Chitown to pay former employees $631 000

Source: Chitown to pay former employees $631 000 | Herald (Africa)

Yeukai Karengezeka Court Correspondent

High Court judge Justice Edith Mushore has ordered Chitungwiza Municipality to pay its 89 former employees $631 887 after it failed to honour an agreement.

The local authority has also been ordered to pay the legal costs.

Court papers show that Chitungwiza Municipality had executed three deeds of settlements with the former employees, S. Jambawo and 88 others.

“The plaintiff’s claim is for provisional sentence in an amount of $631 887,27 together with interest on that amount at the rate of five per centum per annum from the date of issue of summons to the date of payment and cost on an attorney client scale.

“The plaintiff’s claim is based on three deeds of settlement executed by Chitungwiza Municipality and its legal representatives and dated October 22, 2019, October 22 2019 and July 3 2019. In terms of the document, an amount of $631 887,25 together with the interest at the rate of five per centum per annum is payable to Mboko T.G. Legal Practitioners Trust Account,” read part of the summons.

However, the municipality defaulted on the agreed instalments.

Despite due demand, it neglected for over 14 days of notice to remedy its breach.

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