HomeNewsEngineering firm taken to court over $20 000 debt

Engineering firm taken to court over $20 000 debt

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A BULAWAYO mining firm, Ubuntu Beth Mining (Pvt) Ltd has taken local engineering firm, ABJ Engineering, to court over a $20 000 debt following a cancelled gold stamp mill acquisition deal.

BY SILAS NKALA

In summons filed at the Bulawayo High Court, the mining company claimed that the engineering company was supposed to refund all the money received after the parties allegedly agreed to cancel the deal.

“The plaintiff’s claim is for the refund of $21 700 being the balance of the purchase for a stamp-mill, which the parties agreed that defendant would refund to plaintiff following the parties agreement to cancel a contract of sale which plaintiff had bought a stamp-mill from defendant,” read the summons.

The mining firm submitted that sometime in January 2015, it bought a stamp mill from the defendant for $43 700 including value added tax.

“It was a terms of the agreement that plaintiff would pay the purchase price in instalments, while the stamp-mill was being manufactured and assembled by the defendant. Pursuant to the agreement plaintiff paid a total of $26 700 towards the purchase price of stamp-mill as agreed between the parties.

“On or about November 2015, plaintiff and defendant agreed to cancel the agreement and that defendant would refund plaintiff the amount of $26 700 once defendant sold the stamp-mill,” reads the declaration. On or about November 2016, the defendant after selling stamp-mill, refunded plaintiff, $5 000 leaving a balance of $21 700. Despite demand, defendant has failed or neglected or refused to refund the said outstanding balance.”

The engineers are yet to respond to the summons.

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