In a significant development, Shanti Holdings, a company based in Fiji, has recently been involved in a bankruptcy case that could have wider implications for its operations and partners. On January 8, 2025, Chief Justice Kamal Kumar presided over the matter, focusing on Shanti Holdings’ debt of over FJD 1,000,000 owed to Pacific Timber Limited, which is also located in Fiji. The company failed to meet its financial obligations, leading Pacific Timber to commence proceedings under the Companies Act of 2016, seeking to have Shanti Holdings wound up due to insolvency. This action was prompted by Shanti’s inability to settle debts, raising concerns about its overall financial health.
The Chief Justice noted that Shanti Holdings had ample opportunity to present evidence regarding its financial status. However, the company’s representatives did not appear in court, leading to a default judgment against them. This absence from the proceedings indicates deeper issues within Shanti Holdings’ administration. During the hearing, it was revealed that the company had not filed its annual returns for several years, a clear sign of mismanagement and negligence. Such non-compliance can have serious ramifications for a company’s ability to maintain operations and secure new partnerships.
As Shanti Holdings faces possible liquidation, the implications extend beyond its immediate financial troubles. Stakeholders, including employees and suppliers, may be significantly affected as uncertainty looms over the company’s future. In Fiji’s volatile business environment, insolvency cases like this one draw attention to the challenges many businesses face in maintaining fiscal responsibility and accountability.
Publication Date: 2025-01-10 08:20:51
Read the full story by: Lexology
You may also be interested in the following websites:
Insolvency News USA
Forced Sale
Insolvency Practice
Liquidation Helpline
