James Makamba empire crumbles

Brian Chitemba, Harare Bureau 

PROMINENT businessman Mr James Makamba’s empire seems to be crumbling after the High Court placed his Kestrel Corporation under provisional judicial management as Mr George Manyere fights to recover his US$2,7 million.

Mr Manyere through his firm Ecsponent Zimbabwe, entered into an agreement with Mr Makamba’s Kestrel Corporation over sale of Telecel shares. However, the transaction did not go through and Mr Makamba has failed to pay back the money.

High Court judge Justice Thompson Mabhikwa ordered that Kestrel be placed under provisional judicial management indefinitely so that its assets — shares in Empowerment Corporation — are protected from other legal action.

“The Master is hereby directed to appoint Winsley Militala as provisional judicial manager of respondent (Kestrel Corporation), with the powers and duties set out in Section 303 of the Companies Act (Chapter 24:03),” ruled the judge.

Mr Makamba — who lived in self-imposed exile for 12 years until 2017 — had yesterday not responded to questions sent via SMS.

He discontinued a phone call after being informed it was from our Harare Bureau. Subsequent calls went unanswered.

However, Justice Mabhikwa gave any interested parties who oppose the Kestrel Corporation provisional judicial management up to May 23, 2019, to show cause why the order should not be upheld.

In his founding affidavit filed at the Bulawayo High Court, Mr Manyere said Kestrel Corporation failed to pay its debts and was being recklessly mismanaged.

“There is reasonable probability that if the company is placed under judicial management it will be enabled to pay its debts or meet its obligations and become a successful concern. Respondent (Kestrel) is indebted to the applicants (Mr Manyere and Ecsponent) and is unable to fulfil its obligations owing to its gross mismanagement bordering on fraudulent conduct.

“The placement of respondent under the control of a third party will allow for the expeditious resolution of issues affecting it and its creditors.”