Controversial Indian origin Gupta family’s coal and mining operations in South Africa are to be sold off after its proprietors left the country amid increasing allegations of their irregular dealings with state departments.
GoIndustry Dovebid, the business rescue practitioners of the Gupta-owned Optimum Coal Mine, Optimum Coal Terminal and Koornfontein Mines, said that eight offers, including disposing of the coal mine assets-allocation at the Richards Bay Coal Terminal, had been received for the assets of these companies, which were put up for auction early this month.
The company will ease meetings between the major creditors and the prospective buyers, after which creditors will vote on a proposed business rescue plan that could return at least their investments to some extent.
According to analysts, the prospective buyers were likely lured by the opportunities that the Optimum Coal Mine presented for operating well beyond 2030. The mine also supplies an electricity-generating company.
The three Gupta brothers, who are originally from Saharanpur in Uttar Pradesh, have been accused of misusing their relationship with former president Jacob Zuma to secure lucrative deals.
Zuma stepped down as president in February last year after huge outcries over his alleged participation in illegal and corrupt activities that left a number of government departments bankrupt. He was replaced by President Cyril Ramaphosa, who was later re-elected during the national election.
