BLANTYRE-(MaraviPost)-The High Court in Blantyre is set to hear a case concerning a debt of approximately K8 billion, which former employees of Press Trust Company (PTC) claim is owed to them as well as to other parties who supplied goods and services to the company up to 2022 when PTC was shut down.
According to the presiding judge, Masauko Msungama, the case will be heard in November this year, although the exact date is yet to be announced.
Representing the former employees and service providers of PTC, legal counsel Bruno Matumbi has petitioned the court to compel Press Corporation to assist in recovering the outstanding funds.
The claimants argue that for nearly five years, they have endured financial hardship because they have not received the money owed to them.
Matumbi stated that Press Corporation held a significant share in PTC and had committed to supporting the company, including repaying part of its outstanding debts.
He explained that the employees and suppliers are seeking the court’s intervention to ensure that Press Corporation fulfills its obligations to facilitate repayment.
Press Trust Company (PTC) was once a prominent Malawian company involved in various business ventures, including manufacturing, trading, and service provision.
However, the company faced severe financial challenges leading up to its closure in 2022. Mismanagement, liquidity issues and a combination of internal and external financial pressures contributed to its downfall.
The closure left numerous employees unpaid and disrupted the supply chain, affecting companies and individuals who had provided goods and services to PTC.
Press Corporation, a major shareholder in PTC, had previously pledged to support the struggling company, including settling outstanding debts but progress on these commitments has been slow, prompting legal action.
In response to the court petition, Press Corporation representatives, led by Modecai Msiska, indicated that by November they will provide the court with a detailed explanation of their position regarding the employees’ claims and related matters.
The case highlights the ongoing financial and legal challenges faced by former PTC workers and suppliers, as well as the role of Press Corporation in addressing legacy debts.
Observers say the outcome could set an important precedent for corporate accountability and the protection of workers’ rights in Malawi, reinforcing the responsibility of major shareholders to honor commitments during company insolvencies.