AAG calls for Govt intervention

Prosper Ndlovu Senior Reporter
THE Affirmative Action Group (AAG) has called on the Government to intervene in the litigation cases involving companies saying the development was against the spirit of the revival of industries. In an interview in Bulawayo yesterday, AAG deputy president Mr Sam Ncube said the increase of company litigations across the country was affecting the resuscitation of industry especially in Bulawayo.

He said instead of attaching properties and equipment, creditors should engage in dialogue with their debtors and make agreeable payment plans.

“Litigations against companies are on the increase and the trend has become a cause for concern. This is shocking especially at a time when the country is focusing on reviving industry,” said Mr Ncube.

“We are aware of the existence of the law but at this time, pursuit of the law is working against the survival of companies and it is actually killing them.

“That is why we are appealing for Government intervention on this issue. We are not saying companies should not pay their dues but we are saying at least there should be negotiations on payment terms instead of attaching machinery.”

Mr Ncube said indigenous businesses were the most affected by litigations and said unless Government intervenes, the indigenisation and economic empowerment programme would not succeed.

“Most companies in this country are struggling and they owe each other. As a result the companies are now busy hammering each other through the Deputy Sheriff and in the process destroying the remaining companies,” he said.

“We are saying this must stop. The Government should suspend litigations to allow industry to stabilise. Businesses need this moratorium.”

Mr Ncube said the litigation cases increased sharply after elections and said unless the issue was addressed early, it would discredit the new Government.

“The law protects the crocodile but if the crocodile attacks our children we kill it before it kills everyone. We cannot keep quiet when litigations are destroying the few remaining industries under the name of fulfilling the law,” said Mr Ncube.

He said it seemed lawyers and messengers of courts had ganged up against companies
“We do not think there is justice in the whole process now and suspect that there is a certain agenda to discredit the new Government by forcing more companies to close,” said Mr Ncube.