Cape Town-based unified communications service provider Far South Networks has been placed under liquidation.
The company was wound up by way of special resolution in terms of section 351 of the Companies Act, as registered on 23 June.
Craig Maclean Hathorn and Tania Oosthuizen were appointed as provisional liquidators on 17 July, while Christopher Peter van Zyl joined as final liquidator at the first meeting of creditors.
The liquidators say the first meeting of creditors was held before the magistrate in Wynberg on 25 August, and no claims were proved at this meeting.
As at the date of liquidation, Grant Broomhall was the sole registered director and shareholder of the company.
ITWeb sent an e-mail to Far South Networks about the liquidation, but did not get a response by the time of publication. Phone calls to the company’s switchboard also went unanswered.
Founded in 2006, Far South Networks touted itself as “a world-leading designer and manufacturer of IP telephony platforms”.
Far South’s products integrated communications hardware with open standards-based telephony software applications, providing business users with “cost-effective, full-featured, reliable and easy-to-use platforms” for the converged voice and data market.
According to its LinkedIn page, the company had up to 50 employees.
Far South Networks also specialised in the development of next-generation telecommunications platforms for voice, data and voice over IP networks.
During its heyday, Far South Networks was awarded two technology grants from the Industrial Development Corporation’s Support Programme for Industrial Innovation for the development of the Comma iTA and Com.X5 products.
Poor trading conditions, erratic hardware supply and substantially reduced turnover during the COVID-19 pandemic, together with an unserviceable debt burden, are cited as causes of the failure of the once thriving company.
As recently as April, Far South Networks appointed BITS Secure IT Infrastructure as its new Middle Eastern partner.
The liquidators say they are not aware of any offences or contraventions by Far South Networks at this stage, adding it does not appear the director (Broomhall) incurred personal liability through his actions.
“The liquidators are not aware of any legal proceedings by or against the company in liquidation, save those associated with the collection of outstanding debts,” the liquidators note.
The company’s movable assets are set to go under the hammer at a public auction scheduled for 16 September.
The liquidators add that nominal equity has been generated in fulfilment of post-liquidation contracts, and they are attempting to realise the company’s IP, and any successful conclusion will largely determine whether any dividend will accrue on concurrent claims.
“Creditors are requested to consider the adoption of the annexed resolutions and the granting of any further direction which may be applicable, to condone the liquidators’ actions to date, and to facilitate their further administration of the estate.”
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