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HB235-16 - ESTATE LATE MOSES KANHUKAMWE (represented by Winnie Mudzinganyama curator bonis) vs CBZ BANK LTD and I.Q. MARKETING (PVT) LTD and THE ADDITIONAL SHERIFF – BULAWAYO

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Procedural Law-viz citation re party acting in an official capacity.
Procedural Law-viz urgent chamber application re stay of execution iro judicial sale in execution.
Law of Contract-viz debt re contractual debt.
Law of Contract-viz debt re debt security iro registration of mortgage bond.
Law of Property-viz proof of title re immovable property iro registered rights.
Procedural Law-viz interim interdict re provisional order overriding an extant court order.
Procedural Law-viz provisional order re interim interdict overriding an extant order of court.
Procedural Law-viz costs re de bonis propriis iro executor of a deceased estate.
Procedural Law-viz costs re the awarding of costs iro Rule 240 of the High Court Rules.
Procedural Law-viz rules of court re High Court Rules iro Rule 240.
Procedural Law-viz High Court Rules re Rule 240 iro the discretion of the court in awarding costs.
Procedural Law-viz pleadings re non-pleaded issues.
Procedural Law-viz pleadings re issues not specifically pleaded iro matters for determination by the court.
Procedural Law-viz rules of evidence re findings of fact iro assessment of evidence.
Procedural Law-viz rules of evidence re onus iro burden of proof.
Procedural Law-viz rules of evidence re onus iro standard of proof.
Procedural Law-viz judicial attachment re stay of execution.

Interim Interdict Pendente Lite and Stay of Execution re: Approach

This is an urgent chamber application for an order couched in the following terms:

Pending the confirmation of the provisional order, an interim relief is granted on the following terms:

1. The sale by public auction of a certain piece of land called sub-division E of Stand number 452M Bellevue Township of sub-division A of Bellevue situate in the District of Bulawayo be and is hereby stayed pending the finalisation of this matter.”

Judicial Sale in Execution re: Approach, Suspension, Setting Aside, Foreclosure Proceedings and Forced Sales

The facts are that the late Moses Maneto Kanhukamwe's rogue son, one Idon Kanhukamwe [Idon], was a director of the second respondent.

On 3 May 2010, the second respondent, represented by Idon Kanhukamwe, entered into a written overdraft facility agreement in terms of which the first respondent granted US$50,000= overdraft facility to the second respondent. It was one of the terms of the agreement that the loan facility would be secured by a mortgage bond in favour of the first respondent over a certain piece of land called sub-division E of Stand 452M Bellevue Township, Bulawayo.

It turned out that this Stand belongs to the late Moses Maneto Kanhukamwe (Moses).

The second respondent started to draw down on the overdraft facility. In breach of the agreement, the second respondent failed to pay the amount owed to the first respondent prompting the latter to issue summons out of this court under case number HC1530/13. A default judgment was granted in the following terms;

Judgment be and is hereby entered against the 1st and 2nd defendants (i.e. 2nd respondent in casu and Moses Maneto Kanhukamwe (Moses)) jointly and severally the one paying the other to be absolved for –

(a) Payment of the sum of US$101,668=92;

(b) Payment of interest on the sum of US$101,668=92 at the rate of 28% per annum calculated from the 3rd of March 2013 to date of full and final payment.

(c) A certain piece of land situate in the district of Bulawayo called subdivision E of Stand 452 Bellevue Township of sub-division A of Bellevue situate in the District of Bulawayo in the name of Moses Maneto Kanhukamwe be declared executable;

(d) The 1st and 2nd defendants pay costs of suit on an attorney and client scale.”

The first respondent obtained a writ of execution against Moses Maneto Kanhukamwe's immovable property on the 11th of July 2016. The above order had been granted on the 1st of October 2013. The late Moses Maneto Kanhukamwe died on the 17th day of April 2012. The first respondent instructed the third respondent to sell the said property on the 29th day of July 2016 notwithstanding that the same property is administered by the Master of the High Court as it falls under the Estate Late Moses Kanhukamwe.

The Estate Late Moses Kanhukamwe filed this application seeking the order referred to above.

According to the curator bonis, she only became aware of the fact that there is an order against the late Moses Kanhukamwe's immovable property after she saw a notice in the Chronicle notifying of the sale of the said property on 29 July 2016. She further argued that the death of Moses Kanhukamwe froze the execution process.

Counsel for the first respondent submitted that…,. he was not opposed to the application…,.

Accordingly, it is ordered that:-

Pending the confirmation of the provisional order, an interim relief is granted on the following terms:

1. The sale by public auction of a certain piece of land called subdivision E of Stand number 452M Bellevue Township of subdivision A of Bellevue situate in the District of Bulawayo be and is hereby stayed.

Costs re: De Bonis Propriis, Deceased Estates and the Abuse of Representative Capacity Positions

Counsel for the first respondent submitted that while he was not opposed to the application, he prayed for an order of costs on the executor for the following reasons:

(a) Although summons were issued after Moses Kanhukamwe had died, his treacherous son Idon Kanhukamwe did not reveal this information when he entered appearance to defend.

(b) Moses Kanhukamwe died in 2012 but his estate was only registered in July 2016 after they had been served with a writ.

(c) The executor or Moses Kanhukamwe must have handed over the title deeds to Idon Kanhukamwe. Therefore, there was a conspiracy to defraud the first respondent.

Counsel for the applicant argued that costs de bonis against the executor are not properly requested for the simple reason that Idon Kanhukamwe fraudulently used the house as security without the knowledge of Moses Kanhukamwe or his wife, the executor of his estate. Further, when Idon Kanhukamwe entered appearance to defend and filed a plea, he knew Moses Kanhukamwe had died but he did not divulge this information. The executor cannot be said to be guilty of malicious non-disclosure as she was not aware of her son's fraudulent activities. Finally, it was submitted that the delay to register was not intended to prejudice anyone. Idon Kanhukamwe fled to Namibia when the net was closing in.

Costs are discretionary.

In terms of Rule 240 of the High Court Rules 1971, the court has a discretion as to an award of an order for costs. The rule states;

240 Granting of Order

At the conclusion of the hearing or thereafter the court may refuse the application or may grant the order applied for, including a provisional order, or any variation of such order or provisional order, whether or not general or other relief has been asked for and may make such order as to costs as it thinks fit.”…,.

In casu, the applicant has not applied for costs. It is the unsuccessful party that has done so on the grounds of misconduct by the applicant.

I am not satisfied, on the facts, that the applicant has been guilty of improper, dishonest or dis-creditable conduct. All that counsel for the first respondent has shown is a mere suspicion of misconduct which in my view is insufficient to justify the court in exercising its discretion against the applicant. There is no evidence that the applicant was aware, or ought to have known of Idon Kanhukamwe's shenanigans.

For these reasons, the application for costs is dismissed….,.

1….,.

2. Each party shall bear its own costs.

Costs re: Approach

Costs are discretionary.

In terms of Rule 240 of the High Court Rules 1971, the court has a discretion as to an award of an order for costs. The rule states;

240 Granting of Order

At the conclusion of the hearing or thereafter the court may refuse the application or may grant the order applied for, including a provisional order, or any variation of such order or provisional order, whether or not general or other relief has been asked for and may make such order as to costs as it thinks fit.”…,.

Judicial Declaratory Order or Declaratur re: Approach, Rights or Facts, Consequential Relief & Disguised Review Proceedings

Rule 240 of the High Court Rules 1971…, states;

240 Granting of Order

At the conclusion of the hearing or thereafter the court may refuse the application or may grant the order applied for, including a provisional order, or any variation of such order or provisional order, whether or not general or other relief has been asked for…,..”

Final Orders re: Approach iro Functions, Powers, Obligations, Judicial Misdirections and Effect of Court Orders

Rule 240 of the High Court Rules 1971…, states;

240 Granting of Order

At the conclusion of the hearing or thereafter the court may refuse the application or may grant the order applied for, including a provisional order, or any variation of such order or provisional order, whether or not general or other relief has been asked for and may make such order as to costs as it thinks fit.”…,.


TAKUVA J: This is an urgent chamber application for an order couched in the following terms:

“Pending the confirmation of the provisional order, an interim relief is granted on the following terms:


1. The sale by public auction of a certain piece of land called sub-division E of Stand number 452M Bellevue Township of sub-division A of Bellevue situate in the District of Bulawayo be and is hereby stayed pending the finalisation of this matter.”

The facts are that the late Moses Maneto Kanhukamwe's rogue son, one Idon Kanhukamwe [Idon], was a director of the 2nd respondent. On 3 May 2010, 2nd respondent, represented by Idon entered into a written overdraft facility agreement in terms of which the 1st respondent granted US$50,000,00 overdraft facility to 2nd respondent. It was one of the terms of the agreement that the loan facility would be secured by a Mortgage Bond in favour of the 1st respondent over a certain piece of land called sub-division E of stand 452M Bellevue Township Bulawayo.

It turned out that this Stand belongs to the late Moses Maneto Kanhukamwe (Moses).

The 2nd respondent started to draw down on the overdraft facility. In breach of the agreement, 2nd respondent failed to pay the amount owed to 1st respondent prompting the latter to issue summons out of this court under case number HC1530/13. A default judgment was granted in the following terms;

“Judgment be and is hereby entered against the 1st and 2nd defendants (i.e. 2nd respondent in casu and Moses) jointly and severally the one paying the other to be absolved for –


(a) Payment of the sum of US$101,668,92;

(b) Payment of interest on the sum of US$101,668,92 at the rate of 28% per annum calculated from the 3rd of March 2013 to date of full and final payment.

(c) A certain piece of land situate in the district of Bulawayo called subdivision E of Stand 452 Bellevue Township of sub-division A of Bellevue situate in the District of Bulawayo in the name of Moses Maneto Kanhukamwe be declared executable;

(d) The 1st and 2nd defendants pay costs of suit on an attorney and client scale.”

The 1st respondent obtained a writ of execution against Moses' immovable property on the 11th of July 2016. The above order had been granted on the 1st of October 2013. The late Moses died on 17th day of April 2012. The 1st respondent instructed the 3rd respondent to sell the said property on the 29th day of July 2016 notwithstanding that the same property is administered by the Master of the High Court as it falls under the Estate Late Moses Kanhukamwe.

The Estate Late Moses Kanhukamwe filed this application seeking the order referred to above. According to the curator bonis, she only became aware of the fact that there is an order against the late's immovable property after she saw a notice in the Chronicle notifying of the sale of the said property on 29 July 2016. She further argued that the death of Moses froze the execution process.

Mr Mlalazi for the 1st respondent submitted that while he was not opposed to the application, he prayed for an order of costs on the executor for the following reasons:

(a) although summons were issued after Moses had died, his treacherous son Idon did not reveal this information when he entered appearance to defend.

(b) Moses died in 2012 but his estate was only registered in July 2016 after they had been served with a writ.

(c) the executor or Moses must have handed over the Title Deeds to Idon. Therefore there was a conspiracy to defraud the 1st respondent.

Mr Muzvuzvu argued that costs de bonis against the executor are not properly requested for the simple reason that Idon fraudulently used the house as security without the knowledge of Moses or his wife, the executor of his estate. Further, when Idon entered appearance to defend and filed a plea, he knew Moses had died but he did not divulge this information. The executor cannot be said to be guilty of malicious non-disclosure as she was not aware of her son's fraudulent activities. Finally it was submitted that the delay to register was not intended to prejudice anyone. Idon, fled to Namibia when the net was closing in.

Costs are discretionary.

In terms of Rule 240 of the High Court Rules 1971, the court has a discretion as to an award of an order for costs. The rule states;

240 Granting of Order


At the conclusion of the hearing or thereafter the court may refuse the application or may grant the order applied for, including a provisional order, or any variation of such order or provisional order, whether or not general or other relief has been asked for and may make such order as to costs as it thinks fit.” (my emphasis)

In casu, the applicant has not applied for costs.

It is the unsuccessful party that has done so on the grounds of misconduct by the applicant.

I am not satisfied on the facts that the applicant has been guilty of improper, dishonest or discreditable conduct. All that Mr Mlalazi has shown is a mere suspicion of misconduct which in my view is insufficient to justify the court in exercising its discretion against the applicant. There is no evidence that applicant was aware, or ought to have known Idon's shenanigans. For these reasons the application for costs is dismissed.

Accordingly, it is ordered that:-

Pending the confirmation of the provisional order, an interim relief is granted on the following terms:

1. The sale by public auction of a certain piece of land called subdivision E of Stand number 452M Bellevue Township of subdivision A of Bellevue situate in the District of Bulawayo be and is hereby stayed.

2. Each party shall bear its own costs.







Mugiya & Macharaga Law Chambers c/o Muzvuzvu & Mguni Law Chambers, applicant's legal practitioners

Lawman Chimuriwo Attorneys c/o Dube-Banda, Nzarayapenga, 1st respondent's legal practitioners

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