Staff Reporter<\/p>\n\n\n\n
OSHILONGO Investments (Pty) Ltd, a private Namibian company, and one of its executive directors, Nicolus Muatuli, are pursuing funds allegedly owed to them by China Civil Engineering Construction (Namibia) (Pty) Ltd. They claim that the Chinese partner still owes them over N$3 million, which has not been paid despite the completion of the new Home Affairs headquarters building.<\/p>\n\n\n\n
According to the initial particulars of claim documents, it is alleged that on or about 27 October 2014, the first plaintiff, Oshilongo Investments, duly represented by Nicolus Muatuli in his capacity as a member of the first plaintiff, and the defendant, China Civil Engineering Construction Namibia, duly represented by Qinglian Zhu in his capacity as a director of the defendant, entered into a written joint venture agreement.<\/p>\n\n\n\n
The parties agreed to cooperate in a joint venture to be called OI-CCEC Joint Venture for the purpose of submitting a joint tender for the construction of the headquarters of the Ministry of Home Affairs and Immigration. The participating interests of the parties in the joint venture were divided as follows: the first plaintiff held a 51% interest in the JV, while the defendant held 49%.<\/p>\n\n\n\n
The parties further agreed that a joint bank account would be opened in the name of the OI-CCEC Joint Venture and that all payments from the employer (the government) would be deposited into this account. The mode of salary payment to staff seconded by the parties was agreed to be N$80,000.00 per executive director per month.<\/p>\n\n\n\n
In March 2015, the parties, through the joint venture, were awarded a tender for the construction of the headquarters of the Ministry of Home Affairs and Immigration. Subject to claims for an extension, the project was extended for a period of seven years, until 21 September 2021. During the subsistence of the tender, both parties complied with the material terms of the joint venture agreement.<\/p>\n\n\n\n
The first plaintiff required funding in the amount of N$75.9 million as initial working capital. The defendant, China Civil Engineering Construction, agreed to provide the initial working capital in the amount of N$75,959,957.80. The loan, plus interest, would be repaid from the first plaintiff’s share of the net profit.<\/p>\n\n\n\n
Upon payment of the (IPC) by the first defendant, the defendant deducted 1.21% from the first plaintiff’s share of the net profit calculated from time to time. On 13 December 2022, the engineer issued Payment Certificate No. 77 in the amount of N$27,297,729.16. The defendant, in turn, deducted the instalment from the plaintiff’s share of the net profit in fulfilment of the loan agreement.<\/p>\n\n\n\n
It is further alleged that the defendant failed to comply with its obligations under the joint venture agreement and the Addendum and breached the joint venture agreement by failing to pay the second plaintiff a monthly amount of N$80,000.00 from 2018 to 2021, with the total debt amounting to N$3 million. The defendant also failed to pay the first plaintiff an amount of N$315,917.74, being 1.21% of the first plaintiff’s share of the net profit calculated from Payment Certificate No. 77.<\/p>\n\n\n\n
It is concluded that despite demand, or alternatively, a summons constituting demand, the defendant refuses or fails to pay the aforesaid amounts to the plaintiff.<\/p>\n\n\n\n
Photo: Contributed<\/p>\n","protected":false},"excerpt":{"rendered":"
Staff Reporter OSHILONGO Investments (Pty) Ltd, a private Namibian company, and one of its executive directors, Nicolus Muatuli, are pursuing funds allegedly owed to them by China Civil Engineering Construction (Namibia) (Pty) Ltd. They claim that the Chinese partner still owes them over N$3 million, which has not been paid despite the completion of the …<\/p>\n","protected":false},"author":10,"featured_media":361855,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[27,24],"tags":[],"class_list":["post-361857","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","category-news"],"yoast_head":"\n