Online Reporter
Nqobile Bhebhe [email protected]
THE City of Bulawayo successfully lodged a US$3 293.02 claim against OK Zimbabwe for unpaid water charges and business licences during the retail group’s first creditors meeting in March.
OK Zimbabwe is currently under voluntary corporate rescue, with Mr Bulisa Mbano of Grant Thornton Chartered Accountants (Zimbabwe) appointed as the corporate rescue practitioner.
The board of directors passed a resolution on 23 February to voluntarily commence corporate rescue proceedings in terms of Section 122 of the Insolvency Act [Chapter 6:07
The first meeting of creditors and members of the company was held on 18 March in Harare, marking a key step in the restructuring process of the retail chain.
To safeguard its revenue and avoid potential losses through unpaid balances, the municipality dispatched two representatives to formally lodge its claim at the proceedings.
“OK Zimbabwe Limited owed the City of Bulawayo an amount of US$3 293.02 for water and business licences. To hedge against income loss and writing off balances, Council had sent two officers (Mr D Moyo, Legal Officer and Mr E Siziba, Finance Manager) to Harare to lodge and prove Council’s claims,” reads part of the Finance and Development Committee report.
“Council’s claim was successfully lodged and provisionally accepted by the Master of the High Court. A second creditors meeting would be held at a date to be advised,” the report further states.
The development ensures that the local authority is formally recognised among creditors as OK Zimbabwe undertakes its corporate rescue process, which seeks to stabilise operations and address outstanding obligations.
