Court blocks N$60m Italian land deal Nujoma Plaza in Windhoek CBD on the cards

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Court blocks N$60m Italian land deal Nujoma Plaza in Windhoek CBD on the cards
Court blocks N$60m Italian land deal Nujoma Plaza in Windhoek CBD on the cards

Africa-Press – Namibia. THE High Court has forced the City of Windhoek to negotiate with a company owned by businessman David Imbili, on the application to purchase a piece of land initially sold to a company largely owned by Italians for N$60 million.

Imbili has welcomed the court’s decision made in September 2021, saying fairness prevailed. “It is a pity that we elect hungry vultures who are prepared to sell their birthright to foreigners for a few pennies,” he told The Namibian last week.

The land in question measures around 7 800 square metres, and is situated south of the municipality’s offices near Universal Church, on Independence Avenue.

Imbili, who is the son-in-law of former president Sam Nujoma, applied for the land in 2011 to construct what he intially wanted to call Nujoma Square – a project estimated to cost around N$330 million.

He said his plan to name the property development in the heart of the city after Nujoma is still on, and he is now exploring names such as Sam Nujoma Plaza.

In September last year, Imbili won a court case that partly swayed the controversial land deal in his favour, after battling a court case for more than five years.

“Unfortunately self-hate, jealousy and envy has taken over. It would be inconceivable for me to buy prime land in Italy. Yet we continue making vast tracts of land available to others while our people are still living in shacks,” Imbili said. THE PLAZA

Imbili’s battle with the City of Windhoek and the urban and rural development ministry for this land started in 2011 when he submitted a plan for the development. He wanted to do it through NDI Holdings (Pty) Ltd, a company Imbili and his wife, Usuta Imbili, own 52% of.

At the time of the application, the rest of the shares were set as follows: Leonard Barnard architects (Leonard Barnard and Francis Mutua 24%) and Hendrik Herselman Quantity Surveyors 24%. Imbili’s NDI Holdings proposed to build a hotel, restaurants, and office blocks.

A document submitted to the City of Windhoek shows that Imbili’s NDI Holdings had other business interests across the country such as 25% in Atab Fisheries Consortium, 25% shares in Ongwediva Medipark Investment and 14% shares in Sanlam Investment management Namibia through a black economic empowerment entity.

Imbili was among the founderders of the B1 City Development close to the Swapo head offices in Windhoek – a project that was haunted by allegations of corruption. CITY CENTRE

Imbili, whose interests also include a farm near Waterberg, started eyeing the city plots in 2011 when he applied to buy the land with his wife Usuta – Nujoma’s youngest daughter.

Their plans were dashed in 2014 when the Windhoek municipality – under the leadership of controversial Swapo mayor Agnes Kafula – gave the land to Holme Investment Namibia.

Holme Investment Namibia’s majority shareholders are Italians (73%) and the trade ministry’s deputy executive director Ndiitah Nghipondoka-Robiati (27%), through her company Kahn Investments Number One Nine Nine.

The land consists of six plots: erf 146 (N$9,5 million); erf 147 (N$8,5 million); erf 148 (N$9 million); erf 152 (N$8 million); erf 150 (N$18 million); and erf 6577 (N$9,6 million).

Imbili objected to the sale but the city council shot his objection down. However, his luck was aided by the decision of the then urban and rural development minister, Sophia Shaningwa, who cancelled several questionable land deals in 2015.

The sale of the six plots was among those cancelled. Holmes Investment, which claimed to plan a N$2 billion project at the same spot, subsequently dragged Shaningwa to court to challenge that decision.

The High Court sided with the Italian company in 2019 and criticised Shaningwa’s decision to cancel the land deals, describing her actions as a “gross scandal”.

Judge Thomas Masuku said: “I am of the considered opinion that there is no proper basis upon which the impugned decision can be allowed to stand”. The judge gave the then urban and rural development minister, Peya Mushelenga, 40 days to make a decision on whether to sell to the Italians or not.

What followed appears to be a comedy of errors. At first Mushelenga decided against selling the land to the Italian dominated company, around 10 July 2019, Instead, he supported Imbili’s objections to the sale.

“The minister hereby directs the Windhoek municipal council to engage NID Holdings and to ensure that the principles of administrative justice and fairness are upheld and applied,” Mushelenga said at the time.

He, however, changed his mind about two weeks later, instructing the Windhoek municipality to sell the land to the Italian controlled company. THE DISPUTE

Mushelenga’s flip-flopping decisions became the centre of the legal dispute in the race for a prime piece of the city’s land. Imbili’s legal team said an administrative decision-maker (minister), in making decisions, is required to honestly apply his or her mind to the decision.

“In doing so, he or she is required to consider all relevant and material information when making the decision,” advocate Charmaine van der Westhuizen who worked with Imbili’s lawyer said.

She added that this includes the obligation to give sufficient weight to information before it and not to relegate significant information to insignificance, and elevate insignificant information.

The lawyer said the failure by the minister to properly apply his or her mind will render the decision of such a statutory body irregular, and subject to judicial review.

“The minister, having already made a decision on 10 July 2019, “could not have made a conflicting decision (or any other decision for that matter) on the same issue on 22 July 2019.

“Administrative decision-makers who made decisions in the nature of the one referred to, are bound to the decisions taken by them and may not alter same thereafter”.

High Court judge Collins Parker said Mushelenga’s decisions of 22 and 23 July 2021, which gave the land to the Italian outfit cannot stand, and ought to be reviewed and found to be invalid.

Parker said the government should not have resisted Imbili’s application only to concede during the court hearing. Lawyer Ulrich Etzold represented Imbili, while Charles Visser represented Holme Investments.

Visser rejected Imbili’s version to return the matter to the urban ministry, warning that it will leave the matter hanging. Nghidinua Daniel, the executive director of urban and rural development, told The Namibian last week that the ministry will be advised on the matter by the attorney general’s office where necessary.

“But we are bound by the decision of the court,” he added. City of Windhoek spokesperson Harold Akwenye declined to comment, saying the matter mainly involved the decision of the minister.

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