Chiyangwa faces $2,4m lawsuit

Businessman  Phillip Chiyangwa and his two companies, Finwood Investments and Native Investments Africa, have been slapped with a $2,4 million lawsuit after failing to settle a debt with Interfin Banking Corporation.

Finwood Investments entered into an agreement with Interfin Bank in 2011 and millions of dollars were advanced to it as loans.

The company signed a deed of hypothecation in which it agreed to bond as surety an immovable property in Bluffhill measuring 3,8 hectares worth $5,1 million.

In the summons filed on July 31 at the High Court in Harare under case number HC6489/14, Interfin's lawyers, Dube Manikai and Hwacha, said they wanted $2 433 891,99 with interest calculated at the rate of 20 percent per annum from June 24 this year to the date of payment in full.

Finwood received various amounts of money between 2011 and this year on the strength of a deed of hypothecation registered at the registry of deeds in May 2011.

In a letter dated September 9 2013, Mr Chiyangwa, on behalf of Finwood, wrote to the curator of Interfin promising to pay the debt.

Chiyangwa and the two firms were still to respond to the law- suit.