Liquidator ‘disappears with creditors’ money’

Business Reporter
FORMER workers of the now-defunct Radiator and Tinning (Pvt) Ltd in Bulawayo are crying foul after a Harare-based liquidator allegedly disappeared with their money after selling company assets following the closure of the firm in 2010.Close to 100 workers were left stranded after the company closed shop under “unclear circumstances”.

The matter was discussed at a creditors’ meeting before the Master of the High Court in Bulawayo (Case No HC 1322/10) on August 17, 2011 where the liquidator, Theresa Grimmel of Auction City in Harare, pledged to pay the workers and other creditors all the money the company owed them.

A High Court record, a copy of which is in possession of Business Chronicle, indicates the workers were owed between $2,000 and $19,000 each in unpaid salaries and packages depending on the number of years served.

The workers said they had not been paid to date despite approval of their claims by the High Court. They claimed the liquidator had been playing hide and seek since 2011 after selling the company assets.

The engineering firm was situated at an industrial complex close to the Bulawayo City Centre along Fife Street Extension.

The premises covered an eight acre landscape with extensive industrial buildings, enormous open and covered yard space, double storey office block, two road frontages, boreholes and fuel storage, clinic and stores.

It also had a huge selection of equipment, including light and heavy engineering machinery, wire extruders, plastic injection, moulders, various furnaces and smelters and overhead lifting tackle.

“We’ve not been paid anything since the company closed shop in 2010. This is very unfair considering that the liquidator undertook to pay us after disposing off assets before the High Court,” said Milton Ngwenya, who is owed about $12,000.

“The creditors’ meeting took place when the auction was already going on and Grimmel pledged to pay us. We always engage the liquidator on the matter and surprisingly, she’s now telling us she won’t pay anything. We want the government to investigate these issues. Vice-President (Phelekezela) Mphoko should intervene in this and solve the rot in Bulawayo industries. Some of the reasons for the closure of companies here are not genuine. ”

Grimmel could not be reached for comment as she was said to be in South Africa. Her partner Paul Woodhouse declined to comment on the matter.

“I’m only an auctioneer; you can talk to Grimmel about that issue. She is in South Africa now. How did you get my number?” he said.

The disgruntled former workers said they suspected foul play after it emerged that Grimmel had reportedly appointed a different agent to sell by public auction, the remaining assets held by different sister companies to Radiator and Tinning.

The companies were owned by Trevor John Hodgskin, a retiree now staying in England.

They were registered under the TJ Hodgskin Trust administered by a Willie Anderson of Anderson Executors and Trust.

Other subsidiaries include Holmbuild (Pvt) Ltd, Tremer (Pvt) Ltd and Gorey Properties.

The company also owned several houses in Ilanda, Burnside and Famona surbubs.

“We were one of the biggest engineering firms in southern Africa that did copper, bronze and brass services and we believe corruption was involved in the closure of this company,” fumed another former worker who declined to be named.

The former workers said the closure of Radiator and Tinning affected operations of other small companies downstream.

They alleged that at one time Grimmel turned down proposals by potential investors to revamp the company as she “insisted on selling its assets”.

“Whoever wants to revive Bulawayo can’t do so without Radiator and Tinning. Sadly our equipment has been sold and the bulk of it is lying idle along Harare Road where it was taken by one buyer. We want our money and this woman should stop taking us for granted,” said another former worker.

It could not be established whether the other creditors have been paid and how much they were owed.

Other creditors included the Zimbabwe Manpower Development, NEC Motor Industry, Polyfoil Zimbabwe (Pvt) Ltd, Zimra, Powerseed Electricity Ltd and Automotive and Allied Workers Union of Zimbabwe.