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Mahofa taken to cleaners

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CBZ Bank Limited has taken former Youth and Gender deputy minister Shuvai Mahofa to court, seeking to recover over $100 000 she allegedly borrowed from the bank three years ago.

Report by Feluna Nleya
The bank is also suing Vutete Leopold Masendeke who was Mahofa’s guarantor.

Mahofa, former Gutu South MP, is said to have taken the loan of
$142 490,84 in 2009 which had since accumulated interest.

“The plaintiff (CBZ Bank Limited) claims for payment by all the defendants jointly and severally, the one paying the other, to be absolved in the sum of $142 490,84 with interest at a rate of 36% per annum calculated daily on any daily balance and capitalised monthly from 24th August 2012 until the date of issue of summons,” reads the summons.

According to the CBZ declaration, Mahofa borrowed money from the bank, but has not paid back.

“On 7th April 2009 the parties entered into another loan agreement being a loan one, in the amount of $25 000 and loan two, in the amount of $31 000, giving an aggregate of $56 000 with a payable interest at the rate of 12% per annum plus 4% management fee to be charged upon acceptance of facilities offered. The first defendant, in her capacity as borrower, confirmed and accepted the terms and conditions of the said loan agreement on 12th May 2009,” reads the declaration.

It goes on to say on May 19 2012 CBZ and Mahofa entered into another loan agreement being an overdraft facility of $70 000 where she accepted the terms and conditions of the said agreement.

“Throughout the subsistence of the aforementioned loan agreements the first defendant (Mahofa) made various transactions in terms of withdrawals, accruing interest, administration fees, insurance premiums, stamp duty, service charges and some settlements. Presently, the loan has attracted the balance of $142 490,84,” reads the declaration.

CBZ says Masendeke guaranteed and bound himself as surety and co-principal debtor in respect of all the loan agreements.

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