Friday, 23 October 2020

FIDELITY PRINTERS SCAMMED IN CAR DEAL

FIDELITY Printers and Refiners (Pvt) Ltd (Fidelity), a subsidiary of the Reserve Bank of Zimbabwe (RBZ), has approached the High Court seeking an order compelling a local car dealer to supply the remainder of 11 Toyota Hilux double and single cab vehicles following a botched vehicle purchasing agreement.

Through its lawyers, Coghlan Welsh and Guest, Fidelity this week filed a court application against Solutions Motors (Pvt) Ltd for specific performance in terms of Order 32 of the High Court Rules, accusing the car dealer of crippling its gold delivery services.

In his founding affidavit, Fidelity general manager, Fredrick Kunaka said his firm fulfilled its part of the deal signed by both parties sometime in June 2019, but the car dealer allegedly failed to fulfil its obligations despite being encouraged to do so.

“Applicant (Fidelity Printers and Refiners) and respondent (Solutions Motors (Pvt) Ltd) concluded two agreements for the procurement and supply of a total of 22 motor vehicles,” Kunaka said, adding that the first agreement was for the procurement of 15 single cab Toyota Hilux vehicles, whereupon it was agreed that Fidelity Printers and Refiners would pay ZWL$5 875 965,90 which payment was made on June 25 2019.

On September 25 2019 Kunaka said the parties concluded another agreement for the procurement and supply of seven Toyota Hilux double cab vehicles and the agreed price was ZWL$10 987 805, which payment was made on the same date.

However, in breach of the first agreement, Kunaka said Solutions Motors only delivered 11 single cab motor vehicles on July 24, 2019, leaving a balance of four vehicles which have not been delivered to date.

“In breach of the second agreement, respondent has failed to deliver the seven Toyota Hilux double cab vehicles . . . respondent undertook to deliver the vehicles on August 31, 2020, but failed. It also undertook to deliver the vehicles within seven days from September 2, 2020, but nothing has been done,” Kunaka said.

“I submit that applicant has played its part of the agreement. No difficulty will be faced by the respondent in the execution of its part of the agreement. Its failure to perform its part of the bargain has already prejudiced the applicant in that it has not been able to utilise the vehicles in the execution of its duties. Applicant occupies a strategic position within the economy of Zimbabwe, as it is the sole buyer of gold in Zimbabwe a mandate which is carried out on behalf of the State,” he said.

The matter is pending and is yet to be set down for hearing. Zimbabwe Independent

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