Lawyers representing Anicent Baun, liquidators representing Challenge Air on Friday served Air Namibia with a writ of execution after the airline breached a settlement agreement, where it was supposed to have paid N$ 103 million by end of day Thursday.
According to the writ of execution, in possession of Windhoek Observer, a public auction of the airliner’s assets is to be held in order to raise EURO 5,800,000.00, or its equivalence in Namibian dollars at the rate of 20 per cent.
This amount is to be deemed tempore morae, a legal term meaning the interest on a claim running from the date of judgment entered.
The amount is “to be calculated from 29th day of January 2021 until date of final payment plus costs and charges of the aforesaid amounts which it recovered by the Court Order dated the 29th day of January 2021, in the abovementioned case, and also all other costs and charges of all applicant in the said case to be hereafter duly taxed according to law, besides all your costs thereby incurred.”
The national flag carrier is further directed to pay “to the said judgement creditor or his or her legal practitioner the sum or sums due to him others with costs as abovementioned, and for your so doing, this is your warrant.”
Air Namibia owes Challenge Air EURO 9.8 million (N$175 million) according to the settlement.
This comes as a cabinet took a decision to voluntary liquidate Air Namibia, a move believed to have been aimed at avoiding the liquidation through Anicent Baun.
As of today 19 February, however, the process of voluntary liquidation, is believed to have not yet began.
Quizzed on 17 February on whether government had begun the process to deregister the company or avail the payment to the airliner for the settlement, Public Enterprises minister, Leon Jooste stated, “The matter and all associated processes is extremely complicated, sensitive and of an intricate nature. I cannot share the information you are requesting as this may compromise our position at this critical time.”
Jooste had previously, however, told Windhoek Observer that government did not have the money to make the EURO 5.8 million payment as agreed between the airline and the previous board.