FORMER Vice-President Phelekezela Mphoko and his son,
Siqokoqela, have taken their former lawyer, Professor Welshman Ncube to court
for allegedly squandering part of the US$2,9 million they got as shares from
Choppies Enterprises after they were bought out of the company.
The Mphokos exited Botswana-based Nanavac Investments,
trading as Choppies Supermarkets Zimbabwe, in January after offering to be
bought out of the company to end a protracted ownership wrangle.
The Mphokos through their lawyer, Mr Zibusiso Ncube of Ncube
and Partners, yesterday filed summons at the Bulawayo High Court citing Prof
Ncube of Mathonsi Law Chambers as a defendant.
They want an order directing the MDC Alliance
vice-president to pay them about $1,5 million being the outstanding balance of
the money they received as shares from Choppies including a five percent
interest calculated from January 16, 2019 to the date of full payment.
In papers before the court, it was stated that between
January 1-9 this year, Prof Ncube, who at the time was the Mphokos’ lawyers,
received US$2,9 million from Choppies on behalf of his clients and was also a
signatory in a settlement agreement.
“Prof Ncube while acting in his capacity as their attorney
under a contract of mandate and having separately been contracted to do so in a
written addendum to a settlement agreement signed between the plaintiffs,
Choppies and him on January 11, 2019 received the money,” said Mr Ncube.
At all material times, the plaintiffs were shareholders in
Choppies Enterprise and the sums of money in question were received by the
defendant in trust as consideration in a transaction wherein the plaintiffs
were pressured to purportedly dispose of their shares in exchange for a
withdrawal of criminal charges against second plaintiff (Siqokoqela) and his
wife, Nomagugu.
Mr Ncube said Prof Ncube confirmed to his clients that he
received the full amount from Choppies on their behalf. Prof Ncube, however, only paid the Mphokos about $1, 24
million
The Mphokos said despite demand, Prof Ncube has failed,
neglected and refused to pay the balance.
“Wherefore, the plaintiffs pray for a judgment against the
defendant to pay the sum of $832 500 to the first plaintiff (Phelekezela
Mphoko) and $619 708,50 to the second plaintiff (Siqokoqela) as well as payment
of five percent interest on the amounts,” said the Mphokos.
They also want Prof Ncube to pay the legal costs. Prof Ncube is yet to respond to the summons.
In January, Prof Ncube told The Chronicle that the Mphokos
were going to be paid for 51 percent shareholding but could not state the
amount of money involved.
At the height of their legal battles, Choppies Enterprises’
chief executive officer, Mr Ramachandran Ottapathu alleged that the Mphoko
family owned only seven percent shareholding.
He said the other 44 percent was given to them to fulfil
the indigenisation laws of the country. However, Prof Ncube insisted that the
Mphokos held 51 percent of the shares.
The fight became messy when Siqokoqela and his wife
Nomagugu were dragged to court on charges of interfering with the operations of
Choppies Distribution Centre and Choppies Enterprises. This followed
accusations that they swindled the businesses of a combined $80 000.
Siqokoqela, who was shareholder in the retail business and
a non-executive director, was accused of abusing his power to “loot” $50 000 in
cash realised from sales at different supermarkets and replacing it with
transfers.
Nomagugu was facing 49 counts of extortion after allegedly
bulldozing various Choppies outlets in Bulawayo and demanding cash.
The two matters under case numbers CRB Byo 2431/18 and CRB
Byo 2567/18 were subsequently withdrawn. This was after Mr Ramachandran
submitted an affidavit to the prosecution withdrawing charges against
Siqokoqela and Nomagugu. Chronicle
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