ZIMBABWE Cricket (ZC) says it reached an out-of-court agreement with NMB Bank to stop the auctioning of its property by the financial institution to recover a $2,5 million the cricket body borrowed in 2012.
Last week, Standardsport reported that NMB Bank had obtained a writ of execution to attach ZC’s land in Harare’s Willowvale area after it won a High Court case in August 2015.
However, ZC’s head of corporate affairs Nesta Vaki last week said the judgement had been overtaken by events.
“While indeed ZC acknowledges owing money to NMB as reported in the story, the fact of the matter is that an out-of-court settlement was agreed by the two parties after the writ of execution was issued,” said Vaki in a letter to The Standard.
“There is a very good reason for that, legal proceedings are by their nature so dynamic that even within hours or a day material facts in a case can change.
“So far, ZC, despite being weighed down by the same economic challenges afflicting every other facet of life in Zimbabwe, has paid back a chunk of the loan and remains committed to settling this and all other debts.”
Vaki added: “For the record, there is no property that is going to be attached for the bank to recover the loan, thanks to the repayment plan.
“There is absolutely nothing scandalous about ZC’s financial challenges when the cricket body has not been immune to the same economic woes that have buffeted everyone including publishers who are either folding or struggling to pay their journalists.”
ZC said the “expired” story had “unfairly impaired” its image.
But a perusal of the case’s file at the Harare High Court last week did not reflect the latest developments.
A ZC official said the out-of-court settlement was reached in December.