Asian casino operator, Silver Heritage Group Limited, has reportedly announced that it has been served with a second interim injunction in Nepal relating to a plan that is to see it sell off its Tiger Palace Resort Bhairahawa venue for approximately $33.9 million.
According to a report, the Sydney-listed firm used an official filing to proclaim that the ‘second, new interim ex-parte injunction’ was issued against an unnamed pair of its Nepalese subsidiaries by the Rupandehi District Court and that it is now ‘considering legal advice on the effect and consequences of the injunction.’
Prominent property:
Opened in September of 2017 at a cost of around $52 million, Tiger Palace Resort Bhairahawa sits only about seven miles from the Nepalese border with India and features a 100-room hotel alongside villas, restaurants, banqueting facilities and a gym. The Nepalese venue moreover comes complete with a spa and a swimming pool while its 26,597 sq ft casino offers a selection of some 200 slots as well as about 52 gaming tables.
Settled sale:
Established in 2003, Silver Heritage Group Limited revealed in May that it was interested in selling off its Bhairahawa operation after its share price fell to an all-time low on the back of lower-than-expected revenues. GGRAsia reported that this was subsequently followed last month by a declaration that the firm had inked a deal to offload its Tiger Palace Resort Bhairahawa development for around $33.9 million so long as the buyer was able to deposit an initial $3 million payment into an escrow account by August 15.
Legal hurdle:
But, this was quickly followed by news that the Rupandehi District Court had granted a first temporary injunction that prevents Silver Heritage and its two Nepalese subordinates from selling or further developing the 23.5-acre Tiger Palace Resort Bhairahawa. This action was issued in response to a writ from a local water consumer committee amid claims that the casino firm has been illicitly encroaching onto four plots of adjacent public land.
Extra time:
However, Silver Heritage later responded to this injunction by declaring that the Nepal legal action would ‘not restrict the sale or construction on any plots legally owned by the company through its subsidiaries.’ Despite this assurance, the firm consequently affirmed that it had ‘yet to receive the deposit of $3 million’ and as a result had ‘granted an extension for the payment of the deposit’ that is now due to expire on September 10.
Corporate change:
In related news, it was reported that the filing from Silver Heritage Group revealed that Ben Watiwat is to step down as its Chief Financial Officer from September 6 ‘in order to pursue other opportunities.’ The official announcement additionally explained that Martin Wright, who served as the firm’s chief financial figure between 2006 and 2017, is to rejoin its ranks on a consultancy basis from next Monday.
A filing from Silver reas…
“Mr Watiwat has committed to assisting the company with an orderly handover.”