LML4806– Assignment 01 Answers (April 2025)- For expert assistance with assignments and exam preparation, contact 0/8/3/2/8/6/8/4/6/5.

LML4806– Assignment 01 Answers (April 2025)- For expert assistance with assignments and exam preparation, contact 0/8/3/2/8/6/8/4/6/5. 2 ASSIGNMENT 2 Question: 1 Mashudu and Peter are the only directors of Star Engineering (Pty) Ltd. Peter was appointed as an executive director of Star Engineering (Pty) Ltd two years ago under a five-year contract of employment with the company. Mashudu is concerned that for the past two financial years Peter has been failing to ensure the timely preparation and submission of the company’s annual financial statements, and that Peter omitted to sign the annual financial statements for the previous financial year as the authorised director, as required. Mashudu approaches you for legal advice regarding the removal of a company director. Advise Mashudu on the following matters: 1.1 Whether there is any valid basis to remove Peter as a director of Star Engineering (Pty) Ltd. (3) 1.2 The procedure that must be followed and the rights that Peter has in terms of the Companies Act 71 of 2008 should Mashudu decide that he (Peter) must be removed as a director of Star Engineering (Pty) Ltd. (12) Question: 2 Springbok Finance (Pty) Ltd is one of the creditors of Falcon Airlines Ltd. The board of directors of Falcon Airlines Ltd passed a resolution placing Falcon Airlines Ltd in voluntary business rescue and appointed Ntando as the business rescue practitioner. Springbok Finance (Pty) Ltd believes that Falcon Airlines Ltd can be successfully rescued. However, Springbok Finance (Pty) Ltd is dissatisfied with the way Ntando is performing his duties as the business rescue practitioner as he has failed to implement the approved business rescue plan. Ntando has also not been preparing and submitting the required monthly reports even though the business rescue proceedings have lasted longer than three months. Springbok Finance (Pty) Ltd wants to appoint Andile, an experienced business rescue practitioner in the airline industry, to replace Ntando as the business rescue practitioner of Falcon Airlines Ltd. Explain whether there are grounds to remove Ntando as the business rescue practitioner, and if so whether Springbok Finance (Pty) Ltd may appoint Andile to replace Ntando as the business rescue practitioner of Falcon Airlines Ltd. (5)