application of Gore NO and Others (18127/2012), Ex parte
application of Gore NO and Others (18127/2012), Ex parte [2013] ZAWCHC 9; 2013 (3) SA 382 (WCC) (13 February 2013)
The court found that the King Group companies were operated as a single entity, with the controllers disregarding the separate legal personalities of the subsidiaries and using investors' funds in a manner inconsistent with representations. This constituted an unconscionable abuse of juristic personality under section 20(9) of the Companies Act. The statutory provision provides a broad and flexible basis for disregarding corporate personality when justified by the facts, and does not require the absence of alternative remedies. The court declared that the relevant subsidiaries should be deeme…
Source excerpt
- Piercing Corporate Veil
- Companies Act Section 20 9
- Group Enterprise Liquidation
- Unconscionable Abuse Of Juristic Personality