Post Provisional Judicial Management Order

February 2010

Administration

A total of 783 e-mails and 27 faxes were received and answered.

During the month of February the Forensic Auditors’ reports were

finalized. These findings will be discussed per Property Company in this report.

A website was created for the benefit of all stakeholders at www.bzunderjm.co.za

Re-iteration of Important Notice:

It is extremely important to note that only the property companies are currently under provisional judicial management. The investors’ monthly income is however paid from the holding companies of every syndication project. The holding companies receive their income from the property companies AFTER all operational costs have been settled and then pay the shareholder.

Although each company is a separate legal entity and must be administered as such the common factor in this group of companies, is Bluezone Property Investments (in liquidation) being the promoter of all the syndication companies.

As you may be aware, the demise of Bluezone Property Investments (Pty) Ltd (in liquidation) and the syndication companies was created by the liquidation of Spitskop Village Properties Limited (in liquidation) on the 21 August 2009. We suggest that you familiarize yourself with that application and especially the allegations made therein. You will find all the relevant documentation on a website www.spitskoppropinliq.co.za.

As reported in the media on Sunday 6^th December 2009, many of these companies were subsidized on a monthly basis via interlinked company loans from the promoter Bluezone Property Investments (Pty) Ltd (in liquidation). These company loans became payable on date of liquidation and the provisional judicial managers  are in the process of negotiating a monthly repayment with the liquidators of Bluezone Property Investments (Pty) Ltd (in liquidation).

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