Home » Featured » Local Company Seeks To Recover US$50k

Local Company Seeks To Recover US$50k

A local firm, Globe Trot (Private) Limited has petitioned the High Court seeking to recover US$50 000 that was advanced to Probadek Investments as capital following a failed potential joint venture mining business.

Through its lawyers, Masiya-Sheshe & Associates, Globe Trot (Private) Limited filed summons at the High court under case number 253/21 and cited Probadek together with its directors Patricia Mutombgwera and Grant Chitate as the defendants.

According to court papers, on or about October 2020, the plaintiff (Globe Trot) and the defendants agreed to enter into a joint venture agreement which resulted in plaintiff advancing US$50 000 to the first defendant as capital amount for the intended joint venture agreement.

On 28 October 2020 the first second and third defendants acknowledged their indebtedness to the plaintiff in the sum of US$50 000. The defendants further undertook to pay the whole amount in full on or before the 30th of December 2020 if the parties failed to conclude the joint venture agreement. The intended joint venture did not materialise and the plaintiff communicated this to the defendants and went on to demand its US$50 000.00.

“In material breach of the acknowledgement of debt, the defendants have failed to repay the said amount. Despite demand, the defendants have failed, refused or neglected to pay the whole amount owing and they remain in mora.” Read part of the plaintiff’s declaration.
The matter is still pending.

Recently, High Court judge, Justice Tawanda Chitapi dismissed Probadek Investment’s urgent application to stop Redwing Mining Company (Redwing) from cancelling its mining contract and subsequently signing agreements with two other tributary investors.

The directors of Probadek Investments, Patricia Mutombgwera and Grant Chitate challenged Redwing’s decision to cancel their joint venture agreement and the granting of tribute agreements in favour of two other mining companies that were later given rights to mine at Redwing Mine.

In his ruling, Justice Chitapi dismissed the urgent chamber application. The Judge remarked, “At the route of the application is the allegation by (Probadek) that it entered into a joint venture agreement with the first respondent (Redwing) on 15 October 2020 . . . The applicant followed up on the agreement by executing a tribute in terms of which (it) was granted exclusive rights to mine certain listed claims..,” Justice Chitapi said, adding Probadek had resolved to sue the Metallon Corporation (Metallon) subsidiary “based on rumours that the other tributors were carrying out mining activities.”
“It is of course false to state that the claims belonged to the applicant. The claims belong to (Redwing) with the second and third respondents (Prime Royal Africa and Betterbran) being granted rights to mine . . . ” he said in the hard-hitting judgment in which it was also noted that Chitate and Mutombgwera’s firm “was typically non-specific when alleging events and being coy with facts”.

While Probadek had tried to cast aspersions on Redwing and its caretaker managers, it emerged in court that the former had failed to provide proof of funds in the sum of US$2 million to support the joint venture as had been requested by the Corporate Rescue Practitioner. As a result, the Corporate Rescue Practitioner terminated the joint venture agreement.

About Judith Nyuke

Leave a Reply

Your email address will not be published. Required fields are marked *

*

This site uses Akismet to reduce spam. Learn how your comment data is processed.

x

Check Also

Chirisa To Star In New Hollywood Series

A Zimbabwean, United Sates-based actor Arnold Tongai Chirisa takes up domination in the Hollywood film ...