Italian tycoon faces $700k externalisation rap

An Italian tycoon has been accused of externalising over $700 000 through two of his South Africa-based companies, prejudicing a local engineering firm he co-owns with another businessman.

Tony Renato Sarpo is now at the centre of a business dispute, following allegations by his partner Wayne Williams that he externalised the money to his companies in South Africa and now wants the local engineering firm liquidated to recover his shareholding.

Williams, who is the director of Yagden Engineering which provides ball mills, crushers and conveyors to small-scale miners, has since released a statement, claiming Sarpo transferred over $700 000 to LMF Imports and Exports; and Agriparts.

He argues that the company must not be liquidated. He instead proposed for an audit to be carried out to ascertain the amount of money owed to the Italian businessman.

Williams said that he suspected that Sarpo was involved in externalisation because of the huge electronic transactions that were carried by the company to foreign accounts that they never dealt with.

In his High Court application for the company to be liquidated, the Italian businessman argues that winding up the firm is the only way that is “just and equitable.”

Williams on the other hand insists that Sarpo’s dues must be ascertained through an audit, adding that his partner has been refusing to have the assessment carried out and has been playing “evading games”.

Sarpo on the other hand claims that the relationship between the two business associates has irretrievably broken down. Daily News