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Accounts Receivable, Net And Other Receivables And Finance Loans Receivable, Net
 12 Months Ended
Jun. 30, 2020
Accounts Receivable, Net And Other Receivables And Finance Loans Receivable, Net [Abstract]  
Accounts Receivable, Net And Other Receivables And Finance Loans Receivable, Net

5. Accounts receivable, net and other receivables and finance loans receivable, net

Accounts receivable, net and other receivables

The Company’s accounts receivable, net, and other receivables as of June 30, 2020, and June 30, 2019, are presented in the table below:

June 30,June 30,
20202019
Accounts receivable, trade, net $8 458$12 637
Accounts receivable, trade, gross 8 71113 298
Allowance for doubtful accounts receivable, end of period253661
Beginning of period661678
Reversed to statement of operations(155)(22)
Charged to statement of operations 1813 118
Utilized (151)(3 059)
Deconsolidation(178)(38)
Foreign currency adjustment (105)(16)
Taxes refundable related to sale of Net1 Korea (Note 3)19 796-
Loans provided to Carbon3 0003 000
Current portion of amount outstanding related to sale of remaining interest in DNI (Note 10)2 756-
Loan provided to DNI-4 260
Other receivables 9 05811 238
Total accounts receivable, net $43 068$31 135

Accounts receivable, trade, gross includes amounts due from customers from the provision of transaction processing services, from the sale of hardware, software licenses and SIM cards and rentals from POS equipment. The Company did not record any bad debt expense during the year ended June 30, 2020 and 2019, respectively and bad debts incurred were written off against the allowance for doubtful accounts receivable. During the year ended June 30, 2018, the Company recorded bad debt expense of $0.1 million.

The loan provided to Carbon was scheduled to be repaid before June 30, 2020, however, Carbon requested a payment holiday as a result of the impact of the COVID-19 pandemic on its business. The parties had not agreed new repayment terms as of June 30, 2020, but the Company acknowledges these unexpected challenges currently facing Carbon and continues to engage with Carbon to agree a revised repayment date. The Company does not believe that the loan provided to Carbon is impaired. The current portion of amount outstanding related to sale of remaining interest in DNI as of June 30, 2020, relates to the transaction completed in April 2020 (refer to Note 10). The loan provided to DNI as of June 30, 2019, was repaid in full in July 2019. Other receivables include prepayments, deposits and other receivables.

Finance loans receivable, net

The Company’s finance loans receivable, net, as of June 30, 2020, and June 30, 2019, is presented in the table below:

June 30,June 30,
20202019
Microlending finance loans receivable, net$15 879$20 981
Microlending finance loans receivable, gross17 73724 180
Allowance for doubtful finance loans receivable, end of period1 8583 199
Beginning of period3 1994 239
Reversed to statement of operations (492)-
Charged to statement of operations 1 21128 802
Utilized (1 451)(29 721)
Foreign currency adjustment (609)(121)
Working capital finance loans receivable, net--
Working capital finance loans receivable, gross5 8005 800
Allowance for doubtful finance loans receivable, end of period5 8005 800
Beginning of period5 80012 037
Charged to statement of operations -748
Utilized -(6 985)
Total accounts receivable, net $15 879$20 981

Total finance loans receivable, net, comprises microlending finance loans receivable related to the Company’s microlending operations in South Africa. During the year ended June 30, 2019, the Company recorded an increase in its allowance for doubtful microlending finance loans receivable of approximately $28.8 million. This high level of allowance related to the non-funding of accounts for a portion of the EPE customer base as a result of the auto-migration of the customer base to the South Africa Post Office account offering during the three months ended December 31, 2018. During the year ended June 30, 2019, the Company utilized $29.7 million of this allowance for doubtful microlending finance loans receivable.

Gross microlending finance loans receivable as of June 30, 2020, were lower than as of June 30, 2019, partially due to the impact of COVID-19 on the Company’s microlending business. The Company was unable to originate loans in April and early May 2020, and therefore the lending book reduced significantly as customers made scheduled repayments. The lending book has subsequently increased through August 2020 as the Company recommenced loan originations from mid-May 2020.

During the year ended June 30, 2018, the Company exited its working capital finance businesses in Europe and the United States. The Company created an allowance for doubtful working capital finance receivables related to receivables due from customers based in the United States during the year ended June 30, 2018, and utilized approximately $6.8 million of this allowance during the year ended June 30, 2019.