News / Local
Zupco's eviction from Kelvin North deport stands: BCC
27 Sep 2011 at 05:58hrs | Views
Bulawayo City Council has booted the financially crippled Zimbabwe United Passenger Company (Zupco) out of its largest depot in the Kelvin Industrial area due to unpaid rates of over $100 000.
According to the latest BCC report, Zupco owes the city Council $107 573.90 in unpaid rentals as of June 2011. The cash strapped public transporter pleaded with the city authorities not to repossess its depots ' Stands 2200 A Steeldate, Khami Road and 13274 in Kelvin North. The local authority, however, turned down Zupco's request to retain its Kevin North depot ' which is Zupco's largest depot.
ZUPCO's Division Operations Manager, C.Z Muwoni, recently wrote a letter to Bulawayo city council pleading with the local authority to recede its decision over the issue.
"ZUPCO maintains that it requires retention of the three premises which are stand 2200A Steeldale, Khami road, and stand 13274 Kelvin North and the City Hall tickets office. ZUPCO intends to increase its fleet before the end of this year; the increase in fleet would be beneficial to the community in Bulawayo urban and undoubtedly restore order in the industry," reads part of Muwoni's letter to council.
However, council shot down ZUPCO's request saying the company was negotiating in bad faith and had failed to pay its rentals and rates
"The request by Zupco to retain the Kelvin North depot will not be acceded to on the basis that the company (Zupco) has to settle all outstanding arrears in respect of all properties the company is leasing, including the surrendered ones," said BCC director of Housing and Community Services Isaiah Magagula in the report.
The local authority, however, felt that Zupco's reasons did not hold water.
"Zupco's said increased fleet of buses has not yet materialised and the few new buses seen around were plying rural areas and therefore not servicing Bulawayo," said Magagula.
"Zupco is also negotiating in bad faith as evidenced by their change of mind when they became reluctant to vacate the Training Centre (Girl Guides), which they had voluntarily surrendered back to council."
Magagula added that of the initial $94 281,07 which Zupco owed council, the company had only paid $8 100, whilst the outstanding amount had now ballooned to $107 573, 90 as at June 2011.
In the circumstances, BCC was of the view that it would not be prudent to allow the company to continue using the premises without paying rentals.
According to the latest BCC report, Zupco owes the city Council $107 573.90 in unpaid rentals as of June 2011. The cash strapped public transporter pleaded with the city authorities not to repossess its depots ' Stands 2200 A Steeldate, Khami Road and 13274 in Kelvin North. The local authority, however, turned down Zupco's request to retain its Kevin North depot ' which is Zupco's largest depot.
ZUPCO's Division Operations Manager, C.Z Muwoni, recently wrote a letter to Bulawayo city council pleading with the local authority to recede its decision over the issue.
"ZUPCO maintains that it requires retention of the three premises which are stand 2200A Steeldale, Khami road, and stand 13274 Kelvin North and the City Hall tickets office. ZUPCO intends to increase its fleet before the end of this year; the increase in fleet would be beneficial to the community in Bulawayo urban and undoubtedly restore order in the industry," reads part of Muwoni's letter to council.
However, council shot down ZUPCO's request saying the company was negotiating in bad faith and had failed to pay its rentals and rates
The local authority, however, felt that Zupco's reasons did not hold water.
"Zupco's said increased fleet of buses has not yet materialised and the few new buses seen around were plying rural areas and therefore not servicing Bulawayo," said Magagula.
"Zupco is also negotiating in bad faith as evidenced by their change of mind when they became reluctant to vacate the Training Centre (Girl Guides), which they had voluntarily surrendered back to council."
Magagula added that of the initial $94 281,07 which Zupco owed council, the company had only paid $8 100, whilst the outstanding amount had now ballooned to $107 573, 90 as at June 2011.
In the circumstances, BCC was of the view that it would not be prudent to allow the company to continue using the premises without paying rentals.
Source - BCC