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Jailed Kereke to lose hospital, house over $3,2m debt

by Staff reporter
13 Feb 2019 at 08:45hrs | Views
INCARCERATED former Reserve Bank of Zimbabwe adviser Munyaradzi Kereke, who is serving a 10-year jail sentence for rape, is set to lose his hospital and his Mount Pleasant property after CBZ Bank petitioned the High Court seeking leave to attach the two properties over a $3,2 million debt.

Through its acting head of recoveries and collections department, Gift Chinyamutangira, CBZ filed an application at the High Court last week and the matter is yet to be set down for hearing.

According to the court papers, Kereke's medical institution, Fair Drop Trading (Pvt) Ltd t/a RMC Hospital, together with two other respondents, not mentioned in court papers, were in September 2014 ordered to pay CBZ Bank a total of $3 257 038 together with interest calculated at the rate of 28% per annum.

However, since the granting of the court order, Fair Drop Trading and its co-respondents failed to pay the cash culminating in the present court application.

"This is an application for leave to execute against the respondent's (Fair Drop) property in view of the fact that the terms of the order placing it under judicial management and the provisions of section 301(1) of the Companies Act require all actions and applications and executions of all writs, summons and other process against the respondent's company to be stayed and not proceeded with without the leave of this court," Chinyamutangira said in his founding affidavit.

"Applicant (CBZ Bank) holds real security over respondent's immovable property namely stand number 283 Mount Pleasant by virtue of registration of two mortgage bonds, that is, mortgage bonds numbers 2964/2011 and 3879/2012. Respondent operates a medical centre, which sits on two distinctly registered properties namely stand 283 Mount Pleasant Township 11 of Lot 35A Mount Pleasant and 284 Mount Pleasant.

"Stand 283 is registered in the name of the respondent as indicated in the above and stand 284 is registered in the names of Munyaradzi Kereke. Applicant can recoup the debt it is owed by the respondent if the two properties are sold in execution."

According to Chinyamutangira, sometime in December 2014, Fair Drop Trading applied for and obtained an order for its placement under provisional judicial management, but since then it has not paid anything to service the bank loan.

"Applicant considers that the respondent is not sincere in settling the debt owed to it … the medical centre can, therefore, be properly sold as a whole single unit as it sits on the two properties.

"It is on that basis that the applicant has approached this honourable court for relief. Applicant avers that it would be in the interest of real and substantial justice for leave to prosecute to be granted to the applicant," he said.

Source - newsday

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