Companies Fight EFCL Winding Up

By Sue-Ann Wayow

COMPANIES and individuals, who are owed millions of dollars by debt-ridden Education Facilities Company Ltd (EFCL), and object to the winding up of the company, have until May 31 to file affidavits in court in opposition.

The Petition to wind up EFCL was heard virtually on Monday in the High Court before Justice Carol Gobin.

And by 15 June, EFCL has to file its affidavits in reply to those in opposition to the winding up.

A petition was presented to the High Court for the winding-up of the EFCL on February 28 which was the same date, a purported notice of termination to EFCL staff members, was circulated widely on social media.

Subsequently a notice was published in the newspapers advising that Justice Gobin was assigned to hear the winding-up petition and any creditor or contributory to the EFCL desiring to support or challenge the petition, was asked to attend the hearing either in person or through their attorney.

On Monday, there were 21 listed companies and individuals represented by either attorneys or themselves. Another 6, who were not listed to appear, also appeared.

Out of 21, there were several objections to the petition including from Tohmatsu Technologies Ltd, Benchmark Construction Ltd, Mikhail Heerasingh and Fitness Centre Ltd.

The Companies Act of T&T Chap. 81:01 (the ‘Companies Act’) provides for two overarching modes of dissolution or winding up, namely Winding Up by the Court (i.e. Compulsory Winding Up) and Voluntary Winding Up.

During the hearing, several lawyers including Prakash Ramadhar, Devesh Maharaj and Winston Seenath all contended that an initial seven-day period which was proposed to file the affidavits was not enough time given the complexities of the issue.

Ramdhar said, “It is not a simple issue of winding up.”

Justice Gobin eventually agreed to give one month’s time for creditors to file their affidavits.

After consensus, it was agreed that the next court hearing would be on July 4 at 10.15 by virtual means, after affidavits are filed and before legal submissions are ordered to be filed.

EFCL was represented by Senior Counsel Deborah Peake leading Ravi Heffes-Doon and Tamara Toolsie instructed by Savitri Sookraj-Beharry of Pollonais, Blanc, de la Bastide & Jacelon.

Creditors or their representatives who attended Monday’s hearing were: