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DAVID Whitehead Textiles workers committee members have written to the Judicial Service Commission appealing for an investigation into the conduct of the company’s provisional judicial manager, Mr Winsley Militala. The DWT workers alleged that Mr Militala has been selling the company’s assets and depositing the proceeds into an alleged personal account without first obtaining a court order or consent of creditors.
In the letter, that our Harare Bureau is in possession of, the workers committee members said 2 000 DWT workers were in danger of having their company liquidated as a result of Mr Militala’s conduct. Workers committee member Mr Zachariah Gusha signed the letter of complaint to the JSC along with fellow committee members Stephen Musapuri, Patson Mberengwa and Samson Thom.
Mr Gusha said the letter has been lodged with the Master of the High Court and the permanent secretary in the Ministry of Justice and Legal Affairs.
Efforts to get a comment from Mr Militala yesterday were unsuccessful as his phone went unanswered. The Master of the High Court Mr Eldard Mutasa said he was yet to see the letter of complaint. Mr Mutasa however said his deputy may have seen it.
He, however, said that the provisional judicial manager may sell some light assets to cover running costs such as for security.
But workers claim that Mr Militala was not authorised to sell the company’s assets and as such want the propriety of his actions examined.
“During his tenure of office in DWT we are reliably informed that he has been and is still banking DWT product sales in his personal account. He has sold company assets without a court order or consent from creditors. Tonnes of assorted scrap were sold including aluminum. We are reliably informed that an industrial stand in Kadoma was sold for $13 000 of which $9 000 has been paid so far”.
The workers also alleged that a total of 58 300 kilogrammes of assorted scrap, 11 583 pairs of assorted poly socks, 173 electric motors and six tonnes of plastic cones were sold on different occasions.
Plastic containers from Chegutu and Kadoma, timber (rail sleepers), angle irons from Harare Head Office and a Mazda 323 from Bulawayo sales office were allegedly also sold while the firm’s spinning warehouse was allegedly being leased to gold dealers.
“The above list is only the one we have been informed of but we believe it is more than that and for your own information his appointment was by consent so we believe he is using that consent order as a court order that allows him to sell company assets yet that consent order prohibits him to sell any assets without the consent of the creditors or court order,” the workers wrote.
After what he has allegedly done workers said they now suspected foul play in his recommendation that DWT be put to liquidation. “We are appealing to your good office to urgently investigate the above allegations, our main worry is who benefitted and who was prejudiced?”
But Mr Mutasa said the provisional judicial manager may sell a few lightweight and value assets to cover running costs if he can justify it. “He can sell some assets to meet running costs as long as he is on the ground. Even though there is no activity, there are some people there,” he said. But he pointed out that the provisional judicial manager may need to justify the need to dispose of heavy assets.
Online Reporter