Sangwa’s ‘firm’ faces liquidation

A FORMER employee of Legal Resources Foundation (LRF) Limited has petitioned the Lusaka High Court to wind up the institution on grounds that it has failed to pay him the benefits and its creditors.

Mr Gilbert Yumba of Kolota Village in Mansa stated that he entered into a contract of employment in 2001 and was entitled to receive remuneration, inter alia leave days.

He was entitled to leave days at the rate of two days per month.

He said that after termination of his contract, LRF failed to pay him money due to him and leave days as they fell due.

Thus Mr Yumba has asked the court to wind up the organisation and lawyer Lewis Mosho be appointed as Provisional Liquidator as he is an accredited insolvency practitioner and duly competent. He said that the shareholders and directors of LRF being foreigners, there was a highly likelihood that the property of the institution could be disposed of before the matter is determined.

“My Lord, from the foregoing authorities, we submit that this is a case fit for this honourable court to appoint a provisional liquidator to take charge of the respondent (LRF) company’s assets so that the petition , creditors and other entitled persons ‘ rights and interest may not be prejudiced whatsoever pending the hearing and determination of the petitioner’s petition,” he submitted. LRF is a company incorporated pursuant to the Companies Act No 10 of 2017 of the Laws of Zambia to undertake legal related activities. The institution has currently two active matters in the Constitutional Court where it has petitioned the eligibility of President Edgar Lungu to stand for 2021 elections.

Another matter us where it is seeking a declaration that the 12 running mates had allegedly not complied with the provisions of article 100 (1) and (j) of the Constitution to pay nomination fees and provide 100 supporters from each province.