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Fidelis Munyoro, Chief Court Reporter
Astra Paints Holdings has failed in its urgent High Court bid to block a divorcing former employee, fired over embezzlement of nearly US$360 000 company funds, from transferring all family assets to his divorced wife and children, thus preventing the company from being compensated in any future successful legal proceedings.
The company wanted to interdict Adrian Chulu, who was going through a divorce, from awarding his estranged wife all the family property including top-of-the-range vehicles, houses and household effects.
But the High Court noted that the divorce agreement made before Astra launched its legal attempt to obtain compensation should not now be altered and that in any case Astra had failed to show there was any urgency in its anti-dissipation application.
Chulu was fired for fraud involving U$359 696.68, amid claims the property cited in the divorce proceedings was acquired through proceeds of underhand deals.
The divorce of Chulu from his wife Cleolla went through after both parties’ successful settlement negotiations.
However, Justice Regis Dembure ruled the paint manufacturing company’s application for an anti-dissipation order was not urgent and struck it off the roll, dealing the company a hard legal blow.
In dismissing the Astra Paints petition, Justice Dembure ruled Chulu had no valuable assets to his name with all property being awarded to his wife and minor child.
Some of the properties were already sold lawfully and the court was of the view that Astra Paints was trying to close the stable doors when the “horse had bolted.”
The couple signed their consent paper on June 17 2024, before Astra application was filed and where the parties have agreed on the proprietary consequences of their divorce, Justice Dembure said such a contract is sacrosanct, binding and enforceable by the courts.
“As such, the consent paper is honoured and enforced by this court,” he said adding that it would be contrary to public policy for the court to fail to give effect to such contracts in the absence of a valid reason.
“That agreement must be given effect as there was no evidence placed before me proving that the contract is void or unenforceable based on any valid recognisable ground.
“The first respondent has already alienated or ceded his rights or interests in the assets to the second respondent and the minor.
“The court cannot be asked to intervene on an urgent basis to stop or prohibit what has already taken place lawfully.
Justice Dembure also took a judicial notice of the fact that Chulu’s wife was equally entitled to the protection of the law, finding that she was not a party to the action pending under Case No. HCH 1349/24.
The judge ruled that she had nothing to do with Chulu’s misdemeanour’s and could not be used as a sacrificial lamb in the fight between Astra Paints and her estranged husband.
The judge could not be persuaded that Astra would suffer irreparable harm if the court refused to intervene on an urgent basis, as the assets which Astra sought to preserve had already been alienated lawfully to parties not involved in the pending action Case No. HCH1349/24.
Astra Paints, said the judge, could still wait for the finalisation of its action and decide what to do at the appropriate time.
“The circumstances of this matter, in my view, do not call for the undue interference on the right of the second respondent, a third party, to the finality of her divorce litigation as has been submitted. It is not in the interests of justice for me to do so.”
But Astra Paints through its legal counsel queried the scheduling of the divorce and hurried court action, arguing that Chulu’s consent to giving all the property to his wife and children, leaving himself with no assets of value to his name, was part of a scheme to dodge execution of any judgment that may be issued against him.
In March this year Astra Paints sued Chulu in the High Court under Case No. HCH 1349/24 claiming payment of US$198 279.50 and a further US$161 417.18 or alternatively, ZWL$166 682 630.00 as restitution of funds he allegedly defrauded the company.
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