BACEDE’S 4 COMPANY VEHICLES, FORKLIFTS REPOSSESSED

MBABANE – Standard Bank Eswatini has repossessed four vehicles and four forklifts from Hosea MP Mduduzi Bacede Mabuza’s company, Baceth Investments (Proprietary) Limited.

This was after the company allegedly fell into arrears in the amount of E416 081.76 on payments for the motor vehicles and forklifts. The motor vehicles are two BMW X4 DRIVE20D Sport 2017 model, two Hino trucks and four Doosan forklifts. On Thursday, the High Court granted Standard Bank an order empowering and authorising the Manzini deputy sheriff to seize and attach from Baceth Investments, or whosoever may be in possession of the vehicles and equipment. The order was granted by Judge Bonginkhosi Magagula. The bank wants to keep the vehicles in its possession while instituting court proceedings for the arrears totalling E416 081.76. The arrear amounts, according to the bank, vary from E27 083 to E94 301.44 per vehicle. Standard Bank wants to be granted an order entitling it to dispose of the vehicles either by public auction or private treaty.

Orders

Baceth Investments was ordered to hand over the motor vehicles and forklifts to the deputy sheriff of the Manzini Region. The orders operate on an interim basis and are yet to be confirmed by the court. Other respondents in the matter are the Central Motor Registry and attorney general. According to Standard Bank, Baceth Investments failed to make due monthly instalments and the bank had genuine fear that the motor vehicles and/or equipment may be disposed of. The motor vehicles and equipment, submitted the bank, were presently being devalued by Baceth Investments who, despite having its benefits, could not pay for them. “If the motor vehicles and or equipment are not recovered soon from the first respondent (Baceth Investments) and the first respondent either disposes of them or continues using them while it has not paid for them, the applicant (bank) will continue to suffer irreparable harm,” reads the bank’s papers.

The Head of Credit at Standard Bank Eswatini, Bafana Mhlabane, informed the court, in the bank’s application, that in June 2017, October 2017, November 2017 and March 2018, pursuant to Baceth Investments’ requests, the bank agreed to purchase and hire to the company the motor vehicles and forklifts. According to Mhlabane, the bank was represented by its authorised representatives when the agreement was concluded. MP Mabuza - the Hosea Member of Parliament who is currently on trial on terrorism-related and murder charges – and other duly authorised officials, represented Baceth Investments during the conclusion of the agreement. The terms of the agreement included that Standard Bank Eswatini would hire to Baceth Investments the four motor vehicles and four forklifts. Another term of the agreement was that Baceth Investments would select the vehicles and/or equipment from its suppliers and transport them at its own cost once the bank had paid them.

Payments

It was also agreed between the parties, according to Mhlabane, that should Baceth Investments, at anytime of the hire of the motor vehicles and/or equipment, default in due and punctual payments or fail to observe and perform any of the terms of the agreement, the bank would be entitled to terminate the hire and take possession of the vehicles and/or equipment.
Mhlabane informed the court that Baceth Investments took delivery of the various motor vehicles and/or equipment on different dates, commenced using them and made due monthly payments. According to Mhlabane, Baceth Investments was in breach of the agreements as it allegedly failed to pay its due monthly instalments for the vehicles and/or equipment.

Arrears

He submitted that the arrears on the two BMW X4s were E94 301.44 and E87 341.62 respectively. The head of credit alleged that the arrears on the Hino 500 amounted to E84 959.75 and E40 719.60 in respect of Hino 300 814 LWB. With regard to each of the four forklifts, the arrear amounts, according to Mhlabane, were E27 083.25, E27 083, E27 080.60 and E27 512.50. The head of credit informed the court that the bank had no knowledge as to the state of repair of the vehicles and/or equipment. He said the bank intended to institute legal action against Baceth Investments for the payment of the arrears and damages. He submitted that the bank had real fear that the vehicles could be damaged or it could be compromised in obtaining return of the vehicles to assess the value thereof in terms of the hire agreements.

“As stated before, the applicant (bank) is instituting legal action against the first respondent (Baceth Investments) for the payment of arrear instalments and damages in regard to the agreements for hire of the vehicles and /or equipment and it is imperative that it be able to assess the values. From the aforesaid, it is clear that the first respondent is in breach of the agreements for the hire of the vehicles and/or equipment and that in terms of Clause 12 of the said agreements, the applicant is entitled to cancel the agreements and apply to the court for an order for the return of the vehicles and/or equipment at first respondent’s own cost pending the outcome of the action against the first respondent with regard to the outstanding instalments payment or damages,” said Mhlabane.

He informed the court that despite demand, Baceth Investments had failed to rectify the breach, hence the arrears still remained.  In light of the above, Standard Bank prayed that the deputy sheriff be empowered to attach the vehicles wherever he might find them and place them in the possession of the bank, pending the outcome of the demand for payment of the arrear amounts. Standard Bank is represented by attorneys from Robinson Bertram. The matter is pending at the High Court.

Post your comment

Your name:

Your e-mail address:

Add your comments:

Please enter the code you see in the image:

Image:

Code: