THE Western Cape High Court yesterday placed six Pinnacle Point Group subsidiaries in provisional liquidation and invited interested parties to show why they should not be placed in final liquidation, writes Ernest Mabuza .
It also dismissed an application by Pinnacle director Ivor Stratford to place five of the six subsidiaries under business rescue. The liquidation application was brought by Investec Bank, owed R115m .
The granting of the provisional liquidation orders is likely to cripple property developer Pinnacle Point Group. The company, placed under business rescue last month, had hoped the court would provide for the rehabilitation of its distressed subsidiar ies .
Leonard Katz, a director at Edward Nathan Sonnenbergs who represented Investec, said the banking group received a “bunch” of applications from Mr Stratford on the morning of the hearing, purporting to apply for business rescue for the subsidiaries.
Mr Katz said Judge Nathan Erasmus viewed the documents as an attempt to delay liquidation proceedings.