run out of money by next month, putting it at risk of liquidation.

The business rescue practitioners gave the warning in a presentation to the Portfolio Committee on Communications on Tuesday.Gungubele says government is committed to ensuring that the Post Office is run by competent people in order to self-sustain. “Government committed to fund that rescue for no less than R3.8 billion. Where I’m sitting, the government made a decision to meet that undertaking; however, we have also discussed with the business rescue practitioners that is one of the things we expect them to do when government finally allocates that R3.8 billion. There must be a business plan which is of such a nature that when that money is allocated SAPO will be less dependent on the fiscus than it was before.

 

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