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Trust Bank hearing postponed again

THE liquidation hearing for Trust Bank Corporation (TBC) was pushed to next week after the Reserve Bank of Zimbabwe (RBZ) bungled in filing its heads of argument in response to the opposing affidavit from the bank.

BY OUR STAFF

The hearing was supposed to have been held on Wednesday but was pushed to March 25 as RBZ lawyers had filed its papers late and said that they did not paginate the record as per procedure, TBC lawyer, advocate Thabani Mpofu told Standardbusiness last week.

High Court judge, Justice Lavender Makoni will preside over the matter.

The postponement is the second inside a month and has left TBC anxious as it wants the matter resolved.

Last month, RBZ lawyers filed its heads of argument late, leading to the postponement of the case to March 12.

“The client is anxious to have the matter resolved. There are employees who want to know their fate and there are business transactions that are hanging,” Mpofu said.

In January, the High Court gave TBC three weeks to submit an opposing affidavit after the troubled institution said depositors were against the proposed liquidation.

The opposing affidavit was filed last month with over 50% of the depositors opposing the liquidation, according to attachments filed with the court.

TBC was closed in December after the RBZ declared it insolvent and accused the financial institution of abusing depositors’ funds.

Deposit Protection Corporation chief executive officer, John Chikura was subsequently appointed provisional liquidator pending finalisation of the matter at the courts.

In the opposing affidavit against the proposed liquidation, TBC director William Nyemba said the challenges facing the institution were capital related and would only be addressed once a new investor comes in.

Nyemba said RBZ was aware of a potential investor into the bank. The investor — Mining Oil and Gas Services (Mogs) — wants to invest in TBC on condition that it gets the go- ahead to construct a second pipeline between Beira and Msasa.

Negotiations are currently underway between Mogs and government ministries and departments.

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