COUNCILS FEUD OVER $7M DEBT:

HARARE City Council (HCC) has taken Chitungwiza Municipality to the High Court over an outstanding water bill amounting to $7,2 million.

The two local authorities entered an agreement in which HCC would supply treated water to Chitungwiza daily.

Chitungwiza would then sell the water to its residents.

In terms of the agreement, Chitungwiza would be billed for the water supplied monthly and it was expected to pay the bills religiously.

However, Chitungwiza allegedly breached the agreement, resulting in HCC lawyers Honey & Blanckenberg instituting legal proceedings to recover the money.

In the summons filed at the High Court on May 18 this year, Harare is claiming $7 247 714,88 plus interest calculated at the prescribed rate from November 8, 2016 to date of final payment.

HCC is also seeking an order for costs against Chitungwiza Town Council.

Matsikidze and Mucheche Legal Practitioners are representing Chitungwiza in the court case.

Chitungwiza, which last year openly revealed that it was broke, is alleged to have failed to pay for the water supplied despite demand.

“As at October 2016, an outstanding balance of $7 247 714,88 was due and payable by the defendant to the plaintiff,” reads the plaintiff’s declaration.

“However, despite demand, the defendant failed, neglected or refused to pay the amount. Accordingly, the defendant is unlawfully indebted to the plaintiff in the sum of $7 247 714,88.”

On Monday this week, Matsikidze & Mucheche Legal Practitioners0 filed a notice of appearance to defend the matter on behalf of Chitungwiza.

The same lawyers are yet to file opposing papers.