Spar sues for N$17m
In papers before the court, Spar Group Limited says Rundu Spar's payments bounced over seven years to the tune of N$48 million.
The Spar Group Limited has brought an urgent application before Judge Collins Parker in the Windhoek High Court against Rundu-based businessman Adalberto Felisberto.
Their application, Spar says, is urgent because of the possibility that an application for the sequestration of Felisberto “may be made at any moment”. In her founding affidavit, Jeannette Botha, the credit manager for Spar Western Cape and Namibia, adds that should Felisberto be sequestrated, Spar's “ability to implement its clear rights to perfect its security is likely to be finally and irreparably lost”. Furthermore, Botha said it was of critical importance to prevent job losses, should the Rundu Spar close its doors, causing damage also to other creditors.
According to Botha, Felisberto is indebted to Spar in the amount of more than N$17 million, “having ordered supplies of stock from Spar on a credit account”, and not making payment or undertaking to make payment, or having the payments bounced by his bank. She told the court that Felisberto had repeatedly told her he was trying to raise finance and had attempted to sell his building at the town, a sale which fell through.
“This does not fit in with his purported ownership of farms and property, and of being a man of significant financial substance,” she said.
Moreover, Botha said although Felisberto had historically owned the Kavango Shell Garage, renamed to Kavango Shell, as well as Kavango Tyres, he had never informed her that he no longer owns these businesses.
Her knowledge, she said, indicates that he does own them and this will constitute movables for the Spar Group under their notarial bond.
Felisberto had, according to Botha, applied for credit from the group in November 2000 and began to trade, following approval, on 17 January 2001. Botha explained to the court how the system works. Felisberto, in his agreement with Spar, ordered from what is known as drop-shipment suppliers on credit. These accounts would be settled by Spar and Felisberto, in turn, would be invoiced.
His overall indebtedness to Spar at 14 December this year stood at N$10 816 316.70 and his conventional arrears amounted to N$7 445 208.69.
Botha said his arrears had accelerated in the last year, growing from roughly N$1 million to N$7.5 million.
Spar, she said, continued its support, as it was informed that Felisberto's Spar store would be sold for N$5 million and the building for N$10 million, which reassured them at the time. The sale, however, fell through in October this year.
Upon enquiry as to why the debts were not settled, as the stock was selling in-store, Botha said Felisberto told here “no funds at all were available”.
Having accrued a whopping N$1.8 million in debt in November this year, Botha said Spar stopped the credit line at drop-shipment suppliers. She and Felisberto had a heated conversation and she told the court he said he would make no further payments and wanted nothing to do with the group anymore.
“He advised that we can proceed with legal action against him.”
Botha told the court that since November 2011, Felisberto's account had bounced payments to the tune of N$48 million, of which 31 to the value of just over N$13 million, were recorded from January this year.
Botha asked the court for a perfection order allowing the Spar Group to take control of the store and to continue to conduct business, in a bid to protect the jobs and the store as a going concern. The store can then be sold and Botha said they believed Felisberto would cooperate in this regard.
“I point out that such a sale would probably also benefit Felisberto, as it is likely to minimise Spar's claims against him.”
Botha asked the court for an order to attach both movable and immovable assets belonging to Felisberto, for as long as he is indebted to Spar, and also asked for costs.
Tobias Louw of Theunissen Louw and Partners appeared for Spar Group Limited.
YANNA SMITH
Their application, Spar says, is urgent because of the possibility that an application for the sequestration of Felisberto “may be made at any moment”. In her founding affidavit, Jeannette Botha, the credit manager for Spar Western Cape and Namibia, adds that should Felisberto be sequestrated, Spar's “ability to implement its clear rights to perfect its security is likely to be finally and irreparably lost”. Furthermore, Botha said it was of critical importance to prevent job losses, should the Rundu Spar close its doors, causing damage also to other creditors.
According to Botha, Felisberto is indebted to Spar in the amount of more than N$17 million, “having ordered supplies of stock from Spar on a credit account”, and not making payment or undertaking to make payment, or having the payments bounced by his bank. She told the court that Felisberto had repeatedly told her he was trying to raise finance and had attempted to sell his building at the town, a sale which fell through.
“This does not fit in with his purported ownership of farms and property, and of being a man of significant financial substance,” she said.
Moreover, Botha said although Felisberto had historically owned the Kavango Shell Garage, renamed to Kavango Shell, as well as Kavango Tyres, he had never informed her that he no longer owns these businesses.
Her knowledge, she said, indicates that he does own them and this will constitute movables for the Spar Group under their notarial bond.
Felisberto had, according to Botha, applied for credit from the group in November 2000 and began to trade, following approval, on 17 January 2001. Botha explained to the court how the system works. Felisberto, in his agreement with Spar, ordered from what is known as drop-shipment suppliers on credit. These accounts would be settled by Spar and Felisberto, in turn, would be invoiced.
His overall indebtedness to Spar at 14 December this year stood at N$10 816 316.70 and his conventional arrears amounted to N$7 445 208.69.
Botha said his arrears had accelerated in the last year, growing from roughly N$1 million to N$7.5 million.
Spar, she said, continued its support, as it was informed that Felisberto's Spar store would be sold for N$5 million and the building for N$10 million, which reassured them at the time. The sale, however, fell through in October this year.
Upon enquiry as to why the debts were not settled, as the stock was selling in-store, Botha said Felisberto told here “no funds at all were available”.
Having accrued a whopping N$1.8 million in debt in November this year, Botha said Spar stopped the credit line at drop-shipment suppliers. She and Felisberto had a heated conversation and she told the court he said he would make no further payments and wanted nothing to do with the group anymore.
“He advised that we can proceed with legal action against him.”
Botha told the court that since November 2011, Felisberto's account had bounced payments to the tune of N$48 million, of which 31 to the value of just over N$13 million, were recorded from January this year.
Botha asked the court for a perfection order allowing the Spar Group to take control of the store and to continue to conduct business, in a bid to protect the jobs and the store as a going concern. The store can then be sold and Botha said they believed Felisberto would cooperate in this regard.
“I point out that such a sale would probably also benefit Felisberto, as it is likely to minimise Spar's claims against him.”
Botha asked the court for an order to attach both movable and immovable assets belonging to Felisberto, for as long as he is indebted to Spar, and also asked for costs.
Tobias Louw of Theunissen Louw and Partners appeared for Spar Group Limited.
YANNA SMITH
Comments
Namibian Sun
No comments have been left on this article