News / National
Fertiliser company drags Dr Kereke to court
20 Jun 2013 at 03:52hrs | Views
WINDMILL Private Limited has taken businessman Dr Munyaradzi Kereke to the High Court for failing to pay for farming inputs worth US$103 457. Dr Kereke who operates Pamene Farm in Harare, received fertliser and pesticides worth US$110 370 from Windmill and failed to service the debt leaving a balance of US$103 457. Windmill, through its
lawyers Scanlen and Holderness, has filed a lawsuit arguing that Dr Kereke has failed to settle the debt despite demand.
The matter is yet to be set down for hearing on the opposed court roll.
According to the summons, Dr Kereke purchased and collected fertilisers and pesticides worth US$110 370 from Windmill in November 2010.
The company argues that interest of US$13 000 increased the debt to US$123 775. Dr Kereke, according to the summons, only managed to pay US$20 318, leaving a balance of US$103 457.
Fertiliser purchased was worth US$90 960 while pesticides were valued at US$19 410.
In his opposing papers, Dr Kereke admitted that he received the inputs in question but contested the figure being claimed.
Dr Kereke argues that some US$28 000 was paid in settlement of the debt but Windmill deliberately decided to omit the transaction in calculating the balance.
"The total payments made but were omitted by the applicant amount to US$28 341. The amount as claimed by the applicant is, therefore, in dispute," he said.
Dr Kereke argues that the parties never agreed on the 20 percent interest rate that was used by Windmill in calculating the amount due.
He, however, says he failed to clear the debt because of delays in payment by Grain Marketing Board, which purchased his farm produce in the 2010/2011 farming season.
Dr Kereke said GMB later offered to pay him with farming inputs.
"The Grain Marketing Board perpetually delayed in paying farmers, including the respondent, and later paid the respondent for the grain delivered in kind in the 2010/2011
season alleging fiscal inability to provide funding for payment to farmers.
"Applicant was offered inputs as payment in kind. . . . "
lawyers Scanlen and Holderness, has filed a lawsuit arguing that Dr Kereke has failed to settle the debt despite demand.
The matter is yet to be set down for hearing on the opposed court roll.
According to the summons, Dr Kereke purchased and collected fertilisers and pesticides worth US$110 370 from Windmill in November 2010.
The company argues that interest of US$13 000 increased the debt to US$123 775. Dr Kereke, according to the summons, only managed to pay US$20 318, leaving a balance of US$103 457.
Fertiliser purchased was worth US$90 960 while pesticides were valued at US$19 410.
In his opposing papers, Dr Kereke admitted that he received the inputs in question but contested the figure being claimed.
Dr Kereke argues that some US$28 000 was paid in settlement of the debt but Windmill deliberately decided to omit the transaction in calculating the balance.
Dr Kereke argues that the parties never agreed on the 20 percent interest rate that was used by Windmill in calculating the amount due.
He, however, says he failed to clear the debt because of delays in payment by Grain Marketing Board, which purchased his farm produce in the 2010/2011 farming season.
Dr Kereke said GMB later offered to pay him with farming inputs.
"The Grain Marketing Board perpetually delayed in paying farmers, including the respondent, and later paid the respondent for the grain delivered in kind in the 2010/2011
season alleging fiscal inability to provide funding for payment to farmers.
"Applicant was offered inputs as payment in kind. . . . "
Source - Herald
