Minister’s son, girlfriend sued in township deal

A group of politically-connected individuals is being pursued in courts for nearly N$4 million over a housing project that never came to pass.

10 February 2021 | Local News



A current minister’s son and his girlfriend as well as a deputy minister and senior corporate executives are part of a group of people being sued for N$3.7 million for a property deal that went horribly wrong in Walvis Bay.

Conselect Engineering is suing PAM Tree Investments to recover money it pumped into the deal to acquire land in 2015 to develop a township to be known as Extension 16. The project never got off the ground.

According to the project layout, the plan was to construct over 200 houses on the outskirts of Kuisebmond.

Conselect owner Wiseman Molatzi, through his lawyers Pieter Hagman Legal Practitioners, on Monday issued a letter of demand to PAM’s directors to recover the money he paid to acquire the deal as well as the engineering services offered.

The directors are current deputy labour minister Hafeni Ndemula; urban and rural development minister Erastus Uutoni’s son, Josephat Shatilwe Uutoni, and his girlfriend Charmain Matheus; Namibia University of Science and Technology legal head Joshua Kaumbi; Namport commercial executive Tino Hanabeb, and former Swapo coordinator for Narraville, Michael Nalili Kawiwa.

Molatzi is also a shareholder in the company.

Million-dollar loan

Conselect was subsequently appointed as the project manager and consulting engineers for the development.

After scoring the lucrative deal, PAM entered into a loan agreement with Conselect on 3 February 2014 and 13 August 2015.

Conselect gave PAM a loan N$1.2 million to enable it purchase the land on which it planned to develop Extension 16.

The purchase price of the land was N$865 000, while the remaining money was used to settle the transfer fees (N$93 340.80) and town planning fees (N$7 000).

According to the demand letter, Conselect completed civil engineering designs to the tune of N$1.3 million and electrical engineering designs costing N$713 000.

The loan was supposed to be repaid with the proceeds from the development.

“Since 2015, your company has now twice attempted the development and has twice failed with same, which leaves our client with no other conclusion other than that the intended development shall not be commenced with and completed within a reasonable time,” the demand letter read.

PAM, according to the letter, has 14 days to repay the money.

More debt

“We have been instructed to demand from you, which we hereby do, payment of the amount of N$3.706 840.54 into our trust account within 14 days from date of this letter, failing which summons will be issued from the High Court of Namibia to recover same from your company,” the letter further read.

According to municipal records, PAM also owes the Walvis Bay municipality over N$1.9 million in rates and taxes.

Ndemula yesterday said he received the demand letter, but refused to comment because he is yet to speak to his partners.

Hanabeb also confirmed receiving the letter and also opted not to comment at this stage, while Egumbo said he is not authorised to speak.

Uutoni said he is not aware of the demand letter, adding that he is not surprised that Molatzi took such a step.

“Wiseman is a very interesting character, why would you sue your fellow shareholders in a company which you also have interests [in]? There are many factors that led to the delay and he [Wiseman] is one of those factors because his company was contracted to do designs and they have not delivered anything,” he said.

He said Conselect was only contracted because Molatzi was part of PAM.

“Wiseman at some point said he is not sure about investment but we know he is a lone walker. We will execute the project in phases as it will be easier. We already have guarantees in place,” Uutoni said.

Molatzi yesterday accused his partners of trading recklessly.

“The 90% shareholders and 90% directors which I'm in the process of issuing summons to have been busy with ‘reckless trading’ which put the company as well as all the creditors' investments at high risk,” he told this publication.

He added: “The loan agreement is one aspect, and the other aspect is that Conselect are the consulting engineers and project managers on the project, which the 90% shareholders and 90% directors are also in breach with the provisions thereof.”

Past dealings

In 2015, New Era reported that the Walvis Bay municipality sold 19 unserviced plots at a price of N$167 000 to Proprietors Business Solutions CC.

The company, according to the report at the time, was owned then Swapo councillor for Walvis Bay Rural constituency, Johannes Nangolo, and Kawiwa, who served as the ruling party’s section coordinator for Narraville. The other directors were Shatilwe Josephat Uutoni and Molatzi.

The company applied for the land ostensibly to build affordable houses and apartments.

Similar News


Catering company throws sand in food tender

16 hours ago | Local News

JEMIMA BEUKES WINDHOEKSeal Caterers has dragged the Central Procurement Board of Namibia (CPBN), the education ministry and 97 other companies to court...

Unam a pulwa a tambule aailongi yondondo onti 11

16 hours ago | Local News

TUYEIMO HAIDULAONGWEDIVAOminista yelongo lyopombanda, Itah Kandjii-Murangi oya popi kutya iiputudhilo yopombanda nayi tambuleko nomaako gaali aanona mboka ya shanga ondondo 11 niiputudhilo mbyoka yoshigwana inayi...

Taya pula mangestrata a kuthwemo moshipotha

16 hours ago | Local News

TUNOHOLE MUNGOBAOSHAKATIAakwashigwana mboka oya hala mangestrata a kuthwemo moshipotha shekwatonkonga, shoka tashi tamanekelwa, Sindano Hango ngoka mangetrata a li a mangulula koshipotha shoka.Omapopyo itaga kolekwa...

Dying NPTH eyes Swakop Hotel

1 day - 03 March 2021 | Local News

OGONE TLHAGE WINDHOEKDespite its winding-up being in the works, Namibia Post and Telecommunications Holdings (NPTH) is eyeing the potential purchase of the...

White Afrikaners seek native status

2 days ago - 02 March 2021 | Local News

JEMIMA BEUKES WINDHOEKOtjozondjupa resident Stefanus van der Merwe has requested the Ancestral Land Commission and the Namibian government to grant the Afrikaner...

Namfisa pays N$1m monthly rent

2 days ago - 02 March 2021 | Local News

STAFF REPORTER WINDHOEKNamibia’s financial regulator is currently forking out millions for office rental space...

Transport commission hits brick wall

2 days ago - 02 March 2021 | Local News

MATHIAS HAUFIKU WINDHOEKAlmost six months after being inaugurated, Namibia’s Transportation Commission cannot do its work due to suspicions raised over the eligibility...

Namibia’s link to Loudima centre severed for now

2 days ago - 02 March 2021 | Local News

JANA-MARI SMITH WINDHOEKNamibia has withdrawn its support of the beleaguered Loudima Institute for...

Cabinet directive blamed for residents’ reluctant NamWater payment

2 days ago - 02 March 2021 | Local News

Kenya Kambowe RUNDUKatima Mulilo town council says despite having incurred debt with NamWater...

Oniipa councillors sign performance agreements

2 days ago - 02 March 2021 | Local News

TUYEIMO HAIDULA ONIIPAOniipa town council officials signed performance agreements last Thursday, aimed at improving service delivery at the town.The performance agreements...

Latest News

Letshego Nam takes N$60-mln profit...

6 hours ago | Business

Jo-Maré Duddy – Locally-listed Letshego Holdings Namibia reported a profit of about N$341.4 million for the year ended 31 December 2020, a drop of nearly...

Otjikoto sitting on a gold...

16 hours ago | Business

Jo-Maré Duddy – B2Gold’s Otjikoto mine is expected to reach record-level production this year and through to 2024, the Canada-based low-cost international senior gold producer...

Mining survey: Chamber hits back

16 hours ago | Business

PHILLEPUS UUSIKU Too few responses have skewed Namibia's performance on the 2020 Fraser Institute Survey of Mining Companies, tarnishing its image as an attractive investment...

‘Not up to you’

16 hours ago | Education

TUYEIMO HAIDULA ONGWEDIVA Higher education minister Itah Kandjii-Murangi says institutions of higher learning...

Sioka in hot water over...

16 hours ago | Ministries

JANA-MARI SMITH WINDHOEKThe clock is ticking for child welfare minister Doreen Sioka who has less than a month to present a...

Corruption - A social disease...

16 hours ago | Columns

Johan CoetzeeGiven ongoing media articles about governance, manifested in contraction of investment and increasing unemployment, it is appropriate to reflect on several trends covering several...


16 hours ago | Opinion

The phony attempts by mainly men in the National Unity Democratic Organisation (Nudo) to undermine its president Esther Muinjangue will only further dissuade women from...

Drought policy in review to...

16 hours ago | Agriculture

ELLANIE SMIT WINDHOEKThe agriculture ministry is in the process of reviewing the country’s drought...

Nam mining licence loophole closed

16 hours ago | Business

From the beginning of April this year, Namibians who hold mineral licences will no longer be allowed to transfer it to foreign companies or persons...

Load More