CBZ sues MDC president over $100k debt

MDC president Welshman Ncube has been taken to court by CBZ Bank, which is seeking an order compelling him to settle an over $100 000 loan advanced to him in January 2010.

BY CHARLES LAITON

The bank issued summons against Ncube on May 22, 2018 through its lawyers Costa and Madzonga Legal Practitioners and Ncube is yet to file his response.

In its declaration CBZ said in terms of a written agreement concluded between the parties, it loaned and advanced $50 000 to Ncube, but despite his continued acknowledgement of the debt, “he has failed to repay the cash together with interest.

“It was agreed that interest would accrue on the loaned amount at the plaintiff’s (CBZ) minimum lending rate from time to time, which was 8% per annum at the time and would be calculated on the daily balance and compounded on a monthly basis,” the bank said.

“Wherefore, the plaintiff claims against the defendant (Ncube): — payment of the sum of $100 222 due in respect of the moneys loaned and advanced to the defendant, which the defendant failed to repay to the plaintiff with interest thereon by the due date and despite demand.

“Interest on the sum of $100 222 at the plaintiff’s penalty rate from time to time currently being at 20% per annum, calculated on the daily balance and compounded on a monthly basis, with effect from date of judgment to the date of payment in full plus collection commission.”

The matter is still pending.

8 Comments

  1. Eugene Matikiti

    But according to the du plume rule interest cannot exceed the actual amount loaned. You see Ncube borrowed $50 k and now he owes $100,22 which means 50,22 is the interest. So $0,22 should be written off.

    1. The in duplum rule is not as simple as you put it. If you make part payment and reduce the interest below the capital level the interest will start accumulating again. And it’s up to the defendant to claim the in duplum rule, the plaintiff is entitled to claim the full amount and original capital and interest.

    2. The in duplum rule (not du plume rule) is not as simple as that. If the defendant makes part payment the interest starts to accumulate again. Also, the plaintiff is entitled to file a full claim for the original capital and interest, and it’s up to the defendant to invoke the in duplum rule to limit his liability.

  2. kkkkkkkk matikiti nyaya ndeyancube kana zvakubata unopindira nyaya yacho

    1. @G40, Matikiti is verys correct, induplume should be under such a scenario.

    2. @G40, Matikiti is very correct, induplume rule should be applied under such a scenario.

  3. There is also the law of prescription.A debt is not recoverable if it has not been claimed within 3 years

  4. Ncube getting loans to spend on small houses. His womanising is well-known.

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