CASH-STRAPPED Redcliff Municipality risks having its property attached after the Messenger of Court last week ordered it to settle an outstanding $615 000 debt owed to the Local Authorities Pension Fund (LAPF) within a week.
REPORT BY OWN CORRESPONDENT
According to summons served to the local authority by the Deputy Sheriff and Messenger of Court Kwekwe last Friday under case number HC 14324/2012, the council had not been remitting its workers’ pension contributions to the LAPF between February 2009 and October 2012.
As a result, the local authority accumulated a debt of $615 280, 14.
The LAPF is being represented by lawyers from Sawyer and Mkushi Legal Practitioners in Harare.
Part of the summons read: “During the period between February 2009 and October 14, 2012, defendant breached rule 9 of the Local Authorities Pension Fund rules in that it failed to forward and pay its (defendant) employees’ pension contributions to plaintiff resulting in an accumulation of arrear pension contributions amounting to $615 280,14 as at 14th October 2012.
“Of the said $615 280, 14 due to plaintiff, the sum of $614 252, 03 is capital and the balance of $1 028, 11 is interest as more fully appears from the attached copy of plaintiff’s statement of account marked ‘A’. Despite demand, defendant has failed and/or refused to pay plaintiff the sum of $614 252 and $1 028, 11.”
