Jaguar Land Rover vs CMC Holdings! Press Statements

Posted on December 6, 2012

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LAND ROVER SUB SAHARA AFRICA
SUBJECT: New Partner in Kenya
DATE: 06 December 2012
TO: All sub-Sahara Africa media

Jaguar Land Rover is pleased to announce the appointment of a new partner in
Kenya, the RMA Group.
The current partner, CMC Motors will remain with the franchise until the end of its
current contract which ends in February 2013.
The RMA Group brings a broad range of expertise and experience in the motor
industry particularly with the Jaguar Land Rover brand, which they currently represent
in other global markets.
Kenya is a market that offers real future potential in sub-Sahara Africa for Jaguar Land
Rover and this new appointment comes at a time when the product range is
expanding at an unprecedented pace.
End.
Willem Schoeman
Marketing / PR manager
Jaguar Land Rover sub-Sahara Africa
Tel: +27 12 450 4000
Fax: +27 12 450 4002
Email: wschoem1@jaguarlandrover.com

 

PRESS STATEMENT FROM CMC in Response to purported appointment of a new agent for JLR in Kenya and Uganda

DECEEMBER 06, 2012

We have learnt with surprise of the decision by JLR to terminate its relationship with CMC. That decision is not only highly unprocedural and mischievous but it is also in total disregard of the tremendous progress that has been made by CMC towards meeting the demands made by JLR. Since June 2012, CMC has taken steps involving huge financial outlay, to meet unilateral and onerous requirements imposed upon it by JLR.

 In that connection, it has met all its financial obligations, and has continued to order products. In addition and at JLR’s behest, it has spent over 50,000 USD attending overseas business functions.  All its said efforts and numerous proposals it made were visibly well received by JLR. With the benefit of hindsight, it is clear that JLR all along intended to take the impugned decision meaning that it has all along been acting in utmost bad faith.

 We have noted the entity that JLR has purported to appoint to take up the Franchise. In view of past and ongoing relations between the parties, it is clear that the decision to terminate the relationship was pre-conceived long ago and that JLR has been unfairly leading CMC along. In the process it misrepresented its true intentions and thereby occasioned CMC loss and prejudice. 

 It is now not difficult to figure out who was behind concerted efforts to wage a smear campaign against the board and the new management of CMC by leaking information to the press.

We believe that this decision is in bad faith and is intended to defeat the ongoing investigations into previous improprieties in the company.

 It is common knowledge that serious allegations of misappropriation of funds belonging to CMC have been made and that JLR was involved in the movement of those funds to Jersey bank accounts. It is curious that as soon as the said scheme was unearthed JLR reacted by purporting to terminate a relationship that has been in existence for over thirty years. The timing of the purported termination in the middle of investigations and enquiries into the misappropriation of funds belonging to CMC is most telling. It is difficult to escape the conclusion that the illegal actions of the previous management team and board were acceptable to JLR and that it is unhappy with the steps taken by the new management and board to seal all loopholes used to siphon company funds.

As CMC management we are committed to meeting and observing our contractual obligations and expect our partners to do likewise. We are discussing the options available to CMC with a view to taking necessary action to protect the interests of the Company, our shareholders, customers and staff.

William Lay

Group CEO & Managing Director CMC

 

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