First Tech Group has been placed under provisional liquidation, which could result in some 5,000 to 7,000 job losses. With unpaid debts the company attempted a business rescue, but that failed. The consulting firm specialising in business rescue appointments and restructuring distressed corporate debt, Matuson Associates said:

Once liquidators have been appointed, they intend to get in contact with all affected persons.

First Tech Group’s owner Jeff Wiggill was murdered in June 2013. Wiggill was found with gunshots wounds to the head. He had reportedly been hijacked and was taken to Soweto. According to inside sources from the investigation, Wiggill’s murder may be linked to the company’s huge debt crisis.

Andy Bertulis, First Tech CEO said in a statement:

Since the demise of Mr Wiggill, it has become necessary to unravel a number of complex and intricate financial transactions concluded for and on behalf of the group.

The company was established over two decades ago and has numerous divisions and production facilities across South Africa. Their products supply the railway, civil engineering, mining, agriculture, construction and petro-chemical industries.

The company responsible for supplying steel to the Medupi power station, Cosira, was bought out by First Tech Group. Failed business rescue attempts have also resulted in the company being provisionally liquidated.

[Source: Fin24]