HCI REACHES R400m SETTLEMENT WITH LOTTERY OPERATOR ITHUBA

Hosken Consolidated Investments had gone to court seeking to claim management fees it says it was owed by Ithuba.

Hosken Consolidated Investments (HCI) and lottery operator Ithuba have called off their court battles after reaching a R400m settlement.

HCI said the settlement was to the “mutual satisfaction” and that all agreements between the two have been cancelled, and all litigation called off.

In July, after a five-year legal battle, HCI was awarded the right to examine Ithuba’s financial statements.

The investment group had taken legal action against Ithuba, saying that it was owed management fees by the lottery operator.

HCI had made an urgent court application seeking access to Ithuba’s financial statements, which was dismissed in November.

The matter was taken for arbitration where it was decided that HCI should have oversight rights as these were agreed to when it gave Ithuba R325m.

Source: Business Day – with Alistair Anderson gernetzkyk@businesslive.co.za