adminIn a statement issued yesterday, Time Bank said the securities include title deeds, cancellation of mortgage bonds, certain loan securities, safe custody items and valuable items that were lodged with the bank before its closure. The bank said it would dispense of the securities expeditiously to avoid any further inconvenience to its clients.
“We respect your property rights to the above properties, in particular your right to use your property the way you want, including as loan securities elsewhere. In this regard, we thank you for your patience since May 2006 as we waited for the handover/takeover. We assure you of quick service in the release of such securities,” read the statement.
Some former clients of the bank who spoke on condition of anonymity welcomed the statement by the bank but expressed concern about the delays by authorities in releasing the computer system.
“We are glad that we are finally going to get our securities back at long last and the fact that the bank is willing to quickly deal with the matter shows that they are conscious that there was an infringement of our property rights. We are Zimbabweans but were made to suffer because our fellow countrymen held on to our property which is a shame when the buzzword these days is empowerment of locals,” said one of the clients.
Another client said he was surprised that the matter had taken long yet the Reserve Bank had agreed to release the computer system a long time ago.
“I am not sure what the challenges were, but we heard that the Reserve Bank had agreed to release the computer system a while ago. I believe that justice delayed is justice denied.
It was wrong and illegal for RBZ to hold on to the system for this long in view of the agreement,” the client said.
A financial analyst also welcomed the return of the computer system but stressed the need for the central bank to ensure that all outstanding issues with Time Bank are resolved.
“I believe that Time Bank should receive the same treatment as Trust and Royal Bank, and be given all its assets including foreign currency that the central bank took from the bank.
“That includes the US$15 million Memorandum of Deposit that Time Bank mobilised from PTA Bank and was disbursed through the RBZ, which I understand, is a sticking point. Furthermore, the RBZ should also consider returning foreign currency owed to Time Bank in the form of NCDs as was the case with other banks.
“Upon the return of all its assets Time Bank should also be given sufficient room to put its house in order to re-establish itself,” said the analyst.
He added that the RBZ should make sure that it deals with all matters relating to all banks in an equitable manner.
“I believe that we have a governor who is passionate about protecting banks as the case with Standard Chartered but that passion should also be extended to indigenous banks and that starts with the expeditious resolution of matters affecting them such as the case of Time Bank,” said the analyst.
The delays in releasing the computer system had seen Time Bank falling to reopen three years after its banking licence was restored. The Time Bank computer system was returned after the intervention of the RBZ board last month. Insiders concurred with media reports that the return of the computer system would not translate into the immediate opening of the bank to the public, as there was need for verification of assets handed over using the computer records.
Time Bank was placed under curatorship in 2004 and in 2009, the RBZ agreed to restore the bank’s operating licence after the Administrative Court ruled that its closure was illegal.
Online Reporter