News / Regional
CBZ sues Dokora over $21,000 debt
09 Mar 2017 at 05:31hrs | Views
Primary and Secondary Education Minister Lazarus Dokora has been taken to court over an unpaid bank loan to the tune of $21 000. CBZ Bank Limited extended a loan to Minister Dokora, but he failed to pay back.
The bank is now claiming $21 000 plus interest calculated at the rate of 26 percent per annum. CBZ Bank is also seeking an order declaring the minister's bonded immovable property, to be executable.
On May 22, 2009, Minister Dokora approached the bank seeking advancement of a loan for medication.
The parties signed an agreement and CBZ Bank agreed to extend the much needed loan.
According to the agreement, funds drawn from the minister's bank account were meant to finance medical requirement.
The bank, as part of the agreement, would be entitled to charge and debit Minister Dokora's account with interest.
In the event of minister defaulting payment, the bank was entitled to claim legal costs to pay lawyers engaged to assist in the recovery of the debt.
The bank extended thousands of dollars into the minister's bank account.
As at January 2017, the minister owed the bank $21 194.
Efforts by the bank to recover the debt were fruitless.
That prompted CBZ Bank to instruct its lawyers Muvingi & Mugadza legal Practitioners to issue summons at the High Court.
Minister Dokora is yet to respond to the claim.
Source - the herald