The Municipality of Walvis Bay on Friday issued a public apology to RedForce Debt Management over fraud and misrepresentation allegations.
The apology comes in the wake of a court settlement in which both parties agreed to reinstate RedForce’s contract, which was terminated on 23 April.
“The council of the Municipality of Walvis Bay hereby wishes to inform the public that the recent allegations of fraud and misrepresentation against RedForce Debt Management are entirely unfounded and factually incorrect.
“The inconvenience experienced by RedForce is regretted. Please be assured that all contractual obligations and rights arising from the agreement between RedForce and the council will continue without interruption,” noted the municipality.
In addition, all accounts handed over for collection will remain with RedForce until they are settled in full, the council said.
The council urged Walvis Bay residents to cooperate with the debt collector and noted that RedForce is complying with the council’s credit control policy in its debt collection process.
RedForce’s contract was terminated following a collective decision by Walvis Bay councillors, which prompted an urgent application in the Windhoek High Court.
The court initially granted an order stopping the council’s implementation of the decision to terminate the contract, and five months later, the parties agreed to halt all legal proceedings in favour of a settlement agreement.
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