CHATUKUTA
JA:
This
is an appeal against the whole judgment of the High Court (the court
a
quo)
handed down on 16 December 2021. The court a
quo
granted
the respondent damages in the sum of US$30,000.00 for malicious
prosecution and US$100,000.00 for malicious arrest and detention.
The damages were to be paid at the equivalent rate of the local
currency of RTGS reckoned at the time of payment.
FACTUAL
BACKGROUND
2. The
respondent was the Chairman of the board of directors of Zimbabwe
United Passenger Company ('ZUPCO'). He was also Vice-Chancellor
of the Chinhoyi University of Technology
and a member of the Zimbabwe Examinations Council and the Parastatals
Advisory Council. He
held various positions in other local and regional organisations.
The appellant had an interest in a company known as Gift Investments
(Pvt) Ltd which supplied mini-buses to ZUPCO. The buses were
supplied
pursuant to a tender process approved by the State Procurement Board.
3. In
November 2011, the respondent issued summons against the appellant
claiming damages in the sum of US$100,000 for malicious prosecution
and US$300,000 for malicious arrest and detention, interest thereon
at the rate of 5% per annum and costs of suit. The
respondent averred that the appellant had made allegations that he
had, in his capacity as the
Chairperson of ZUPCO Board of Directors,
solicited for a bribe from Gift Investments (Pvt) Ltd in order to
facilitate the purchase by ZUPCO of 17 buses from the company.
The company had previously sold some buses to ZUPCO with the
authority of the State Procurement Board. Seventeen buses painted in
the corporate colours remained in the company's stock. ZUPCO had
not placed an order for the buses which were not covered by the
authority issued by the State Procurement Board. He
contended that the appellant made reports on the allegations to
various people, high ranking government officials and institutions.
As
a result of these allegations against him, he was
arrested by the police on 21 March 2005 and detained on charges of
corruption. He was arraigned before the Regional Magistrates Court,
Harare, for contravening section 3(1)(a)(i) of the Prevention of
Corruption Act [Chapter
9:16].
The trial magistrate found him guilty and sentenced him to 3 years
imprisonment of which one year imprisonment was suspended for a
period of five years on condition of future good behaviour. The
effective sentence was 2 years imprisonment.
4. Aggrieved,
the respondent filed an appeal before the High Court against both
conviction and sentence. On 19 November 2009, the High Court quashed
the conviction and set aside the sentence. By then, the respondent
had served the effective sentence of two years. The claim for
damages was instituted soon thereafter. The respondent averred in
his claim that he was subjected to humiliation from the time of
arrest up to his acquittal. As a result of his arrest, prosecution
and imprisonment at the instance of the appellant, he suffered injury
to his reputation, both locally and internationally and injury to his
dignity. He was also deprived of his liberty. He lost his positions
as the Vice Chancellor of Chinhoyi University of Technology and as
the Chairperson of ZUPCO Board
of Directors.
5.
The appellant admitted in his plea to having made the report to the
police. He however denied having done so maliciously. He averred
that he only informed the police that the respondent had solicited a
bribe from him and the information was true. He maintained that the
decision to arrest the respondent was made by the police and not by
him after the police had formulated a reasonable suspicion that an
offence had been committed. He also denied causing the prosecution
of the respondent. He argued that the decision to prosecute the
respondent was made by the Attorney General in the exercise of his
constitutional mandate. He averred that the decision to imprison the
respondent was made by the trial magistrate after due consideration
of the evidence placed before her during trial.
6. At
the trial, the appellant applied for absolution from the instance at
the close of the respondent's case. The appellant submitted that
the respondent had no prima
facie
case against him. The court a
quo
granted the application. It held that there was evidence that the
respondent had solicited for a bribe. It further held that the
respondent failed to show how he had arrived at the damages he was
claiming.
7. Disgruntled
by the decision, the respondent noted an appeal before this Court
under SC 634/19. He argued that the court a
quo
had misdirected itself in granting the appellant absolution from the
instance. This Court determined the appeal in (Nherera
v Shah
2019 (1) ZLR 462 (S); SC 51/19) (Nherera
v Shah).
FINDINGS
OF THIS COURT IN NHERERA v SHAH SC
51/19
8.
The court made the following findings:
In
order to succeed in his claim for damages, the respondent was
required to prove four requirements, being that:
the
arrest, prosecution and detention were instigated or procured by the
defendant;
there
was no reasonable and probable cause for his arrest, prosecution and
detention;
the
arrest, prosecution or detention was actuated by malice; and
the
prosecution failed.
there
was sufficient evidence before the court a
quo
that the appellant had instigated or procured the respondent's
arrest. The appellant had admitted in his plea that he had informed
the ZUPCO Board, the then Minister of Local Government, Dr Chombo,
the then Governor of the Reserve Bank, Dr Gono and the then Minister
of State Security, Mr Goche. He had also admitted in the plea that
he made a report to the police. He further admitted that he was
granted immunity from prosecution by the police and the Attorney
General so that he would assist in the investigation of the
allegations he had made against the respondent and assist in a
successful prosecution of the respondent;
there
was no evidence suggesting that the respondent had attempted to
solicit for a bribe from Gift Investments. The appellant did not,
prima
facie,
have reasonable and probable cause for the respondent's arrest or
prosecution;
the
court a
quo
seriously misdirected itself in relying on evidence adduced in the
Magistrates Court during the respondent's prosecution which was
not adduced and tested before it. This was particularly so where the
criminal proceedings had been set aside by the High Court on appeal
on 19
November 2009;
The
judgment of the High Court quashing the respondent's conviction
was extant. The court a
quo
should
not have ignored it. Following the judgment of the High Court, the
requirement that the prosecution had failed had therefore been met;
The
question of malice could only be determined after the appellant's
testimony in his defence. The appellant had disputed, during the
cross examination of the respondent, that he had made a report to
the police. There was therefore need for putting the appellant on
his defence so that he would, among other issues, explain the
inconsistency between his admission in his plea that he denied under
cross examination of the respondent that he ever made a report to
the police;
9. In
the final analysis, the court held that the respondent had
established a prima
facie
case against the appellant. It concluded that the court a
quo
ought
to have dismissed the application for absolution from the instance.
It ordered as follows:
“1.The
appeal be and is hereby allowed with costs.
2.
The judgment of the court a
quo
is
set aside and in its place the following substituted:
'The
application for absolution from the instance be and is hereby
dismissed with costs.'
The
matter is remitted to the court a
quo
for continuation of the trial proceedings.”
PROCEEDINGS
BEFORE THE COURT A QUO
10. After
the above findings by this Court in Nherera
v Shah (supra),
the trial proceeded before the court
a
quo
with the appellant testifying. The appellant adopted his plea, his
testimony in the criminal proceedings against the respondent in the
Magistrates Court and affidavit he deposed to on 27 July 2006 as part
of his evidence on oath. His evidence was as follows.
11. In
2005 respondent demanded a US$5,000.00 bribe per bus for ZUPCO to
flight a tender for the purchase of buses. He did not make a report
to the police as alleged by the respondent. He however informed a
number of people about the respondent's conduct. These included the
ZUPCO Board, the then Minister of Local Government, Dr Chombo, the
then Governor of the Reserve Bank, Dr Gono, the then Minister of
State Security, Mr Goche, and some Central Intelligence Officers.
12. He
informed the police sometime in April 2005 that the respondent had
solicited for a bribe in 2003 to facilitate the renewal of a lease
agreement between Gift Investments and ZUPCO. He had paid the
respondent and Bright Matonga a total of $20,000.00. The respondent
was arrested in relation to the 2005 solicitation after he made
reports to the government officials.
DETERMINATION
BY THE COURT A QUO
At
the conclusion of the trial, the court a
quo
made the following findings:
13. The
findings by the Supreme Court in Nherera
v Shah (supra)
were binding on it. The Supreme Court had determined that the
appellant placed information before a police officer that the
respondent had solicited a bribe from him leading to the arrest,
prosecution and detention of the respondent. He did not, prima
facie,
have any reasonable and probable cause for doing so. The prosecution
of the respondent had failed when his conviction was quashed on 19
November
2009. The respondent had therefore established a prima
facie
case on these issues. The appellant was required to rebut the prima
facie
case.
14. As
regards the appellant's testimony, the court a
quo
made the following findings:
The
appellant was not a credible witness. He
had admitted in his plea (which was now part of his
evidence-in-chief) to making the report to the Police leading
to the arrest, prosecution and detention of the respondent.
His
oral evidence was inconsistent with his plea. The oral evidence was
also at variance with his evidence during the respondent's criminal
trial where he again admitted making the report. It
was common cause that the respondent was arrested, prosecuted and
imprisoned after the accusations of soliciting for a bribe were
levelled against him by the appellant.
The appellant failed to disprove the prima
facie
case found to have been established by the respondent on appeal in
Nherera
v Shah (supra).
He had caused the arrest of the respondent without reasonable
and probable cause and had done so in bad faith.
His
report to the police was therefore malicious.
15. The
court a
quo
further held that the appellant's liability had been proved and the
requirements for delictual damages satisfied. It further held that
the respondent suffered humiliation, ill-treatment in prison and lost
his employment due to the arrest, prosecution and imprisonment. The
court a
quo
found
that the respondent had not led evidence on how the sums of
US$100,000 for malicious prosecution and US$300,000 for malicious
arrest and detention were arrived at. It however held that it still
could make an award on the strength of relevant principles on the
assessment of damages evolved from the jurisprudence coming out of
our courts. It held that the claim for $100,000.00 for malicious
prosecution was extremely excessive and, in its stead, awarded the
respondent US$30,000.00. It also found the claim of US$300,000 for
malicious arrest and detention to be excessive and awarded the
respondent US$100,000 instead. The court a
quo
further
concluded that the damages would be paid in RTGS dollars at the
interbank rate prevailing on the date of payment.
Aggrieved
by the court a
quo's
decision, the appellant noted an appeal to this Court on the
following grounds of appeal:
GROUNDS
OF APPEAL
The
court a
quo
erred and misdirected itself in law in holding that the dicta
of this Court in Nherera
v Shah
SC 51/19 that there was at the close of the plaintiff's case a
prima
facie
case (a test in any event not applicable to absolution from the
instance) mitigating against the grant of absolution from the
instance meant that if, in the court's opinion, the appellant had
not controverted “the prima
facie
evidence of the plaintiff mutated to proof of the plaintiff's case
on a balance of probabilities” in entertaining the first
Respondent's application as a court of first instance.
2. The
respondent having relied on the appellant's affidavit statement to
the police, a statement that the appellant also adopted in his
evidence before the court a
quo
in circumstances in which the High Court had found on the basis of
the same affidavit statement in Zimbabwe
United Passenger Company v Shah,
which judgment was upheld on appeal to this Court, that the appellant
had in fact paid a bribe to the respondent with whom he had a corrupt
relationship, the court a
quo
erred in holding that the appellant had not controverted the “prima
facie”
evidence
of the respondent.
3. A
fortiori
in holding as impugned in ground of appeal number 2 above, the court
a
quo
infringed
the appellant's right to the protection of the law guaranteed in
section 56 of the Constitution of Zimbabwe.
4. For
even the stronger reason, the court a
quo
erred in finding that the appellant's statement was not given in
good faith and did not constitute reasonable and probable cause but
constituted a malicious and act wrongful instigating (sic)
criminal proceedings against the respondent.
5. The
court a
quo,
having held that the respondent had not led evidence on the financial
prejudice he allegedly suffered in his defence of the criminal
proceedings or how he arrived at the sums claimed as damages erred in
any event, in not granting absolution from the instance at the close
of the trial in respect of the damages claimed.
6. The
court a
quo,
having made a finding of the fact, and held in Nherera
v Shah
2015 (2) ZLR 455 at 470C-D (H) that the respondent
“did
not attempt to show how the
damages
claimed were arrived at” which judgment was set aside on a
different basis and no further evidence having been led by the
respondent since this finding, erred and misdirected itself and acted
arbitrarily in awarding any damages.
7. In
proceedings as complained of in grounds of appeal 5 and 5 (sic)
above, the court a
quo
breached
the appellant's right to the protection of the law protected and
guaranteed in section 56(1) of the Constitution as well as the
dictates of a fair trial contemplated in section 69(1) of the
Constitution.
8. The
court a
quo
erred in any event in awarding damages that are inconsistent with
those awarded in comparable cases and are, on the facts of the case,
so outrageous that no court acting properly would have awarded the
quantum of damages and in a currency other than the legal tender of
the Republic of Zimbabwe.
PROCEEDINGS
IN THIS COURT
Submissions
by the appellant
16. The
appellant abandoned grounds 3 and 7 which were raising constitutional
issues not dealt with in the court a
quo.
17. Mr
Uriri,
for the appellant, submitted that, notwithstanding the decision in
Nherera
v Shah
SC
51/19,
the respondent did not establish his case on a balance of
probabilities at the close of his case a
quo.
Counsel argued that the Supreme Court had applied a wrong test in
determining whether the appellant was entitled to absolution from the
instance. He argued that the respondent was required to establish
whether,
at the close of his case, there was evidence upon which a reasonable
court, acting carefully, might have given judgment for the respondent
on the issues before the court.
It was argued that the court had erroneously stated that the
respondent needed to and had established a prima
facie
case.
18.
It was further argued that the appellant had led evidence, in the
form of a judgment of the High Court in Zimbabwe
United Passenger Company v Jayesh Shah & Gift Investments
(Private) Limited
HH
238/17 (HH 238/17) in which a finding had been made that the
respondent had solicited from and was paid a bribe by the appellant.
It was further argued that this Court also held in Gift
Investments (Private) Limited v Zimbabwe United Passenger Company &
Jayesh Shah
SC
99/20 (SC 99/20) that the appellant had bribed the respondent and the
then Chief Executive Officer of ZUPCO, in a bid to
induce the renewal of a lease between Gift Investments (Private)
Limited and ZUPCO, from 01 January 2004 to 31 December 2009.
It was submitted that the facts in that case were centred on the same
issues as in the present appeal. It was further submitted that the
findings in both
HH 238/17 and SC 99/20
constituted sufficient evidence to rebut the respondent's prima
facie
case.
It was argued that the findings in both matters established that
there was a relationship of corruption between the appellant and the
respondent. Counsel argued that the appellant had rebutted the
respondent's prima
facie
case
and established on a balance of probabilities that he had not
maliciously instigated the respondent's arrest and subsequent
prosecution and imprisonment.
19.
Mr
Uriri
further contended that the court a
quo
erred in granting the respondent damages in
circumstances where the respondent did not lead evidence justifying
the quantum
of such damages. He
argued that when the matter was remitted a
quo,
the respondent did not lead further evidence and particularly on the
damages that he sought. It was further argued that the award for
damages contravened
the law in that it was denominated in United Dollars which was not
the legal tender in use in Zimbabwe. It was submitted that section
3(2)(b) & (c) of the Exchange Control (Exclusive Use of Zimbabwe
Dollar for Domestic Transactions) Regulations, 2019, Statutory
Instrument 212 of 2019,
(the Regulations) proscribed settlement of any obligation and demand
of the payment of anything, in foreign currency.
Submissions
by the Respondent
20.
Per
contra,
Mr Magwaliba,
for the respondent, argued that the respondent was not a party to HH
238/17 and SC 99/20.
It was further argued that the findings in those cases were not
therefore applicable more so as the respondent never had an
opportunity to defend himself. It was submitted that the findings
related to the appellant's own confession to have paid the
respondent a bribe. It was further submitted that the respondent
could not be bound by the appellant's confession.
21. It
was submitted that the judgment in Nherera
v Shah,
being a judgment of the Supreme Court, was binding on the court a
quo.
The
court a
quo
therefore did not misdirect itself when it held that it was bound by
the Supreme Court judgment.
23. Mr.
Magwaliba
submitted that the award of damages by the court a
quo,
was made on the basis of the evidence on record as to the harm
suffered by the respondent. He further argued that there was no need
to lead evidence on the quantification of the damages as they could
not be arrived at with mathematical precision. He submitted, as
regards the applicable currency, that the law does not preclude the
granting of an award in foreign currency.
ISSUES
FOR DETERMINATION
Whether
or not the court a
quo
misdirected
itself in holding that it was bound by the judgment in Nherera
v Shah
SC 51/19.
Whether
or not the court a
quo
misdirected itself in holding the appellant liable for damages for
malicious arrest, prosecution and detention.
Whether
or not the court a
quo
misdirected itself in awarding damages in favour of the respondent
in the absence of evidence from the respondent on how the damages
were computed.
Whether
or not it was competent for the court a
quo
to award damages denominated in United States dollars.
ANALYSIS
Whether
or not the court a
quo
misdirected
itself in holding that it was bound by the judgment in Nherera
v Shah
SC 51/19
24. The
appellant argued that the test in an application for absolution from
the instance at the close of a plaintiff's case is not that there
is a prima
facie
case as held by this Court in Nherera
v Shah (supra).
It was submitted that the appropriate test is whether at the close
of the plaintiff's case there is evidence upon which a reasonable
court acting carefully might give judgment in favour of the
plaintiff. It was further submitted that the court a
quo
therefore
misdirected itself in relying on the findings of the Supreme Court
when it held that the respondent had established a prima
facie
case which the appellant was required to rebut in his evidence.
25. This
Court set out in Nherera
v Shah (supra)
the four requirements that the respondent was required to establish
in order to succeed in his claim. It remarked at para 58 that:
“[58]
In order to get judgment in his favour, a plaintiff must prove four
requirements. First, that the arrest, prosecution and detention
was instigated or procured by the defendant. The word 'instigate'
is wide enough to include the setting in motion of events that lead
to the arrest of the person accused of criminal conduct. Google
defines 'instigate' to mean to bring about or initiate an action
or result. It also means to put in motion, lay the foundations of,
sow the seeds of, activate. The word 'procure' means to persuade
or cause someone to do something. The law requires that a defendant
must have been actively instrumental in setting the law in motion.
Simply giving a candid account, however incriminating to the police,
is not sufficient. The test is whether the defendant did more than
tell the detective the facts and leave him to act on his own –
Econet
Wireless (Pvt) Ltd v Sanangura
2013 (1) ZLR 401 (S), 408AB; Bande
v Muchinguri
1999 (1) ZLR 476 (H), 484. Second, a plaintiff must prove that there
was no reasonable and probable cause. Third, that the arrest,
prosecution or detention was actuated by malice. Lastly, that the
prosecution failed.”
It
held that the respondent had satisfied the first requirement. It
held that the evidence led before the court a
quo
established that the appellant prima
facie
set in motion the events that resulted in the arrest of the
respondent. The respondent had testified that the appellant had
admitted in his plea that he made the report to the police. He had
also made a report not only to senior government officials but also
to the Attorney General's Office. He further approached the Reserve
Bank Governor and had been given the sum of US$5,000 in order to
entrap the respondent. The court thereafter concluded that the
court a
quo
ought
to have dismissed the application for absolution from the instance.
It then allowed the appeal. It further substituted the court a
quo's
judgment with an order dismissing the application for absolution from
the instance.
26. The
Supreme Court had spoken. Decisions of this Court are absolute as the
Supreme Court is the final court of appeal in all matters, except in
matters of a constitutional nature. The court in Kasukuwere
v Mangwana
SC 78/23, at p17, quoted with approval the case of Lytton
Investments
(Pvt)
Ltd v Standard Chartered Bank Zimbabwe Limited & Anor
2018
(2) ZLR 743
(CCZ)
at
757 A wherein it was held that:
“What
is clear is that the purpose of the principle of finality of
decisions of the Supreme Court on all non-constitutional matters is
to bring to an end the litigation on the non-constitutional matters.
A decision of the Supreme Court on a non-constitutional matter is
part of the litigation process. The decision is therefore correct
because it is final. It is not final because it is correct.
The
correctness of the decision at law is determined by the legal status
of finality. The question of the wrongness of the decision would not
arise. There
cannot be a wrong decision of the Supreme Court on a
non-constitutional matter.”(Own
emphasis)
27.
The Supreme Court decision, being final was correct. Because of the
principle of stare
decisis,
the decision was binding on the court a
quo.
The
principle of stare
decisis
is that a lower court cannot depart from findings on questions of
fact and law made by a superior court. See
Denhere v Denhere & Anor
CCZ 9/19, Diana
Farm (Pvt) Ltd v Madondo NO & Anor
1998
(2) ZLR 410 (H).
28. The
question pertaining to absolution from the instance at the close of
the respondent's case having been decisively
dealt with by a Superior Court,
the court a
quo
could not depart from the judgment in Nherera
v Shah.
It therefore correctly determined that it was bound and that put to
rest the questions on whether the respondent had established a prima
facie
case that the appellant, without reasonable cause, caused the arrest,
prosecution and detention of the respondent by making a patently
false report. It is therefore an exercise in futility to delve into
the submissions by the parties on the correctness or otherwise of the
Supreme Court decision. All that the court a
quo
was therefore required to do was to determine whether, following the
appellant's evidence in rebuttal, the respondent had established
his claim on a balance of probabilities.
Whether
or not the court a
quo
misdirected itself in holding the appellant liable for damages for
malicious arrest, prosecution and detention
29. The
appellant argued that he led evidence that controverted the prima
facie
case held in Nherera
v Shah
to have been established by the respondent. It contended that the
court
a
quo
misdirected itself when it made a finding that the prima
facie
evidence of the respondent mutated, at the end of the trial, to proof
on a balance of probabilities. It further contended that the court a
quo
should
not have found the appellant liable for damages for malicious arrest,
prosecution and detention.
30 At
the conclusion of the trial, the court a
quo,
considered the respondent's evidence together with the appellant's
evidence. It arrived at the conclusion that the respondent had
indeed established that the appellant had instigated the respondent's
arrest, prosecution and detention. Its findings were distinct from
but consistent with the findings of this Court in Nherera
v Shah.
It related to the admissions made by the appellant in para 5.1 of
his plea that he reported to the police that the plaintiff had
solicited for a bribe and that the police did not have an obligation
to act on the report unless they formulated a reasonable suspicion
that an offence had been committed. It held at pages 7 to 8 that:
“None
of the admissions made by the defendant were withdrawn neither was
there any attempt to amend the plea. More importantly, the defendant
did not explain in his evidence or in his closing address why what
was clearly a confessionary pleading could be contradicted by viva
voce
evidence given by the same pleader. The impression created by the
defendant is that an admission made in pleadings could be cast away
by the presentation of evidence contradicting it.
The
law relating to admissions must be taken as settled in this
jurisdiction. A party to civil proceedings may not, without the
leave of the court, withdraw an admission made, nor may it lead
evidence to contradict any admission the party has made. By the same
token, a party cannot be allowed to attempt to disprove admissions it
has made.
This
is by virtue of section 36 of the Civil Evidence Act [Chapter
8:01]
which also makes it unnecessary for any party to civil proceedings to
disprove any fact admitted on the record of proceedings. Subsection
(4) of section 36 also makes it clear that it shall not be competent
for any party to civil proceedings to disprove any fact admitted by
him on the record of proceedings……
Accordingly,
the fact that the defendant placed information before a police
officer and that he made a report that the plaintiff solicited a
bribe from him is taken for granted. The plaintiff did not have to
prove that fact. Equally, it was not competent for the defendant to
attempt to disprove what was in fact admitted by him on the record of
proceedings.
In
any event, whatever my views may have been on the admission made
would have counted for nothing because the Supreme Court has already
made conclusive findings on it.”
31. The
remarks by the court
a
quo
clearly
establish that the court did not mutate the findings of this Court in
Nherera
v Shah (supra)
that the respondent had established a prima
facie
case to proof of his case on
a balance of probabilities. It arrived at its own separate decision.
The appellant, however, chose to harp on the remarks of the court a
quo
at
p9 that:
“The
Supreme Court has said so and the prima
facie
evidence of the plaintiff mutated to proof of the plaintiff's case
on a balance of probabilities.”
The
appellant has, in no doubt, chosen to turn a blind eye to the context
in which the remarks were made in in para 30. The remarks came at
the end of an analysis by the court a
quo
of the all the evidence that had been adduced before it. The
appellant therefore sought to gain mileage out of just that one
sentence.
32.
The appellant further sought to rely on the findings in the judgments
in
HH238/17
and SC99/20 as evidence that
he had controverted
the respondent's prima
facie
evidence.
As correctly submitted by the respondent, the findings in those two
cases were
not relevant to the determination of the trial
a
quo
and this appeal. The appellant appealed in SC
99/20
against the decision in HH 238/17.
At
the core of the two matters was the validity of a lease between Gift
Investments and ZUPCO. The High Court had made a finding, which was
upheld on appeal, that the appellant had been involved in a “corrupt
relationship” with the respondent. The finding was based on the
appellant's own admission before the court of having paid the
respondent and Bright Matonga a bribe in the sum of US$20,000 in
order to induce the two to influence ZUPCO to renew the lease
agreement. Firstly, the two cases related to a different causa
from the present appeal which relates to the purchase of buses.
Secondly, the respondent was not a party to the proceedings in both
matters and therefore the findings therefrom could not be used
against him. In fact, the appellant sought to “mutate” the
findings on his own admitted corruption to prove corruption on the
part of the respondent in an apparently unrelated matter on the
strength of an alleged “corrupt relationship”. It is
inconceivable how “a corrupt relationship” in one matter would
have “mutated” to be evidence of corruption in totally different
circumstances.
33. The
respondent was further required to prove that the appellant had acted
without reasonable and probable cause. He was also required to prove
that the appellant's conduct was actuated by malice. The court a
quo
held
that the respondent had proved that the appellant acted without
reasonable and probable cause and his report was actuated by malice.
I
can do no more than quote the remarks by the court a
quo.
It remarked at page 9 that:
“It
is the defendant who pointed an accusing finger against the plaintiff
that he was a bribe-monger. It is that accusation that anchored the
State case in the criminal prosecution. So the defendant was also
required to establish the solicitation for the prosecution to
succeed.”
And
at p10-11:
“The
defendant indeed had an opportunity to rebut the plaintiff's case
when he was put to his defence. His evidence in this regard was
entirely unhelpful to his cause. He did not improve on his inaudible
audio recording. Apart from that, he was an extremely poor witness
whose testimony was thrown into disarray even before he was
cross-examined. In the end I was left in no doubt that the defendant
possessed no evidence whatsoever, other than his own word, that the
plaintiff solicited for a bribe.
This
being a case to be determined on a preponderance of probabilities, I
cannot help but conclude that the probabilities weigh heavily against
the defendant. What business person imports into the country buses
already painted in a potential buyer's colours before the latter
has even flighted a tender for those buses? Apart from that, so
desperate was he to have the tender flighted (as if it was guaranteed
he would win it), that he did not hesitate pressurising the Minister
to fire the plaintiff for not authorising the tender. This is a
person who was already leasing space right at the potential buyer's
premises to warehouse the same buses. It occurs to me that the
probabilities are that at that stage the defendant would have done
anything to offload the buses, including fabricating the story of the
bribe. I come to the conclusion that the defendant has done nothing
in his testimony to disgorge the prima
facie
case found to have been established by the plaintiff on appeal.
Therefore, that case has become proof of the absence of reasonable
and probable cause for the arrest of the plaintiff.
In
our law the existence of malice is inferred from the absence of
reasonable and probable cause for prosecuting the plaintiff. I have
no hesitation in finding that the defendant did not lodge a report
against the plaintiff in good faith. Quite to the contrary, the
report was not only false it was also malicious. He set about to
abuse the legal process maliciously and without reasonable and
probable cause for bringing criminal proceedings against the
plaintiff.”
The
above remarks are apt and require no further elaboration. The court
a
quo
cannot be faulted for making those findings.
34. It
is common cause that the conviction of the respondent was quashed and
the sentence set aside on appeal by the High Court. The
Supreme Court again pronounced itself on the question and remarked at
para 35 that:
“….The
reality is that the order was made by two judges of the High Court
after considering the record of the proceedings as well as the
reasons given by the Attorney General in conceding the appeal. The
effect of that order was to fully and finally quash the conviction
and sentence.”
35. This
Court cannot lightly interfere with such findings. It can only do so
where the court a
quo
grossly erred in its finding of facts. See
Hama
v National Railways of Zimbabwe
1996 (1) ZLR 664 (S) at 670C-E. The appellant has not shown that the
court a
quo's
findings were in any way irrational. The
court
a
quo
therefore correctly found that the respondent had proved all the four
requirements and that the appellant was therefore liable for the
damages claimed by the respondent.
Whether
or not the court a
quo
misdirected itself in awarding damages in favour of the respondent in
the absence of evidence from the respondent on how the damages were
computed
36. The
appellant submitted that the
court a
quo
erroneously awarded damages to the respondent in circumstances where
the respondent had not adduced evidence justifying the quantum
of such damages. He also argued that the court a
quo
quantified the damages in spite of its finding that no evidence on
quantification had been adduced. It was contended that
absolution from the instance ought to have been the appropriate
judgment of the court a
quo.
37. It
is trite that damages for the cause of action brought by the
respondent cannot be computed with mathematical precision. Because
the damages
are not capable of precise calculation, the
determination of the quantum
of damages is within the discretion of the court which must be
satisfied that the quantum
to be awarded is just and fair. It
is therefore not always necessary that a party leads evidence to
establish the quantum.
In Minister
of Defence and Another v Jackson
1990
(2) ZLR 1 (S) GUBBAY JA remarked that:
“What
is essential is for a trial court to draw on its own experience in
making an assessment of damages – an
exercise which is necessarily dependent upon some degree of surmise,
conjecture and imagination, for
general damages are not capable of exact arithmetic calculations.”
(Own emphasis)
38. In
Minister of Police v Page
(CA 231/19) [2021] ZAECGHC 22, at p3, it was held that:
“It
is trite that in cases involving deprivation of liberty, the quantum
of damages to be awarded is in the discretion of the trial court, to
be exercised fairly, and generally calculated according to what is
equitable and good, and on the merits of the case itself (ex
aequo et bono).
As a result, an appeal court should be slow to interfere, unless
there are specific reasons to do so.”
39. The
factors that a court should consider in assessing the damages are
spelt out in Visser & Potgieter Quantum
of Damages for Injury to Personality
3rd
ed 2012. It is stated at p545-548 that:
“15.3.9
Unlawful and malicious deprivation of liberty or arrest
In
deprivation of liberty the amount of satisfaction is in the
discretion of the court and calculated ex aequo et bono. Factors
which can play a role are the circumstances under which the
deprivation of liberty took place: absence of improper motive or
'malice' on the part of the defendant; the harsh conduct of the
defendants, the duration and nature (eg solitary confinement or
humiliating nature) of the deprivation of liberty; the status,
standing, age, health and disability of the plaintiff; the extent of
the publicity given to the deprivation of liberty; the presence or
absence of an apology or satisfactory explanation of the events by
the defendant; awards in comparable cases; the fact that in addition
to physical freedom, other personality interests such as honour and
good name as well as constitutionally protected fundamental rights
have been infringed; the high value of the right to physical liberty;
the effects of inflation, the fact that plaintiff contributed to his
or her misfortune; the effect an award may have on the public purse;
and according to some, the view that the actio injuriarum also has a
punitive function.”
40. The
assessment of damages for malicious prosecution is
again
discretionary taking into consideration the same factors as in the
assessment of damages for malicious arrest and deprivation of
liberty.
(See Visser & Potgieter Quantum
of Damages for Injury to Personality
(supra),
15.3.11 at pp549-550).
41. The
court
a quo
was mindful of its discretion and the factors to be considered in the
exercise of that discretion. After referring to relevant authorities
such as Minister
of Defence and Another v Jackson (supra) and Fabiola v Mvudura Louis
HH 25/09, it remarked at p14 that:
“However
the relevant considerations in assessing the damages, as the
authorities cited above show, start from the listing of what the
plaintiff was immediately before the event causing his loss occurred.
Then there was the event of his arrest, prosecution and detention. It
caused what the plaintiff became at the time of his release from
prison which determined the reduction inter
alia
of his patrimony and his good image in the eyes of both the public
and members of his family.
I
have already set out what the plaintiff was before the event. As a
result of it, he lost his prestigious and well-paying job as the Vice
Chancellor of Chinhoyi University of Technology. While he did not
lose his qualifications, he lost his benefits and income. These
include the use of his personal issue Mercedes Benz motor vehicle,
entertainment, housing, security, fuel and cell phone allowances. He
also lost educational benefits for his two children and wife.”
42.
It further remarked at p16 that:
“Regarding
the claim of US$300,000.00 for malicious arrest and detention, it
should be recalled that the delict occurs when there is no reasonable
or probable cause for the allegation of criminal conduct. The
institution of proceedings constitutes an abuse of the right to lay
genuine complaints. In such circumstances the complaint by the
defendant, as has been shown above, is without foundation and
intended to cause harm or injury to the plaintiff.
The
plaintiff suffered ill-treatment in prison where he endured poor
prison conditions and diet. He was taken away from his family and
lost his job and other contacts. In fact, the loss of liberty in its
self is such deprivation of a constitutional right that it cannot be
countenanced where the basis for it is malice. I have related to the
financial loss which the plaintiff had to bear over and above all
else to show that indeed considerable compensation is called for.”
43. The
court a
quo
exercised its discretion judiciously as it took into account the
relevant factors requisite in the assessment of general damages for
malicious arrest, prosecution and detention. The reference by the
court a
quo
to lack of evidence to establish the quantum of damages is therefore
of no moment.
Whether
or not it was competent for the court a quo to award damages
denominated in United States dollar
44.
The appellant impugned the granting of the award
denominated in a currency which was not the legal tender of the
Republic of Zimbabwe. He relied his submission on section 3(2)(b)
and (c) of the Exchange Control (Exclusive Use of Zimbabwe Dollar for
Domestic Transactions) Regulation, Statutory
Instrument 212 of 2019 (the
Regulations).
As correctly submitted by the respondent, the law did not preclude
the granting of a judgment in foreign currency provided payment
thereof could be made in local currency. The Regulations provide for
the exclusive use of the Zimbabwean dollar to settle domestic
transactions. Section 3(1) and (2) of the Regulations reads:
“Exclusive
use of Zimbabwean currency for domestic transactions
3.
(1) Subject to s4, no
person who is a party to a domestic transaction shall pay or receive
as the price or the value of any consideration payable or receivable
in respect of such transaction any currency other than the Zimbabwean
dollar.
(2)
In particular (without limiting the scope of subsection (1)) no
person shall -
(a)
quote, display, label, charge, solicit for the payment of, receive
or pay the price of any goods, services, fee or commission in any
currency other than the Zimbabwe dollar; or
(b)
settle any obligation by barter or otherwise for a consideration
that is not denominated by, or is not valued in, the Zimbabwean
dollar; or
(c)
receive, demand, pay or solicit for payment
by means of any token, voucher, coupon, chit, instrument, unit of
account or other means or unit of payment (whether material or
digital) that is pegged to, referable to or used in substitution for
any foreign currency or unit of a foreign currency.”
Domestic
transactions are defined in section 2 to mean:
“any
transaction within Zimbabwe whereby -
(a)
goods or services are —
(i)
offered for sale or attempted to be offered for sale; or
(ii)
sold by auction; or
(iii)
exposed, displayed or advertised for sale; or
(iv)
sold under an agreement in terms of the Hire-Purchase Act [Chapter
14:11]
or by means of staggered payments or instalments; or
(v)
transmitted, conveyed, delivered, distributed, possessed or prepared
for sale; or
(vi)
bartered or otherwise exchanged or disposed of for valuable
consideration;
(b)
any fee or levy or commission or other valuable consideration is
payable;”
45. It
is trite that words
of a statute shall be given their ordinary grammatical meaning unless
doing so leads to an absurdity. (See Thandikile
Zulu v ZB Financial Holdings (Private) Limited
SC 48/18). The
intention of the legislature is clear that the application of the
Regulations was limited to domestic transactions as defined only. It
was certainly incompetent for anyone to settle any obligation or
demand the payment in respect of domestic transactions in foreign
currency. However, the Regulations did not proscribe the granting of
judgment denominated in and payment thereof in foreign currency. The
Regulations were therefore not applicable to this case. In any event,
the court
a
quo
ordered
that the payment of the damages in United States dollars be converted
to RTGS dollars at the interbank rate prevailing on the date of
payment. It could competently do so. In Construction
Resources Africa (Pvt) Ltd v Central African Building and
Construction Company (Pvt) Ltd & Another SC
110/22,
at p37, the court citing with approval the case of Makwindi
Oil Procurement (Pvt) Ltd v National Oil Company of Zimbabwe
1988
(2) ZLR 482 (S),
remarked as follows:
“I
am firmly of the opinion that in the absence of any legislative
enactments which require our courts to order payment in local
currency only, the innovative lead taken both in Miliangos
v George Frank (Textiles) Ltd
[1975] 3 All ER 801 (HL) and the subsequent extensions to the rule
there enunciated, and in the Murata
Machinery Ltd v Capelon Yarns (Pty) Ltd
1986 (4) SA 671 (C) at 673C-674B and 674E case in South Africa, is to
be adopted. This will bring Zimbabwe into line with many foreign
legal systems. See Mann
The Legal Aspect of Money
4
ed at pp339-340.
Fluctuations
in world currencies justify the acceptance of the rule not only that
a court order may be expressed in units of foreign currency, but also
that the amount of the foreign currency is to be converted into local
currency at the date when leave is given to enforce the judgment.
Justice
requires that a plaintiff should not suffer by reason of a
devaluation in the value of currency between the due date on which
the defendant should have met his obligation and the date of actual
payment or the date of enforcement of the judgment.
Since
execution cannot be levied in foreign currency, there must be a
conversion into the local currency for this limited purpose and the
rate to be applied is that obtaining at the date of enforcement.”
46. In
view of the above, it is trite that in the absence of an enactment
directly prohibiting the courts to order payment in foreign currency,
a court is at liberty to pronounce a judgment for damages sounding in
foreign currency though such amount may be paid in local currency at
the interbank rate prevailing at the date of payment. The court
a
quo
therefore
did not misdirect itself when it held that the law did not proscribe
the grant of damages in foreign currency to be paid in RTGS dollars
at an equivalent rate reckoned at the interbank rate at the time of
payment.
47. As
at the date of the judgment a
quo,
the applicable local currency was the RTGS dollar. It is however
common cause that the currency has since changed to the ZIG dollar.
This necessitates an amendment of the judgment of the court a
quo
to
reflect the change in the local currency. There would be no prejudice
to the parties. The Court is empowered in terms of section 22(1) to
issue such
judgment as the case may require. This is one such case that
requires an amendment to paragraph 3 of the judgment of the court a
quo.
COSTS
48. The
respondent prayed for punitive costs. In the circumstances of this
matter, an award of punitive costs is merited. The appeal was
frivolous and vexatious and a clear abuse of court process. The
appellant irrationally sought to impugn the judgment of this Court in
Nherera
v Shah (supra)
where it is trite that the judgment was final and binding on the
court a
quo.
He further sought to impute corruption on the respondent relying on
decisions in this Court and the High Court which related not only to
a different case but in which the respondent was not a party on the
basis of what he said was a “relationship
of corruption between the appellant and the respondent.”
It is difficult to fathom how the respondent could have been held to
be corrupt on the basis of a relationship
of corruption between the parties. The
appellant was represented by counsel who should have known better.
49. The
appellant has been unrepentant. He has not shown an iota of
contrition. Because of his unrepentance, he has kept the respondent
on the judicial radar for the past eighteen years, since 2005 when
the respondent was arrested. This appeal reflects the appellant's
resolve at not taking full ownership of his malicious conduct and the
consequences thereof. He in fact had the temerity to pray for
punitive costs against the respondent, playing the trump card of a
patriotic citizen when in fact he has, to use his own term
“unrelentingly persisted with (the respondent's) persecution”.
50.
In Chioza
v Sawyer
1997 (2) ZLR 178 (SC), it was held that:
“On
this basis I have no hesitation in dismissing the appeal. Nor do I
think we can resist the prayer for costs on the higher scale. The
appeal was always doomed to failure and litigants, although they have
a right to appeal, should not be permitted to force their opponents
to incur costs when the appeal is hopeless. It is true we do not
penalise every hopeless appeal in this way: see Mutede
v Duly & Co Ltd
S-202-93. But the present case has an element of harassment which
justifies such an award. See generally Sentrachem
Ltd v Prinsloo
1997 (2) SA 1 (A) at 21F; Nel
v Waterberg Landbouwers Ko-operatiewe Vereeniging
1946 AD 597 at 607; and Cilliers
Law of Costs
2ed p54 et
seq.”
See
also Borrowdale
Country Club v Murandu
1987 (2) ZLR 77 (H).
DISPOSITION
51.
The appeal lacks merit. In the result, it is ordered as follows:
The
appeal be and is hereby dismissed with costs on the legal
practitioner and client scale.
Paragraph
3 of the judgment of the court a
quo
is amended by the deletion of “RTGS dollars” and substitution
thereof with “local currency.”
GWAUNZA
DCJ:
I agree
GUVAVA
JA :
I agree
Temple
Bar Zimbabwe Inns of Court and Atherstone & Cook,
appellant's legal practitioners
Hove
& Associates,
respondent's legal practitioner