Oliver Mtasa appointed Metro Peech and Browne Whol...

Oliver Mtasa appointed Metro Peech and Browne Wholesalers corporate rescue practitioner

Zim Now Writer

Legal practitioner Oliver Mtasa of Crowe advisory Private Limited, has been appointed corporate rescue Practitioner of Metro Peech and Browne Wholesalers.

This follows the placement of the firm under corporate rescue on August 31, under CR9/23 in line with the provisions of section 122(3) of the Insolvency Act.

Mtasa, as a result, has the power to manage the company in accordance with the provisions of section 133 of the Insolvency Act (chapter 6:07).

“During corporate rescue proceedings, no legal proceedings, including enforcement action, against the company, or in relation to any property belonging to the company or lawfully in its possession, may be commenced or proceeded with in any forum,” the notice posted on Zimbabwe Economic Review’s X wall reads.

There are cases, however there are exceptions where proceedings against the firm may continue, which include, the written consent of the practitioner; or with the leave of the Court and in accordance with any terms the Court considers suitable; as a setoff against any claim made by the company in any legal proceedings, irrespective of whether those proceedings commenced before or after the corporate rescue proceedings began; or criminal proceedings against the company or any of its directors or officers.

Introduced in the country in 2018 through the Insolvency Act (chapter 6:07), the concept of corporate rescue, also known as business rescue was aimed at doing away with judicial management, which had failed to achieve desirable results in turning around the fortunes of distressed companies.