HomeNewsCourt blocks disposal of Afre stake

Court blocks disposal of Afre stake

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High Court judge Justice Susan Mavangira has granted Econet Wireless a provisional order barring ReNaissance Financial Holdings Ltd from disposing its 30% stake in Africa First Corporation (Afre).

The provisional order was granted on Wednesday and ReNaissance has been given 10 days to respond if it intends to oppose.

“Take note that on 29th day of June 2011 the High Court sitting at Harare before the Honourable Justice Mavangira issued a provisional order as shown overleaf,” reads the document.

“If you intend to oppose the confirmation of this provisional order you will have to file a notice of opposition.”

Mavangira said if in 10 days they would not have opposed the matter it would be set down for hearing and would be dealt as an unopposed application for confirmation of the provisional order.

Econet wants the court to stop the National Social Security Authority from bailing out ReNaissance Merchant Bank (RMB), which has since been placed under curatorship by the Reserve Bank.

Econet is arguing the 30% shareholding it is claiming is in lieu of money which it deposited with RMB, which was reported to have been abused by the bank.

RMB later offered Econet shares in Afre as security until the time it is able to pay back the misused funds.

As part of its bid to block new investors, Econet asked the High Court to possess Afre share certificates pending final determination of its application.

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