Premier Soccer League outfit Royal AM's proposed takeover has hit a snag after the potential buyer Roy Moodley failed to meet his end of the bargain.
Initially, the businessman had shown interest in acquiring the club by securing the rights to run the team and own it after SARS had put it on sale to recover their monies – tax that had not been remitted by Shauwn Mkhize, who was running the club.
Moodley had managed to beat other bidders, Mpumalanga, Free State, Gauteng, and DR Congo, with players also getting an official communication to resume training in preparation for the top-tier assignments. Twihli Twahla had not played any competitive game since December 29; by that time, they had played 11 PSL matches.
However, in a quick turn of events, the takeover hit rock bottom after the buyer failed to remit the monies as agreed.
The cancellation of the agreement explained
“In terms of clause 12 of the invitation to submit offers [as agreed], the successful offeror was required to within a period of three days (payment period) of being advised by the curator ‘bonis' in writing that he, she or it is the successful offeror, pay the accepted offer amount (minus the deposit amount) into the trust account of VZLR Inc.,” the curator said in a statement.
“Notwithstanding numerous demands to the representative (s) of Global Investments to comply with its obligations in accordance with ‘inter alia' the sale agreement…
“As a result of the aforesaid failure to make payment as required, the curator ‘bonis' was left with no other option but to cancel the agreement with Global Investments, which election was communicated … to the offeror's representatives.
“The curator ‘bonis' notified the members of the Executive Committee of the National Soccer League shortly thereafter as they were to meet to deliberate the matter…”
The South African Revenue Services (SARS) took over the KwaZulu-Natal club in an effort to recover the R40 million in taxes owed by Mkhize.
