POLICY Monitoring and Research Centre executive director Bernadette Deka has denied owing Vyansilati Enterprise Limited K2.6 million. In this matter, Vyansilati Enterprise Limited has sued Deka in the Lusaka High Court seeking an order that she pays back the K2,675,000.00 at 15 per cent interest per week from the date of default, being April 27, 2019. But in her defence, Deka stated that her agent, Peter Malawo, entered into an agreement with Marvin Chibwe to borrow K1,000,000 on 18 January 2019.
She said Chibwe advanced K1,000,000 to her for a period of one month at 100 per cent interest and a penalty of 15 per cent per week. Deka denied claims by Vyansilati that at her instance, she freely and voluntarily requested to enter into an agreement with the company’s director, Marvin Chibwe, on or about April 9, 2019 where it was agreed that she borrows K2,675,000.000. Deka said subsequently Marvin and herself executed an agreement purporting that the latter had lent her K2.675.000 to disguise and the unconscionable interest rate of 100 per cent per month and a penalty of 15 per cent per week are both illegal and void.
“While the defendant admits owing the principal sum of K1,000,000 and reasonable interest to Marvin Chibwe, she denies indebtedness to the plaintiff at all and puts the plaintiff to strict proof,” Deka said.
“The defendant denies each and every allegation in the statement of claim as though the same were herein set out and traversed seriatim.”
Vyansilati Enterprise Limited is a private company Limited by shares and are engaged in a business of civil woks, electrical repair, and money lending. Vyansilati Enterprise Limited said they entered into an express term of agreement which was accepted by Deka and she promised that she would pay back the said sum in two installments from the date of the agreement.
“Upon default by the defendant, the said amount could attract interest at the rate of 15 percentage of the total amount due per week,” according to a statement of claim.
“Despite numerous requests to the defendant to settle her indebtedness with interest as agreed, she has to date failed to make the settlement in part or in full. Despite our advocates writing a demand letter dated May 23, 2019 to the defendant, she made promises to pay but there has been no effort from her to honour the said promises, causing the plaintiffs to suffer loss of business, profit and inconvenience.”
Vyansilati wants payment of the money with interest at the average short term deposit rate per year from the date of the writ to the date of the judgment and thereafter, at the rate not exceeding the current lending rate as determined by Bank of Zambia.
Vyansilati is further claiming damages for breach of contract.