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Asiatravel.com Holdings, subsidiary granted moratorium by High Court until Nov 30
THE High Court has granted Asiatravel.com Holdings and its subsidiary a moratorium until Nov 30 this year, the company said in a filing to the Singapore Exchange on Wednesday.
As per the Court's orders, the moratorium will restrain a number of actions until that time, including the passing of a resolution for the winding-up of the companies. Asiatravel had previously said that it, together with subsidiary AT Reservation Network, had on Aug 7 filed applications with the High Court to seek a moratorium against enforcement actions and legal proceedings by its creditors, with the intention of subsequently proposing a scheme of arrangement.
Trading in shares of Asiatravel has been suspended since July 6, after its controlling shareholder missed a scheduled funding payment of S$7.35 million to the company at end-June.
Independent auditor Ernst & Young has made a disclaimer of opinion on the group's 2017 financial statements, flagging going concern issues.
On July 13, Asiatravel was slapped with a notice of intent to suspend the group, under the Travel Agents Act, by the Singapore Tourism Board (STB).
In a Sept 5 filing, Asiatravel said that it submitted a response letter to the STB to show cause against the suspension, and the STB had responded with further queries to which the company has since answered. It added that it is awaiting the STB’s decision on the matter.