Africa-Press – Eswatini. Status Capital Building Society has expressed worry at the alarming resignation of some Emaswati directors and shareholders from the Swaziland Debt Factoring Firm (Pty) Ltd (SDFF) board of directors, a firm that collects invested funds on its behalf.
This goes to justify why the company wants its investors’ E82 million returned by the firm.
This is contained in an urgent application that was filed by Status Capital Building Society ex-parte before Judge Maxine Langwenya this week.
The resigned Emaswati board of directors and shareholders, according to Status Capital, cited unaccountability in the use and repatriation of monies to Status Capital Building Societys much to its prejudice.
According to an affidavit that was deposed to by Status Capital’s Compliance and Legal Officer Sanele Kunene, SDFF’s failure to account to Status Capital and refusal to allow Status Capital to appoint directors, has led to acrimony among the minority shareholders and directors in the SDFF.
Adding, Kunene said these minority directors and shareholders had been raising well founded beliefs of exclusion and lack of trust and security in their investment in SDFF.
“In fact, the first respondent (SDFF)’s minority directors and shareholders have resigned owing to the unilateral operations of the first respondent.
Conducted
The applicant cannot ignore the cavalier manner in which the first respondent’s business is conducted, the alarm bells are ringing very loud and I humbly pray that this court take the allegations very seriously by granting the orders,” Kunene pleaded.
Status Capital Building Society this week took SDFF to court over breach of a Debenture Agreement (DA).
Through a certificate of urgency Status sought, amongst other things an order freezing the Debt Factoring Firm’s bank accounts as the firm is in arrears amounting to E82 228. 794.29 due and payable to Status Capital despite demand for payment or cede the security as provided in the DA and cession agreement.
The application was before Judge Maxine Langwenya, who granted an interim order in terms of the prayers sought by Status Capital.
Motion
According to the notice of motion, the applicant (Status Capital) sought an order that a rule nisi be issued calling upon the first respondent (Debt Factoring Firm) to show cause why an order in terms of the prayers sought should not be made final.
Among the orders sought, the applicant also sought an order restraining and interdicting the first respondent from transacting, making any transfer and payment from bank accounts held with the First National Bank Eswatini cited as the third respondent in the matter.
The applicant further sought an order directing the first respondent to forthwith deliver to the applicant its audited financial statements, recent tax compliance certificate, latest quarterly reports and assurance report from an independent firm.
Alternatively, it sought an order directing the deputy sheriff to forthwith recover and deliver to the applicant the said financial statements recent tax clearance certificate and the other documents wherever same may be located.
Further, the applicant sought an order directing the first respondent to appoint the applicant’s nominated directors to sit on the first respondent’s board of directors in terms of the DA and surrender its shares and loan books to the applicant in terms of the cession agreement.
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