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Fidelis Munyoro Chief Court Reporter
Premier Service Medical Aid Society is battling to block former chief executive Cuthbert Dube from recovering more than $3 million in outstanding salaries pending the society’s appeal at the Labour Court.
PSMAS was ordered to pay Dube the $3 million in outstanding salaries by an arbitrator in April this year. But the medical aid society lodged an appeal against the arbitral decision, arguing that if enforced, the society would collapse. PSMAS is in severe debt and already struggling to procure drugs or settle dues to its service providers.
The medical aid society on Thursday made an application for the suspension of the arbitral award granted to Dube, pending the determination of the appeal.
The application was necessitated by Dube’s application at the High Court for the registration of the award, which is the subject of the appeal.
Labour Court judge Justice Euna Makamure sitting with Justice Betty Chidziva heard submissions from both parties’ lawyers and reserved ruling to a later date.
Advocate Fadzayi Mahere instructed by Mr James Muzangaza of Muzangaza, Mandaza and Tomana appeared for PSMAS, while Mr Jonathan Samukange of Venturas and Samukange acted for Dube. Adv Mahere argued that allowing the execution of the arbitral award would prejudice the interest of PSMAS.
She said it would be impossible for PSMAS to recover its dues in the event of the appeal succeeding. But Mr Samukange argued that Dube was a man of substance, with assets worth about $5 million hence any fear of irreparable prejudice was misplaced.
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