Redforce recovers N$29m of Rundu debt
The recovered funds will be used to supplement the town’s current budget.
Kenya Kambowe
RUNDU
Redforce Debt Management has recovered just over N$29 million of the debt owed to the Rundu town council as of 31 May.
This is according to Rundu CEO, Olavi Nathanael, who said Redforce recovered N$29 480 894 since they started with operations last October.
Various stakeholders owe the council about N$500 million, which the town - that has been known over the years as cash-strapped - has vowed to recover through enlisting a debt collector.
Rundu has been struggling to provide services to its residents over the years as well as staff salaries on time.
“Redforce recovered N$2 289 595.69 from 1 October 2020 to 9 October 2020 and didn’t operate in November and December 2020. From January 2021 to May 2021, a total amount of N$27 191 253.30 has been recovered.”
Nathanael said the recovered funds will be used to supplement the town’s current budget.
“The funds being collected by Redforce are being used to supplement the current running budget to execute plans that were budgeted for as the average planned monthly expenditure far exceeds the average planned monthly revenue being received,” he said.
Earlier this year, Namibian Sun reported that Rundu’s budget for the 2021/2022 financial year stands at N$174 million.
Community resistance
Despite the debt management company recovering monies owed to the town council, there appear to be residents against Redforce’s services.
Last week, Namibian Sun reported that a group is planning to drag the company to court over their services in the town.
Those part of the project are currently going from house to house, collecting money from residents to finance their efforts.
Rundu mayor Gabriel Kanyanga told Namibian Sun that those behind that initiative are not mandated by the council.
“There are individuals who are going house to house collecting funds so that they can fight Redforce on their own. We just want to inform the public that it’s not coming from our offices,” he said at the time.
“Those are just individuals who failed already in their leadership and are now trying to jeopardise our current spirit of leading our people.
“The community must just know that if they are participating in that, we are cautioning them that they can continue on their own but we are not part of it. If it will go well with them, it’s fine, and if it goes bad with them, we are not part of it.”
[email protected]
RUNDU
Redforce Debt Management has recovered just over N$29 million of the debt owed to the Rundu town council as of 31 May.
This is according to Rundu CEO, Olavi Nathanael, who said Redforce recovered N$29 480 894 since they started with operations last October.
Various stakeholders owe the council about N$500 million, which the town - that has been known over the years as cash-strapped - has vowed to recover through enlisting a debt collector.
Rundu has been struggling to provide services to its residents over the years as well as staff salaries on time.
“Redforce recovered N$2 289 595.69 from 1 October 2020 to 9 October 2020 and didn’t operate in November and December 2020. From January 2021 to May 2021, a total amount of N$27 191 253.30 has been recovered.”
Nathanael said the recovered funds will be used to supplement the town’s current budget.
“The funds being collected by Redforce are being used to supplement the current running budget to execute plans that were budgeted for as the average planned monthly expenditure far exceeds the average planned monthly revenue being received,” he said.
Earlier this year, Namibian Sun reported that Rundu’s budget for the 2021/2022 financial year stands at N$174 million.
Community resistance
Despite the debt management company recovering monies owed to the town council, there appear to be residents against Redforce’s services.
Last week, Namibian Sun reported that a group is planning to drag the company to court over their services in the town.
Those part of the project are currently going from house to house, collecting money from residents to finance their efforts.
Rundu mayor Gabriel Kanyanga told Namibian Sun that those behind that initiative are not mandated by the council.
“There are individuals who are going house to house collecting funds so that they can fight Redforce on their own. We just want to inform the public that it’s not coming from our offices,” he said at the time.
“Those are just individuals who failed already in their leadership and are now trying to jeopardise our current spirit of leading our people.
“The community must just know that if they are participating in that, we are cautioning them that they can continue on their own but we are not part of it. If it will go well with them, it’s fine, and if it goes bad with them, we are not part of it.”
[email protected]
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