Connect with us

National

High Court upholds Chivayo’s US$22 million damages claim, reinstates Gwanda Solar project

Published

on

BY MARY TARUVINGA

The High Court has with immediate effect reinstated businessman Wicknel Chivayo’s controversial Gwanda solar project ruling that Zimbabwe Power Company (ZPC) was in breach of their contract.

Advertisement

Chivayo, through his company Intratrek Zimbabwe (Pvt) Ltd (Intratrek) had sued the Zimbabwe Power Company (ZPC) US$22 million for defamation and his application was upheld by the courts.He had argued ZPC had tarnished his integrity by getting him arrested on fraud allegations emanating from the named project.

After being cleared by the courts Chivayo sued ZPC last year accusing it of breaching their deal, which he successfully argued was still valid.High Court judge Justice Siyabona Musithu upheld Chivayo’s application in a judgement handed down Wednesday morning before slapping ZPC with costs on a higher scale.

“Resultantly it is ordered that: The procurement contract for the Engineering, Procurement and Construction (EPC Contract) of the 100MW Gwanda Solar Project (ZPC 304/2015) between the plaintiff and the defendant as amended is valid and binding between them.

Advertisement

“Consequent to the declaration of the validity of the EPC Contract, an order for specific performance of the said contract is hereby granted.

“The defendant’s (ZPC) claim in re-convention is hereby dismissed with costs. The defendant shall pay the plaintiff’s costs of suit in the claim in convention.”

The ruling brings to an end the legal dispute that has been between the parties since 2015.

Advertisement

The agreement between ZPC and Intratrek was signed subsequent to a successful tender bid, for the engineering, procurement, and construction of a 1 000MW Gwanda Solar Power Station Project.

Intratrek was awarded as the lowest compliant bidder to specification out of 6 bidders at a cost of US$173 million.

ZPC later sued Chivayo for fraud but he was cleared by the courts.

Advertisement

In his Judgement the judge criticised ZPC for trying tormenting its legal contractor who won the project in an open tender.

The judge showered praises on Chivayo who was the sole witness during the trial.

He said he was consistent and trustworthy.

Advertisement

Alternatively, Intratrek had argued that it should be granted an award of damages in the sum of US$25 000 000 as it had incurred expenses whilst trying to secure funding for the project.

The judge ruled, “The plaintiff maintained that it was required under the contract to secure funding for the entire project through a debt financing arrangement.

“The plaintiff was expected to engage in a robust and expensive process of engaging international banks and project financial institutions. It incurred expenses in the sum of US$3 000 000 from 2013 to 2018.

Advertisement

“Further, the contract itself was of significant value and if it was to be implemented, the plaintiff expected to realise a return on investment of US$22 000 000. As a result of the breach the plaintiff had therefore suffered a loss of profit.” Source NewZimbabwe

Advertisement
Continue Reading
Click to comment

Leave a Reply

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

National

Ranger killed by elephant in Kariba

Published

on

BY NOKUTHABA DLAMINI 

A 62-year-old ranger, Josphat Mandishara, was tragically killed by an elephant in Kariba yesterday.

Advertisement

Mandishara, who worked for the Zimbabwe Parks and Wildlife Management Authority (ZimParks), was on patrol in the Gatche-gatche area with fellow rangers and police officers.

At around 10 pm, Mandishara returned to the harbor where their boat was docked, and that’s when he encountered the elephant. The elephant charged at him, causing fatal injuries. His colleagues were nearby, resupplying at the Gatche-gatche Irrigation Scheme.

Mandishara’s body was taken to Kariba District Hospital for a post-mortem, and the incident was reported to the police.

Advertisement

ZimParks has sent a team to manage the problem elephant and prevent similar incidents in the future.

The Director General of ZimParks, Prof. Edson Gandiwa, and his team have sent condolences to Mandishara’s family, friends, and colleagues. Mandishara will be remembered for his dedication to wildlife conservation in Zimbabwe.

Advertisement
Continue Reading

National

ZIMRA customs officer appears in court for criminal abuse of office

Published

on

BY STAFF REPORTER 

A Zimbabwe Revenue Authority (ZIMRA) customs officer, Phillip Kuvenga, has been accused of criminal abuse of office for allegedly assisting in the importation of banned motor vehicles.

Advertisement

Kuvenga, 28, who is stationed at Victoria Falls, allegedly received documents from clients, completed valuation sheets, and carried out the valuation process. However, he is accused of endorsing different chassis numbers to deceive his supervisors during the validation and approval process.

After obtaining approval, Kuvenga would capture the correct chassis numbers in the ASYCUDA World System. He would then alter or replace the documents submitted earlier to his supervisors.

The offense came to light when a motor vehicle that had not yet arrived in Zimbabwe was found to have been already registered. A thorough check by ZIMRA led to Kuvenga’s arrest.

Advertisement

Kuvenga appeared in court on February 1, where he was denied bail by Magistrate Gift Manyka. He is expected to appear in court again today for another bail hearing.

Advertisement
Continue Reading

National

Retailers send Mnangagwa SOS as shops continue shutting down over operational woes

Published

on


BY ZIMLIVE

The Confederation of Zimbabwe Retailers (CZR) has implored President Emmerson Mnangagwa to intervene and save the sector which has seen various formal retail and wholesale businesses closing shop countrywide due to operational challenges.

Advertisement

In a statement on Sunday, CZR president Denford Mutashu said the continued closure of formal retail and wholesale businesses is a direct consequence of the tough economic environment that has consistently failed to support formalised sector players who face stiff competition from informal businesses and vendors the majority of whom have no tax obligations to deal with.

Mutashu said his association was concerned that authorities continue to downplay the crisis.

“The recent closure of several outlets under the N. Richards Group, coupled with Spar Zimbabwe’s painful decision to shut down Queensdale Spar, Choppies Zimbabwe’s exit from the market, and Mahommed Mussa’s significant reduction of shop space by 60%, highlights the growing crisis.

Advertisement

“As the representative association for these and other brands, CZR is alarmed that while formal businesses face enormous challenges, the authorities continue to present a different picture of the operating environment,” he said.

Given the situation, Mutashu said, only President Mnangagwa can rescue the troubled sector.

“CZR therefore calls for urgent intervention from His Excellency, President Emmerson Dambudzo Mnangagwa, to rescue what remains of the formalized retail and wholesale sector,” said Mutashu.

Advertisement

He said the sector was in urgent need of rescue.

“While CZR acknowledges the continued support from the Ministry of Industry and Commerce, it is clear that the root causes of these challenges are fiscal and monetary in nature. These require urgent and decisive action to ensure the survival of formal businesses.

“CZR therefore appeals to the Presidium to prioritize interventions aimed at saving jobs and mitigating the ongoing wave of shop closures and retrenchments,” he said.

Advertisement

Continue Reading

Trending

Copyright © 2022 VicFallsLive. All rights reserved, powered by Advantage