HomeLocal NewsEx-minister fails to repay loan

Ex-minister fails to repay loan


FORMER Information deputy minister Bright Matonga has been taken to the High Court by a local firm after he failed to pay back a $280 000 loan advanced to him to finance his farming activities three years ago.


Dubtess Investments had offered its immovable property, stand number 407 Borrowdale Brook to Interfin Banking Corporation as collateral to secure the loan on behalf of Matonga. In summons dated January 18 2013 under case number HC453/13, Dubtess Investments accused the Zanu PF MP of refusing to pay the loan back, thus putting the firm’s house at risk of being attached by the bank.

According to the firm’s declaration attached to the summons, Matonga and his farm acquired a loan from Interfin Bank sometime in 2010 in a bid to finance his farming activities.

Matonga has been cited as the first defendant, resident at Chigwell Farm in Chegutu, and the second defendant is Olefinic Investments sharing the same farm’s address.

Part of the summons read:
“The defendants failed to make the payments due to Interfin Banking Corporation Limited resulting in demand being made for the amount of $280 000 to the plaintiff as the guarantor of the loan.

“As a result of the demand and the threat of foreclosure by the bank, the plaintiff sold the aforementioned property to discharge the defendant’s indebtedness.

“Consequently, the 1st and 2nd defendants were unjustly enriched to the detriment of the plaintiff and as such plaintiff is entitled to be compensated for the loss she incurred.”

The firm has also demanded payment of a 5% interest on the borrowed amount from July 23 2012.

Matonga is yet to enter an appearance to defend notice.

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