Taped calls seal case against Rhema

THE Rhema Service Foundation has had to cough up about R300 000 to settle an eight-year court battle over nonpayment for a photocopy machine and a telephone system.

Merchant West Asset Finance sued the foundation in 2007 for R184 000, but a protracted legal battle in the High Court in Johannesburg had seen the final payment balloon.

The parties have now reached an out-of-court settlement that has been made an order of court.

The foundation, although a separate entity, is affiliated with the Rhema Bible Church.

The matter was initially a straightforward civil claim over nonpayment. The foundation then claimed the equipment was never delivered. And later, that the person listed to have signed a contract with Merchant West was not authorised to enter into a contract on behalf of the foundation.

But Merchant West produced phone recordings of conversations with foundation staff confirming delivery of the equipment, a Toshiba printer and a Samsung telephonic system.

Court papers stated that the contract was signed by Thembani Mukoki, but the founda- tion claimed his signature had been forged, according to the court papers.

Merchant West also said it was never informed Mukoki was not authorised to sign the contract and argued that foundation CEO Alan McCauley had signed a resolution stating that Mukoki was authorised to sign it, papers stated.

Giet Khosa, spokesman for Rhema Bible Church, said the foundation was an entity on its own through which most of the church’s social programmes were run. Khosa maintained the telephone system was never delivered, but confirmed that a settlement had been reached.