One of the largest construction companies on the island, the Building & Civil Engineering Co Ltd (BCE) has been placed in to liquidation following unsuccessful attempts to obtain funds from banks to keep afloat.
According to Le Mauricien, the news sent “severe shockwaves” to the company’s 400 employees, some of whom have children studying abroad.
Under new legal provisions and under the Insolvency Act, Mushtaq Oosman, Ruben Mooneesawmy and Anjeev Hurry have been appointed as joint liquidators effective Friday July 15, the company said in a statement.
Their task will be to collect monies due to the company and sell the assets of the company to repay creditors – and eventually close down the company.
Before the 2021 confinement, BCE’s management had reportedly deployed a multi-pronged rescue plan that included staff cuts, voluntary salary cuts, drastic efforts to contain other fixed costs and measures to boost productivity while increasing turnover.
By the end of 2021, fresh funds were injected into the company through shareholders and bank loans.
Nevertheless, BCE’s financial situation reportedly remained precarious, and other initiatives triggered to save the company were unsuccessful.
“For BCE management, the top priority has always been to save jobs and pay creditors that have supported BCE for many years. This is a real tragedy unfolding in front of us,” Defi Media cited a communique from the company as stating.
The BCE has been a key player in the Mauritian construction industry for 74 years.
