Staff ReporterProminent Zimbabwean preacher and businessman Walter Magaya is set to lose 3.2323 hectares of land after failing to repay a debt of $420,140 to Getbucks Microfinance Bank Limited.
The High Court in Harare has ordered that the land, located next to Magaya’s well-known hotel, be seized to settle the debt. The ruling was made by Justice Jacob Mafusire last week.
Magaya, who is the founder of Prophetic Healing and Deliverance (PHD) Ministries, borrowed the money through his company Planet Africa earlier this year. The company, along with Magaya and his wife Tendai, are named as respondents in the court case.
The court order states that the defendants are jointly liable for the debt, plus interest at a rate of 10% per month from 11 September 2024 until full payment is made. The judge also declared an irrevocable special power of attorney, issued by Planet Africa to Getbucks, to be executable. This allows the bank’s legal representatives to sell and transfer the property.
According to court documents, Planet Africa acknowledged the debt on 8 March 2024 and agreed to a repayment schedule. The company was supposed to make monthly payments ranging from $30,000 to $70,000 between April and August, with a final payment of $166,718.33 due by 7 September 2024.
Magaya and his wife had provided unlimited personal guarantees as security for the debt, making them co-principal debtors alongside the company.
Getbucks stated in its summons that the debt should have been fully settled by 7 September 2024. The bank said it was left with no choice but to take legal action to recover the outstanding amount, along with interest and costs.
In addition to the principal amount, the court ordered the defendants to pay $42,041 in collection commission and legal costs on a higher scale.
