African Sun sued

Daniel Nemukuyu Senior Reporter
A consortium of local architects, surveyors and engineers has taken African Sun Zimbabwe (Private) Limited to court over outstanding consultancy fees to the tune of US$16 million for construction projects in Equatorial Guinea.African Sun acted as an agent for the government of Equatorial Guinea and sought consultancy services from a group of consulting firms in Zimbabwe to build two hotels and a tourism training school in the country.

The firms included Manyara Design Architects, Promec Consulting Engineers, Exclusive Engineering Consultants, Mthupha Practice Architects and Marsden Consultants Africa who collectively constitute the Corisco Design Team.

High Court judge Justice Chinembiri Bhunu is handling the matter while Advocate Thabani Mopfu instructed by Dube Manikai and Hwacha law firm is acting for African Sun. Chikumbirike and Associates law firm is representing Corisco Design Team.

According to the summons issued, Corisco Design Team argues that African Sun engaged them in April 2007 as consultants for the purposes of designing and developing hotel and training school buildings for the Equatorial Guinea government. Hotels were to be built in Moca and Corisco while the training school was to be built at Mongomo in Equatorial Guinea.

The consortium argues that African Sun instructed them to prepare architectural, engineering designs, technical documentation and all other project designs and documentation. It is also claimed that the hospitality group further instructed the consortium to meet the project costs relating to the development of the hotels and to adhere to the deadlines set for completion of the projects.

The consultants argue that the agreement bound them to cater for transport, food and accommodation until such time when the Equatorial Guinea government approved the three projects.

It is the consultants’ argument that they performed the task as agreed but African Sun refused to pay them. They argue that the preliminary design presentation documents were approved on April 16 2007 and consequent to the approval the consortium proceeded to produce the relevant construction drawings.

It is claimed that the drawings were completed and submitted to Africa Sun who handed the papers over to the director of projects of Equatorial Guinea for approval.

For the Mongomo project, the drawings were submitted on June 2 2008 and construction works commenced immediately. The consortium argues that US$10 387 980 was to be paid for the Corisco project, US$4 393 070,15 for the Mongomo works while                    US$1 394 689,23 was for the Moca project.

African Sun filed its opposing papers denying ever entering into an agreement with the consortium. The company argues that the consortium had no right to claim any payment from it and that the work done was carried out at the parties’ risk. Payment, according to African Sun, would be made upon approval of the designs.

“It is denied that the plaintiff is entitled to fees from the defendant at all. It is denied that the plaintiff was engaged or acted as defendant’s consultants as alleged.

“It is averred that the plaintiff, like the defendant, was engaged by the government of Equatorial Guinea. At most, the defendant acted as agent, co-ordinating the Codet team (consortium) to consult on behalf of the government of Equatorial Guinea,” read the defendant’s plea.

Africa Sun says only one of the three projects was approved and that none of the drawings was ever approved by the Equatorial Guinea government.

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