NORTHERN businessman Banda Shilimela has approached the High Court to force the Ministry of Agriculture, Water and Forestry to pay his company, Shilimela Security and Debt Collection CC, N$21 million which it allegedly owes the company.
According to Shilimela’s particulars of claim, his company was awarded a tender by the agriculture ministry in 2014 to render security services and protect the ministry’s properties at 54 venues in the Zambezi, Oshikoto, Kavango East and Kavango West regions.
Shilimela, in court papers filed by his lawyers Kishi Shakumu and Co Inc in February this year, said the services were rendered between January 2014 and January 2017.
At the time the tender was awarded, the security guard rate was N$6,75 to N$7 per hour, Shilimela claims.
However, this was allegedly adjusted to N$8,75 per hour in January 2017.
He said that on 11 March 2019, his company addressed a letter to the ministry in which they claimed for the difference but the ministry did not pay until September 2020.
Shilimela said on 9 October 2020, the agriculture ministry wrote him a letter in which they acknowledged the amount owed and proposed a meeting to negotiate and discuss the methods of payment for the outstanding claims.
The ministry of agriculture was to notify Shilimela of the date and time of the meeting, however, they failed to do so, Shilimela said.
“On 11 February 2021, the plaintiff [Shilimela] demanded payment from the defendant [agriculture ministry] from 9 October 2020 plus 13,25% interest after each 30 days. The defendant failed, neglected and refused to pay the amounts owing,” he added.
On 13 July 2021, Shilimela wrote a second letter to the agriculture ministry, demanding payment.
He again wrote another letter on 10 November 2021, demanding payment for services rendered from 9 October 2020 to 31 December 2021, a total amount of N$21 million, including 13,25% interest after each 30 days.
In February this year he addressed a fourth letter to the agriculture ministry requesting a meeting.
The ministry allegedly confirmed receipt of his letter but failed to indicate availability for the proposed dates.
“The defendant [agriculture ministry], up to date, has failed to approach the plaintiff [Shilimela] in any attempt to settle their debt,” he alleged.
Agriculture spokesperson Jona Musheko said the ministry is aware of the money owed to Shilimela Security and Debt Collection CC, and it will make provision to source the money during the current financial year.
“We will definitely honour it,” Musheko said yesterday.
He added that from October 2020 to date, the ministry has been paying the security company according to the new rates and it has not defaulted on any payment.
The Villager reported in February this year that security guards working for Shilimela Security Services in the Kavango West region accused the company of not paying their salaries since August 2021, and claimed the company put them through inhumane working conditions.
The online newspaper quoted Shilimela as having said that the company has paid salaries consecutively for the last six months from August 2021 to January 2022.
“I am hereby rejecting all the accusations levelled against Shilimela Security as false, malicious and a fabrication,” he was quoted as saying.
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