Notes to the Financial Statements continued Group Company 2015 R’000 2014 R’000 8. Other financial assets Company AFRICAN DAWN 79 ANNUAL REPORT 2015 2015 R’000 2014 R’000 Loan to purchaser of Elite Rustenburg Mines Proprietary Limited - 462 - - - 462 - - Loan to purchaser of Elite Rustenburg Mines Proprietary Limited impairment - (462) - - - - - - Loans and receivables 724 1,554 - - Elite Cell A cell captive agreement was entered into with Guardrisk Group (Pty) Ltd ("Guardrisk") that allows trade debtors to insure their loans against death, disability and retrenchment. It is in a closed cell that does not share risk. Current assets Elite Cell 724 1,554 - - Elite Cell and the loan due by the purchaser of Elite Rustenburg Mines Proprietary Limited are part of Elite. Elite was classified as a non-current asset held for sale in the 2014 year but has been restated into operations for comparative reasons in the current year. (Refer to notes 42 and 43).The cash in Elite Cell can only be accessed by submitting a claim to Guardrisk or by Elite Cell declaring a dividend. Elite Rustenburg Mines Proprietary Limited was sold in the 2011 financial year for a total of R1 223 000 repayable at R25 000 per month. The outstanding balance is recoverable by way of a renegotiated settlement agreement, stipulating renegotiated repayment terms with additional security for Afdawn Group. The amount does not attract interest. The security on the receivable is an unsecured debtors book that is being collected by Elite and all collections are for the benefit of Elite. In 2014, an impairment of R462 000 was recognised because a cession on certain debtors that was used as security on the loan proved to be uncollectable.
AFRICAN DAWN 2015 Annual Report
To see the actual publication please follow the link above