Business / Companies
ZUPCO property attached over debt
14 Jun 2013 at 14:48hrs | Views
Property worth thousands of dollars belonging to the Zimbabwe United Passenger Company (ZUPCO) has been attached by the Sheriff over a debt of more than $763 000.
Scores of ZUPCO employees who had reported for duty on Friday morning were left in shock after the Sheriff attached all buses and vehicles at the company premises in Belvedere.
There was no sign of senior managers at the premises and only junior employees were milling around unsure of what to do next.
ZBC News reports that when they arrived at the company's premises, 20 buses had already been ferried by the Sheriff to the auction floors.
Indications were that more than 12 brand new buses and several light vehicles which were parked at the premises had also been attached.
ZUPCO owes Parkhorse Services, the official distributor of Scania buses in Zimbabwe, more than $763 000.
The debt emanated from a deal in which ZUPCO acquired 50 Scania buses from the company and allegedly failed to settle the debt.
According to court papers filed earlier on at the Supreme Court, ZUPCO had indicated that the government had promised to settle the debt.
However, the company took ZUPCO to court after the government failed to settle the debt.
Initially an immovable property was attached and ZUPCO successfully challenged the move and the court indicated that movable properties have to be exhausted first.
Scores of ZUPCO employees who had reported for duty on Friday morning were left in shock after the Sheriff attached all buses and vehicles at the company premises in Belvedere.
There was no sign of senior managers at the premises and only junior employees were milling around unsure of what to do next.
ZBC News reports that when they arrived at the company's premises, 20 buses had already been ferried by the Sheriff to the auction floors.
Indications were that more than 12 brand new buses and several light vehicles which were parked at the premises had also been attached.
ZUPCO owes Parkhorse Services, the official distributor of Scania buses in Zimbabwe, more than $763 000.
The debt emanated from a deal in which ZUPCO acquired 50 Scania buses from the company and allegedly failed to settle the debt.
According to court papers filed earlier on at the Supreme Court, ZUPCO had indicated that the government had promised to settle the debt.
However, the company took ZUPCO to court after the government failed to settle the debt.
Initially an immovable property was attached and ZUPCO successfully challenged the move and the court indicated that movable properties have to be exhausted first.
Source - zbc
