Sankwasa denies order to axe RedForce

Sankwasa denies ordering axing of RedForceUrban and rural development minister James Sankwasa has denied directing the Walvis Bay municipality to terminate its debt collection contract with RedForce Debt Management CC.He says his September letter merely instructed the council to follow an attorney general’s legal opinion.His denial has become central to the legal dispute that has allowed RedForce to return to business following a separate High Court order suspending the municipality's decision to terminate its contract.In a judgment delivered on 20 October, High Court judge James Divittie found that Sankwasa's letter of 10 September did not expressly instruct the municipality to terminate its agreement with RedForce by 30 September.The court consequently struck RedForce's urgent application against the minister from the roll for lack of urgency and ordered the company to pay the minister's legal costs.Termination directiveRedForce argued that Sankwasa’s letter effectively instructed the municipality to terminate its contract by 30 September. It challenged his authority to issue such a directive and sought to have it declared unlawful or, alternatively, to prevent its implementation pending further proceedings.Sankwasa argued that the council was required to follow the attorney general’s opinion and the contractual procedures governing termination.The judge noted that the contract required 180 business days’ written notice before termination, making RedForce’s interpretation of an immediate termination threat difficult to reconcile with the agreement.The attorney general had concluded that the contract remained legally binding despite irregularities in its execution, under the common-law principle protecting parties who enter agreements in good faith.However, the opinion said the municipality could invoke section 63 of the Public Procurement Act to terminate the contract if statutory requirements were met. It would also have to comply with the contractual notice provisions and reimburse qualifying expenses incurred by RedForce.The dispute dates back to August 2023, when the municipality signed a five-year debt collection agreement with RedForce.

Sankwasa denies order to axe RedForce

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Namibian Sun 2026-10-23

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Sankwasa denies order to axe RedForce

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Namibian Sun 2026-10-23

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