We have mailed the following text to CIPC”s Companies Tribunal today
Quote:
We note in the Companies Tribunal web site that Nova Propgrow has been granted yet another extension for the holding of the 2025 AGM, this time to 25 November
The record shows only that the application arose because (Nova stated) the auditors have said that they will only finalise the audit by late September. Hardly a compelling motivation in the circumstances (and a case of Nova passing the buck)!
Surely, this is too much and too much misuse of the extension “escape hatch” whilst behind the AGM issue lies the still unfinalized ’25 AFS
You must have formed the opinion, if you’re not now actually convinced, that Connie Myburgh and the directors are employing delaying tactics. That this is happening must have a compelling driver and we suggest that it must be more than just insolvency (although that would be bad enough) and something very serious that is being kept hidden thanks to the deliberate delays
We are in agreement with Debenture Trustee J-P Tromp’s opinions conveyed to yourselves in his various CoR135.1 complaints on the alleged insolvency but we also think that the auditors may well be bowing to pressure from the company or they are complicitly participating in the delaying tactics
It is our understanding that the auditors have not lodged an AFS related Reportable Event with IRBA on the AFS issue and that, in the circumstances, must speak volumes!
And, all this whilst the deadline for finalisation of the 2026 AFS has already passed
Given that the ’25 AFS will likely not be finalised by 25 November and that yet another application for extension will quite likely be made, what are the chances that the 2026 AFS will be finalised this year?
We are faced here with a situation – which applies equally to yourselves – in which the last published information on the state of the company is relevant to its state prior to 28 February 2024, meaning two and a half years (and counting) without formal information about the company’s standing. You may have, per your perspective, valid reasons to have allowed this situation to get this far and maybe go further, but we state that it is unfair to have the Debenture- and Shareholders left in the dark in this way and getting little information on possible actions and progress towards resolution
For more than ten years Myburgh and the directors have practiced mushroom management (keep them in the dark and feed them “manure”) in respect of the Debenture Holders – their largest creditor and a liability of 2.227 billion as at 28 February ’24 – and probably also the Class D Shareholders (those Sharemax investors who opted to become shareholders rather than take the Debenture option, back in 2011/12
We are of the opinion that they are mushroom managing the CIPC also
We also put it to you that the time to stop continually letting the company “get away with it” has arrived and that with all of the non-compliance instances on record and the failure to deliver on their core mission after sixteen years, it is time to take drastic action. Court action to declare all of the directors delinquent and thus removed and with the company placed under administration pending actions to arrive at a new way forward is, in our opinion, highly appropriate
Whilst you have not responded to our previous mails, we trust that you will on this one and thank you in anticipation of same