Africa

Court gives Sama deadline to provide documents to avoid liquidation

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This followed the Constitutional Court’s dismissal of the organisation’s appeal application to set aside a Labour Court ruling ordering Sama to pay back monies it unlawfully withheld from the Sama trade union for 20 years.

JOHANNESBURG – The South African Medical Association (Sama) has until 16 April to submit its court documents defending why it should not be forced into liquidation.

This followed the Constitutional Court’s dismissal of the organisation’s appeal application to set aside a Labour Court ruling ordering Sama to pay back monies it unlawfully withheld from the Sama trade union for 20 years.

READ: Sama loses ConCourt bid to appeal ruling ordering it to return Samatu millions

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The Sama trade union administrator filed a winding-up application in court shortly after the Constitutional Court ruling a week ago.

Should the liquidation process succeed, Sama, which represents the interests of thousands of doctors across the country, may cease to exists as we know it.

For over 20 years, the medical association operated the trade union as its subsidiary, sometimes exercising full control of its affairs against prescripts of the Labour Relations Act.

However, the “scheme” was brought to a halt after former leaders of the trade union and some Sama members took the organisation to court last year and succeeded.

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The crux of their complaint was that Sama was defrauding the union and the initial court ruling supported this stance, ordering Sama to pay back the hundreds of millions which it had accumulated through the union for years.

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