Source: Former minister stewing in debt – DailyNews Live
Tendai Kamhungira 3 February 2018
HARARE – Former minister in the then vice president Joice Mujuru’s office,
Flora Buka has been dragged to the High Court after failing to pay $87 000
owed to Paperhole Investments (Private) Limited.
According to court papers, Buka signed an acknowledgement of debt, which
has become the basis for the court application.
“Plaintiff’s claim against the defendant (Buka) is based on a liquid
document in the form of an acknowledgement of debt duly executed by and
between the defendant and plaintiff on the 14th of September 2016.
“In terms of the acknowledgment of debt, the defendant acknowledged its
indebtedness to the plaintiff in the sum of $87 267,01, which amount was
to be repaid in full on or before the 31st of December 2016,” the court
heard.
The origins of the debt were not stated in the court papers, except a copy
of the acknowledgement of debt and reference to the same document.
According to the acknowledgement of debt document, in the event of a
default in payment, interest would continue to be levied at the computed
rate of one percent per month, calculated from September 14, 2016.
“The defendant has failed to tender payment as agreed or at all, towards
liquidating the sums owed and is therefore in breach of the acknowledgment
of debt.
“Despite demand, the defendant has failed, refused and/or neglected to pay
the amount claimed despite being liable to do so,” the court was told.
The matter, which has been brought for a provisional sentence will be
heard today before High Court judge Jester Charewa.
In terms of the acknowledgment of debt document, there was not going to be
any variation of the agreement unless reduced to writing and signed by the
debtor and creditor.
“In the event of the debtor failing to pay any amount as and when it
becomes due hereunder, then the creditor shall have the right without
notice to claim and recover the whole of the capital sum and interest, or
the balance thereof the outstanding, together with costs and collection
charges and to institute legal proceedings against the debtor.
“The debtor shall be liable for the legal costs of such action on the
scale of attorney and client,” part of the acknowledgment of debt reads.
Buka has no yet respondent to the application.
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