Mujuru swimming in US$452 000 debt

Opposition leader and former Zanu PF number 2, Joice Mujuru, is swimming in US$452 000 debt she owes to Peppy Motors, state media reports.

The creditor supplied tractors to her company, Ruzirun Investments, five years ago.

Mujuru was dragged to the High Court as Peppy Motors, represented by its lawyer Mr Tapson Dzvetero, sought to recover the money it paid to Mujuru’s bank, Stewart Bank.

She had entered into a loan facility agreement in terms of which Steward Bank advanced a capital sum of US$350 000 for the purchase of various tractors from Peppy Motors.

The maturity date was July 31, 2013.

Sarbrina and Tony Sarpo of Peppy Motors bound themselves as surety to the loan advanced to Mujuru by her bank.

In its claim filed at the High Court, Peppy Motors now seeks an order compelling Mujuru and her company Ruzirun Investments (Pvt) Ltd, to settle the debt now standing at US$387 583.22.

Mujuru’s lawyers concede they had no defence and chose to hammer a settlement.

This will give the former VP a chance to liquidate her debt with Peppy Motors.

According to the deed of settlement, Mujuru will now pay US$452 000 with effect from June 30 this year.

state media