Chegutu Municipality sues David Whitehead Textiles over $464k rates

FINANCIALLY-SQUEEZED David Whitehead Textiles has been dragged to court over $464 000 rates arrears owed to Chegutu municipality.

BY CHARLES LAITON

The local authority, through its lawyers, Warara and Associates, issued summons against the company on June 27 this year, but the firm is yet to enter its appearance to defend.

David Whitehead Textiles was placed under provisional judicial management on December 1, 2010 and under final judicial management on March 19, 2014, with judicial manager, Cecil Madondo taking charge of its business.

In the summons, Chegutu municipality failed to settle the debt despite being served with several reminders.

“The plaintiff’s (Chegutu Municipality) claim against the defendant (David Whitehead Textiles) is for the payment of $463 989 being an amount due for rates due by the defendant for its property at Chegutu,” the council said.

“Despite being served with a demand to settle the amount, the defendant has failed and or neglected to pay the amount due.

“Wherefore, the plaintiff’s claim against the defendant is for payment of $463 989 being the amount due from defendant for its property in Chegutu, interest at the prescribed rate from the date of demand to date of full and final payment together with costs of suit.”