Destiny of Afrika Network (DaNet) founding president Reverend Obadiah Musindo has refuted claims he owes $6 000 to Elishmax Enterprises, a local firm seeking to recover the money from the pastor through an application at the High Court.
On Monday, Musindo entered his plea at the High Court in a case where he is cited as first defendant and DaNet as third defendant respectively.
Elishmax Enterprises, who are cited as the plaintiff under case number HC1611/12, are suing Musindo together with his employee Kurai David Pick over the unpaid debt.
Musindo said he never obtained a loan from Elishmax Enterprises as alleged in the summons, but acted as a guarantor for Pick who secured the loan.
“The plaintiff should, therefore, first pursue the principal debtor before he approaches the first defendant who is a surety,” Musindo argued.
Musindo also said when he got involved as Pick’s guarantor he acted in his personal capacity and DaNet was never involved in the agreement.
“It is denied plaintiff (Elishmax Enterprises) paid $4 000, but only $3 300. The second defendant (Pick) has tendered and is willing to pay only $1 300 after he had already paid $2 000. It is ridiculous that a loan can attract interest which is higher than the principal debtor in less than a month,” argued Musindo.
Musindo further said he tendered his vehicle not as security, but as surety for Pick’s loan. The summons of the matter was served on February 15 on Musindo’s receptionist Susan Sumburera.
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According to the summons, on December 31 last year, Elishmax Enterprises entered into an agreement with Musindo and Pick who were acting on behalf of DaNet for the loan. The terms of the agreement were Elishmax Enterprises would loan, pay and advance the sum of $4 000 to Musindo and his firm.
It was allegedly agreed Musindo would then repay the money on or before January 6 this year, failure which the capital sum would attract interest at the rate of 10% per day.
