The trade union Solidarity has served a letter of demand on Aurora Empowerment Systems seeking payment of outstanding salaries and union fees for members following the company’s failure to fulfil its promises.
Solidarity ordered the company to pay R3.1 million in outstanding salaries since March 2010, and R13 000 in unpaid subscription fees to the union by next month.
In the letter handed to Aurora late on Tuesday, Solidarity threatened to apply for the liquidation of the troubled company should payment not be made within 21 days of receipt of the letter of demand.
Aurora is headed by Khulubuse Zuma, a nephew of President Jacob Zuma, and former president Nelson Mandela’s grandson, Zondwa Mandela.
In October 2009, the company took over the liquidated Pamodzi Gold’s Grootvlei and Orkney operations, but has suffered financial troubles, which have resulted in non-payment of workers. About 300 National Union of Mineworkers members have applied to receive overdue salaries.
Solidarity deputy general secretary Gideon Du Plessis said yesterday that a second letter of demand for R1.6m in salaries dating back to March 2010 would be served next week.
He said other creditors, including Eskom and three local logistics support companies, had requested that the union serve the letters simultaneously.
Du Plessis said that Aurora owed Eskom R48m, and the other three companies a total of R3m.
“Because of our (matter’s) urgency, we said no. The high court application will on February 28 decide whether or not to put the mine under final liquidation. We want to file letters of demand before then,” he said. “Until now, we have struggled to make headway, and we are going to take the matter to court as a last resort.”
Shirish Kalian of Kalian and Kathrada Attorneys, representatives of Aurora, was not in a position to say how much the company owed the power utility. “Until we have seen the agreement between Aurora and Pamodzi, we can’t say how much money Aurora owes Eskom,” he said. - Business Report