Zifa taken to court over US$200k debt

962

ZIFA has been dragged to court by local tour operator Led Travel and Tours (Led) over a long standing dispute involving a US$200 000 debt.

In summons filed before the High Court, Led and Olive Touch Investments (Pvt) Ltd are the applicants while Zifa and Zifa (Pvt) Ltd are respondents. Led now wants the authority to attach Zifa’s Bulawayo property and compensation of US$160 000 in the form of an immovable property with that value.

The court heard that on June 13, 2012 Led obtained a judgment against Zifa in the sum of US$209 460, 92 with interest from April 30, 2012 to date of final payment. When Led failed to recover the amount this resulted in the attachment of Zifa’s properties in Harare and Bulawayo.

In an attempt to save their properties from sale by the Sheriff, Zifa sought an outof-court settlement with Led and proposed to transfer title of number 100 Kensington Estate valued at US$160 000.

The court heard Led agreed to the proposal and the transaction was treated as a sale and effectively the debt compromise and sale transaction would settle the US$209 460, 02. Led later learnt that Max Haivo Electrical and Hardware (Pvt) Ltd had also bought the said property at an auction.

The matter spilled into court and an order was then passed by the High Court for Zifa to compensate Led an immovable property of the same value and size as the one for US$160 000 as well as damages in respect of punitive legal costs they had suffered which amounted to $668 648, 50.

“In the circumstances, it is just, fair and equitable that the second defendant’s immovable property be declared specially executable against the satisfaction of the plaintiff’s claims namely, number 13689 Bulawayo Township held by Zifa,” Led said.

“Wherefore the plaintiffs pray for an order directing the defendants, jointly and severally, to deliver or transfer to the plaintiff an immovable property valued US$160 000 and not less than 2 800 square metres being compensation for the loss of immovable property number 100 Kensington Estate measuring 2 815 square metres.”

Comments are closed.