SRA’S E40M DEMAND FROM 10 COMPANIES

MBABANE – Eswatini Revenue Authority (SRA) has run to court to demand over E40 million from about 10 companies that include the ESPPRA.

ESPPRA is the Eswatini Public Procurement Regulatory Agency and it is listed as a Category A public enterprise, administratively, reporting to the Ministry of Finance. The agency is responsible for policy formulation, regulation, oversight, capacity building and professional development, information management and dissemination in the field of public procurement in the country.

Through its attorneys, SRA has since applied for about 11 writ of execution at the High Court in terms of Section 61 (2) of the Income Tax Order No.21 of 1975 (as amended).

Charged

When a court issues a writ of execution, a sheriff, deputy sheriff, or a court official is usually charged with taking possession of any property that is owed to the plaintiff, which in this case is SRA.

SRA ran to court to apply for writ of execution to be issued against the companies, demanding a whopping E18 510 223.61 from one of the companies trading as Car Land.  According to the writ of execution, from ESPPRA, SRA wants at least E5 008 625.05 for alleged owed income tax. Against a company trading as OS Motors, SRA has filed a claim of over E15 million for reportedly owed income tax.

There is also a certified a claim of over E5.1 million against AZKA Motors. This is money which is allegedly indebted to SRA in respect of income and provisional tax. The breakdown has been listed as E4 133 181.22 and E1 012 701.85, respectively.
Also affected in the cars sector is Standard Motors. SRA wants over E2.5 million, which is allegedly owed amount for tax (income and provisional).

The least claim is against M & A Marketing (PTY) Ltd. The owed amount is reportedly E14 843.76.
Another notable claim is against Fundukuwela Investments (Pty) Ltd, a company accused of owing over E720 000 in taxes. There are more developments in this matter as Siphofaneni-based Dumisa Dlamini has run to court to stop the attachment of some of Fundukuwela’s assets, as he says they are his. These include crane loaders and a trailer. The properties are valued at over E200 000. These items were reportedly bought at an auction. There is also a tractor (John Deere) reportedly brought from one of the local plantations.

Collapsed

In his founding affidavit, Dlamini, who is represented by Sipho Matse Attorneys, averred that he bought the assets after Hlanganani Farmers Association collapsed.
“After the collapse of Hlanganani Farmers Association, most of the sugar cane farmers then founded an association called Fundukuwela Investments.

“Around 2007, I also joined Fundukuwela Investments and in joining I brought the assets in the new venture to be utilised by the company in carrying out its work. These assets were needed in the new venture.  I’m getting paid every month in return by the company for using my assets,” claimed Dlamini.

Dlamini claimed all the implements were placed at Fundukuwela with the knowledge of the other members.
“These farm implements have been at Fundukuwela Investments for over a decade without any problems, as to the ownership and/or usage, it was a known fact that these items belong to me personally  and not to the company,” he alleged.

In the court papers, Dlamini claimed that on or about May 12, 2020, he was summoned to a meeting by other directors of Fundukuwela Investment. In the meeting, he alleged that he was ordered to surrender the assets as a deputy sheriff, who has been cited as a first respondent in the matter, was in the premises looking to attach assets of Fundukuwela Investment for a debt reportedly owed by the latter company to SRA.

Assertions

“In the meeting, I made it clear to all those present that I do not agree with the assertions that my personal assets to be attached to satisfy debts to Fundukuwela Investments, since it has its own assets,” averred Dlamini.
In his application filed under a certificate of urgency, Dlamini prayed that an interdict be issued restricting the sheriff from attaching the said assets.

Fundukuwela was cited as the second respondent in the matter.
These are allegations contained in an affidavit, whose veracity will be tested in court. The interim interdicting SRA from attaching Dlamini’s alleged property was issued by Judge Cyril Maphanga.

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