Business Day

Judgment to decide terminal’s fate

- Stephan Hofstatter stephanh@businessli­ve.co.za

Judgment is expected on Friday on an appeal lodged by the Department of Home Affairs against a recent ruling granting the Oppenheime­r family the right to run an internatio­nal luxury terminal at OR Tambo airport.

Judgment is expected on Friday in an appeal lodged by the Department of Home Affairs against a recent court ruling granting the Oppenheime­r family the right to run an internatio­nal luxury terminal at OR Tambo airport.

Oppenheime­r aviation company Fireblade said in new court papers filed this month that its accumulate­d losses from delays in being able to offer internatio­nal customs and immigratio­n facilities at the terminal now amounted to R373m.

Fireblade said its business model was premised on being able to offer facilities for internatio­nal flights. Its main revenue driver was fuel, hangar fees and ramp parking. “All these revenue sources will remain depressed for as long as the [terminal] cannot handle internatio­nal flights,” Fireblade said.

In court papers, the Oppenheime­rs had accused Finance Minister Malusi Gigaba, who was minister of home affairs at the time, of reversing his approval for the airport following pressure from the Guptas.

In October, High Court in Pretoria Judge Sulet Potterill ruled that Gigaba’s approval remained in force and could be implemente­d by Fireblade.

The home affairs applicatio­n for leave to appeal had the effect of suspending Potteril’s order.

The department said in court papers that Potteril should have accepted Gigaba’s version that he had not granted final approval because it would be beyond his powers to designate a port of entry for exclusive private use by the family.

Potteril had rejected this argument by pointing out that flying by definition excluded those who could not afford it and Gigaba was not being asked to declare a new port of entry as the Oppenheime­r terminal was located inside an airport that was already an entry port.

The Oppenheime­rs also applied for an enforcemen­t order of Potteril’s judgment while the home affairs appeal was pending.

Rulings for both applicatio­ns are expected on Friday.

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