admintroubled textiles firm.
Mr Militala was appointed DWT judicial manager in December last year, but failed to secure the required US$12 million security bond.
On the return date, three months after his appointment, the Master of High Court Mr Charles Nyatanga did not confirm or extend the order on the grounds that Mr Militala had failed to obtain the security.
Mr Nyatanga then wrote to Mr Militala, advising him to hand over the firm back to the management.
On that same day, Mr Militala, through his lawyers, wrote back to the Master and advised him that his interpretation of the law was wrong.
Mr Militala argued that the provisional judicial management order was still valid and that, accordingly, there would be no handover of assets.
It is alleged that the DWT management had started disrupting Mr Militake’s work, including “planting” stories in the Press to the effect that the company was now out of provisional judicial management.
On March 11, Mr Militala filed an urgent chamber application seeking a declarator from the High Court that the provisional judicial management order was still valid. Justice Joseph Musakwa heard the application and dismissed it on the basis that it was not urgent.
Justice Musakwa also ruled that Mr Militala had not provided security and had no authority to represent the affected companies in court.
Two weeks later, Mr Militala then appealed to the Supreme Court and it was heard this week on Tuesday before Deputy Chief Justice Luke Malaba, along with Justices of Appeal Paddington Garwe and Maphios Cheda. Deputy Chief Justice Malaba ruled that DWT remained under the provisional judicial management of Mr Militala and that the High Court should not have dismissed the urgent High Court application.
“Since all of the parties present had agreed or conceded that the provisional order of December 1, 2010, handed down as a consent order by (Justice) Bhunu under Case No. HC 5307/2010 was still extant (ie valid) by operation of the law, the High Court should therefore have granted the declaration confirming its validity.
“The appeal to the Supreme Court therefore succeeds,” and “it is therefore . . . declared that the provisional order . . . remains of full force and effect until it is discharged by an order of the High Court.”
G N Mlotshwa & Company, lawyers representing Mr Militala, said they would soon meet the Master of the High Court to finalise the matter.
“We will be meeting the Master as soon as possible in order to finalise a number of administration issues in order that Mr Militala finalises his report.
“And importantly so that he, recommends a solution to the tragic and unnecessary state of affairs presently obtaining at the David Whitehead Companies,” said G N Mlotshwa & Company.
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