FINANCE Bank Zambia Limited has issued a creditors bankruptcy petition against former first lady, Maureen Mwanawasa following her failure to pay over K7 million owed to the bank.
According to the creditor’s bankruptcy petition filed in the Lusaka High Court, Thursday, company secretary, Sandra Malupande stated that Mwanawasa was justly indebted to the Bank in the sums of K6,753,546.76 and K892,831.99, together with costs in the sum of US$25,000.
“We, Finance Bank Zambia Limited a company incorporated in the Republic of Zambia and having its registered office at Lusaka hereby petition the Court that a receiving order/bankruptcy order may be made in respect of the estate of MAUREEN KAKUBO MWANAWASA of House No. 52 Acacia Drive, Roma Park, Lusaka and who conducts business at Plot No. 6798, Jenia House Chiwalamabwe Road Olympia Extension make oath and say as follows: The Debtor has for the greater part of six months immediately preceding the presentation of this petition resided at House No. 52 Acacia drive, Roma Park. The Debtor is justly indebted to the Applicant in the sums of K6,753,546.76 and K892,831.99 together with costs in the sum of US$25,000,” she stated.
Malupande stated that the said debt is for a liquidated sum payable immediately and Mwanawasa is unable to pay it as she has no reasonable prospects.
“On 11th June 2019, consent Judgment was entered in the High Court in an action intituled Finance Bank Zambia Limited v Mipachima Farms Limited and Maureen Mwanawasa 2018/HP/1790 wherein it was adjudged that the Respondent pays the Applicant the sums of K6,753,546.76 and K892,831.99 together with costs. The said sums remain outstanding and unsatisfied to date,” she stated.
Malupande disclosed that a notice of bankruptcy was served on Mwanawasa on September 3, this year in respect of the said debt but the demand has neither been complied with nor set aside in accordance with the Rules and no application to set aside is outstanding.
She further stated that the bank holds no security for payment of part of the stated sum.
And according to the affidavit of truth of statement in bankruptcy petition, Malupande stated that Mwanawasa has failed and/or neglected to settle the monies due under the consent judgment, which resulted in the bank pursuing execution by way of writ of fieri facias, which resulted in the sheriff rendering a nulla bona return.
She added that following failure of execution by way of writ of fieri facias, the bank proceeded to apply for a charging order, which was granted and made absolute on February 3, 2021.
Malupande stated that despite various modes of enforcement being pursued, the sum of K6,753,546.76 and K892,831.99 together with costs which were agreed at US$25, 000 have not been paid.
