MWENYE SUES GOVT FOR K65M

Fri, 05 May 2017 10:09:04 +0000

Former Attorney General Musa Mwenye’s law firm was behind the K65million debt claim against Zimco properties in liquidation over which Zambia’s tallest building Findeco House was seized by bailiffs.

The Government has disputed owing the amount which is apparently made up of accumulated interest and costs after the principle debt of US$814,422 was settled.

Mr. Mwenye is one of the lawyers recently hired by the cartel captured Law Association of Zambia (LAZ) to represent Nchima Nchito in an impersonation charge filed by the Post Newspaper in Liquidation general manager Robert Chabinga in a matter before the Lusaka Magistrates’ Court.

The Lusaka High Court has since issued a stay of execution and halted the property seizure and eviction of tenants from the building.

It was claimed that ZIMCO Limited in Liquidation failed to pay interest and  costs to former Attorney General’s  clients who subsequently sued and won the case resulting in the seizure of the building.

However the Government has since disputed the claim stating that the amount  of US$814,422 owing had already been paid, but contention surrounded the interest claimed which seems to have mushroomed to K65million.

Justice Sunday Nkonde has however issued a stay of execution pending an interparty hearing, thereby restraining  bailiffs  who had already pounced on more than 40 tenants with businesses at Lusaka’s FINDECO House.

According to the order of stay obtained by ZIMCO in Liquidation, Justice Nkonde ordered that the execution of the November 9, 2016 judgment be stayed pending the determination of the application to discharge the charging order in an old case of 2007. “And it is further ordered that his application shall be heard inter-partes in chambers on the 16th day of May, 2017 at 14:30hours,” he said.

ZIMCO’s Concenter Zulu in an affidavit in support of the ex-parte summons for an order to stay execution of the November 2016 judgment submitted that the company in liquidation settled the principle amount as required by the law.

“That the plaintiff herein commenced proceedings under cause number 2007/HPC/0343 claiming the sum of US$814,422 plus interest and Judgment was entered in favour of the plaintiffs.

“That the defendant settled the principle sum of US $814,422 and left the interest and cost unpaid due to our inability to agree on the rate of interest and cost due,” she explained.

Mr Mwenye SC, advocates for Arthur Ndhlovu suing as Attorney for Ireen Chiwala and Coreem Choongo Musonda and Albert M Wood suing as a firm, herein the plaintiffs, has insisted that unless Government pays alleged outstanding interests, the properties should be sold to satisfy the debts attached to ZIMCO in Liquidation Limited.

Mr Zulu charged that ZIMCO in Liquidation already made the payments in full with confirmation by the plaintiffs in a letter of confirmation to their lawyers.

He said they were surprised to receive communication from Mwenye and Mwitwa Advocates additional interest of upto US 537,049.93 which interest claim was already paid by the Ministry of Finance on behalf of ZIMCO properties

He charged that the former Attorney General and the current Law Association (LAZ) vice president Eddie Mwitwa, have continued to claim for payments of upto K65 million in what they claimed are accrued interests on the matter.

He explained that they were surprised to hear that the plaintiffs had written to the tenants at FINDECO notifying them of the intention to depose off the properties.

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