No Challenge Air N$107m payment as deadline lapses

19 February 2021 | Transport

OGONE TLHAGE



WINDHOEK

Lawyers of Belgian company Challenge Air said as of yesterday afternoon, they had neither received payment nor communication from Air Namibia regarding a N$107 million-dollar debt which was due to be settled yesterday as part of an agreement between the two parties.

Payment of this money was the only way that would have prevented Air Namibia from facing a court-sanctioned liquidation, which could be triggered today because of its failure to honour the terms of the settlement agreement, which was made a court order in January.

Yesterday, Challenge Air lawyer Sisa Namandje wrote a letter to the Business and Intellectual Property Authority, informing it that any attempt by Air Namibia to register a voluntary liquidation would be opposed.

“Challenge Air’s liquidator must be given an opportunity to as to why the Registrar should not register any special resolution seeking voluntary winding up for Air Namibia,” Namandje wrote yesterday.

The Challenge Air legal team already told Namibian Sun earlier in the week that they would proceed with attaching Air Namibia’s assets today if no payment was received by 18 February.

The payment stems from a last-minute agreement entered into between the airline’s previous board, led by lawyer Escher Luanda, and Namandje, that would have seen Air Namibia make a lump sum payment yesterday and a series of subsequent monthly payments to settle an outstanding debt of N$180 million.

The settlement agreement delayed the liquidation of Air Namibia’s assets by Challenge Air.

‘There will be consequences’

Challenge Air representatives yesterday informed Namibian Sun that the company will proceed with action today to recoup the money it is owed.

“We are just waiting for Air Namibia; they did not come back to us. We have not received any communication. If they remain silent, there will be consequences. It is a pity; it is really a pity,” a Challenge Air representative said yesterday.

An attempt to voluntarily liquidate Air Namibia and protect its assets from being attached by the Belgians today seems to also have failed, as public anger soars over Cabinet’s decision last week to liquidate the national airline.

Public enterprises minister Leon Jooste yesterday described the situation as “complicated” when asked for a status update.

“The matter and all associated processes [are] extremely complicated, sensitive and of an intricate nature. I cannot share the information you are requesting as this may compromise our position at this critical time,” he said.

Best decision

Finance minister Iipumbu Shiimi, speaking in the National Assembly on Air Namibia yesterday, insisted that liquidating the airline remains the best decision.

Interim Air Namibia managing director Theo Mberirua did not comment when asked about the payment due to Challenge Air.

The Belgian outfit filed for the airline’s liquidation over the non-payment of leases, maintenance and insurance stemming from the cancelled lease of a defective Boeing 767 aircraft back in 1998.

Similar News

 

N$278m payment for Air Namibia staff

1 week ago - 06 May 2021 | Transport

OGONE TLHAGE WINDHOEKGovernment has paid part of N$278 million reserved for ex-gratia payments to...

Taxi union wants 10% increase

2 weeks ago - 03 May 2021 | Transport

ELLANIE SMIT WINDHOEKThe taxi union wants a 10% increase in taxi fares, effective 15...

TransNamib needs to double its locomotives

2 weeks ago - 03 May 2021 | Transport

ELLANIE SMIT WINDHOEKTransNamib will need to double the number of locomotives it has at...

Jooste dispels lease lawsuit fears

2 weeks ago - 29 April 2021 | Transport

OGONE TLHAGE WINDHOEKPublic enterprises minister Leon Jooste has given his assurance that government will not be sued over the cancellation of a...

Vivo Energy Namibia rewards top retailers

1 month - 15 April 2021 | Transport

Staff reporter Vivo Energy Namibia, the marketer and distributor of Shell branded petroleum and lubricant products in Namibia, recognised and rewarded top performing retailers...

Swakop tracks cleared after accident

1 month - 09 April 2021 | Transport

IRENE-MARI VAN DER WALT SWAKOPMUND The scene of the railway crash in...

Americans seek N$2.3bn payment for aircraft lease

1 month - 29 March 2021 | Transport

STAFF REPORTERWINDHOEKGovernment is busy negotiating terms of paying N$2.3 billion for two aircraft leased from an American company by liquidated Air Namibia.Air Namibia was officially...

Westair denies Geingos, Jooste links

2 months ago - 11 March 2021 | Transport

OGONE TLHAGEWINDHOEKWestair has denied being linked to First Lady Monica Geingos, saying she does not own any shareholding in the company.It also refuted allegations that...

No Air Namibia creditor to be favoured

2 months ago - 10 March 2021 | Transport

OGONE TLHAGEWINDHOEKNot one single creditor will enjoy an advantage over the other, with Air Namibia’s liquidation now finalised, public enterprise minister Leon Jooste has said.This...

Westair to fly to Rundu, Katima Mulilo

2 months ago - 09 March 2021 | Transport

STAFF REPORTERWINDHOEKLocal airline Westair is expanding its services to Rundu and Katima Mulilo, and increasing the frequency of its flights to Ondangwa from Windhoek's Eros...

Latest News

No pot of gold in...

15 hours ago | Business

Namibia produced 344 kg of gold bullion in March, according to the latest sectoral report by the Namibia Statistics Agency (NSA). Compared to March 2020,...

SAA aims for the sky...

15 hours ago | Economics

JOHANNESBURG - South African Airways (SAA) aims to resume flights in July or August, but the restart date will depend on how the COVID-19 pandemic...

Price monster guzzles fuel

15 hours ago | Economics

The international oil market is a very volatile environment, and oil prices can swing in any direction at any given moment. – Andreas Simon, Senior...

Baby dies while mom’s out...

15 hours ago | Crime

ELLANIE SMIT WINDHOEKA three-month-old baby girl died on Friday evening in Epako while her mother was out drinking.According to the...

Solar minibuses for Africa

15 hours ago | Economics

MEGAN ROWLINGAs emissions from African transport surge, governments need to find ways to encourage a shift to cleaner, healthier electric vehicles, especially among the minibus...

Ivory Coast, Ghana push cocoa...

15 hours ago | Business

ANGE ABOAIvory Coast and Ghana asked cocoa and chocolate companies last week to pay more in premiums to support farmers' wages, the head of Ivory...

EDITORIAL

15 hours ago | Opinion

It has been estimated that more than 40% of Namibia’s population live in shacks, their daily lives in jarring contrast to those living close by...

16 survive accident on Otji-Kalkfeld...

15 hours ago | Accidents

NAMPA Sixteen people survived an accident after the Quantum minibus they were travelling in overturned...

Safaricom expects return to earnings...

15 hours ago | Business

DUNCAN MIRIRISafaricom, Kenya's biggest telecoms operator, expects core earnings to return to growth this year after the coronavirus crisis hit revenue from financial services and...

Load More