MKM seeks stay of execution

MASERU — MKM lawyers say they have applied for a stay of execution of acting High Court judge John ’Musi’s May 18 judgment to liquidate the company.

Attorney Thabang Khauoe told the Lesotho Times last night that he applied for the stay of execution on May 19 after filing an appeal in the Court of Appeal against Justice ’Musi’s judgment.

“We have applied for a stay of execution pending appeal as it has to be immediately when one files papers for appeal in the Court of Appeal,” Khauoe said.

He however declined to give the reasons for the appeal saying he was not at his office and was not comfortable talking without referring to his papers.

Justice ’Musi ordered the liquidation of MKM Marketing Ltd, Star Lion Gold Coin Investment (Pty) Ltd, Star Lion Group Ltd and Star Lion Insurance Ltd in a marathon case that saw six local judges recusing themselves from it.

He was hired from the Free State bench in South Africa to deal with the liquidation case after both the High Court and Court of Appeal found the four MKM companies guilty of illegally operating banking and insurance businesses.

After the Court of Appeal ruling the Central Bank of Lesotho filed an application seeking the liquidation of the four companies.

The CBL had asked the High Court to grant an order to consolidate the estates of the companies and have the firms liquidated as a single entity.

Justice ’Musi ordered that attorneys Chavonnes Badenhorst of St Clair law firm in Bloemfontein and Webber Newdigate’s Gerhardus Roberts should be the joint provisional liquidators.

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