Minister sues business partner

MINISTER of Energy Mathew Nkhuwa has sued his business partner Sarel Smith, a South African, for allegedly attempting to dispose of company assets without following the legal requirements of the Company’s Act. Mr Nkhuwa together with the defendant Mr Smith and Stephan Delport are members and directors of Zambor JV Limited, a company registered at Chingola. According to a statement of claim filed in the High Court Registry, On August 30 this year, Mr Smith allegedly sent a letter to Konkola Copper Mines PLC, a client of Zambor VJ Ltd informing the Mine that the assets and employees of Zambor Ltd had been bought and taken over by Master Drilling Zambia Limited. The minister is contending that on September 5, Juanita Rossouw an agent of the defendant allegedly sent him an electronic message requesting him to execute the resolution purporting to grant Mr Smith with authority to negotiate the sale of the company assets. Mr Nkhuwa submitted that he refused to execute the resolution on grounds that the same was not in line with the companies Act Chapter 388 of the Laws of Zambia and the articles of the company association adding that the defendant had not availed him with information pertaining to the purported sale. He adds that between September 5 and 10 he had been trying to get more information from the defendant about the purported sale if the company but the Defendant refused to furnish him with the requested information. Mr Nkhuwa submitted that Mr Smith allegedly authorised Master Drilling Zambia to brand the vehicles owned by Zambor, its logos, signage and other advertising material without his knowledge The minister who has since filed an ex-parte summons for an order for an interim injunction, wants an order restraining the defendant from attempting to dispose of the company assets without following legal requirements of the company. He is also claiming damages for loss of business caused by the defendant’s attempts to sell the company’s assets. Costs of and incidental to this suit are also being claimed.