Court freezes Gupta mine funds

27 September 2017 - 06:41 By Kyle Cowan
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Brothers Ajay and Atul Gupta. File photo.
Brothers Ajay and Atul Gupta. File photo.
Image: MARTIN RHODES

The Pretoria High Court granted an urgent interim interdict yesterday to freeze the R1.75-billion rehabilitation trust funds of the Gupta-owned Optimum and Koornfontein coal mines.

The application, brought by the Organisation Undoing Tax Abuse, was unopposed.

The main application will be heard on December 7.

The funds are being kept by the Bank of Baroda, which last week fought off an urgent application by 20 Gupta family companies to force it to keep their accounts open.

Outa expressed concerns in court papers that the funds could be at risk, considering imminent account closures.

According to previous reports, the Gupta family owes Baroda about R800-million.

Outa said the interim order directed Bank of Baroda to hold on to the Optimum and Koornfontein mine funds.

"This is another sweet victory for South Africa," Ben Theron, Outa operating officer, said.

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