Justicia Shipena
The Development Bank of Namibia (DBN) is suing Enercon Namibia (Pty) Ltd and its associates for N$28.8 million over unpaid loans and breached suretyship agreements.
The case involves allegations of breached suretyship agreements and missed repayments dating back more than a decade.
DBN alleges that Enercon defaulted on two loans disbursed in 2011 and 2015, which were meant to finance petroleum product acquisitions and property development.
The total loan amount exceeded N$25 million. Despite restructuring efforts and extended repayment terms, the bank says Enercon failed to keep up with payments.
As of May 2025, DBN records show unpaid balances of N$19.4 million and N$9.4 million on the two respective loans.
The first loan of N$2.8 million was granted in 2011 and backed by personal guarantees from three individuals, including then Enercon directors Peter Hango Elindi and Malakia Elindi, through unlimited suretyship agreements.
In 2015, DBN issued a second loan of N$18 million.
This loan was secured by six parties, including state-owned August 26 Holdings and three close corporations: Wholesale Purchasing CC, Bonsec Investments 174 CC, and Bonsec Investments 175 CC. Each of these entities pledged properties in Windhoek as collateral.
Court documents show that August 26 Holdings, a company owned by the Namibian Defence Force, signed surety on behalf of Enercon to support the petroleum-focused financing.
According to DBN’s claim, Enercon made 55 repayments on the N$18 million loan before defaulting in February 2024.
The bank also included a N$7.2 million property loan, part of the 2015 package—which saw only 47 instalments before payments stopped in October 2022.
The lawsuit was filed a week after Enercon’s directors were charged in the multi-million-dollar corruption and bribery case worth N$480 million.
It also comes as the company faces possible liquidation over unpaid fuel debts to the National Petroleum Corporation of Namibia (Namcor), with a High Court deadline set for this week.
Enercon, established in 2007, operates in fuel supply, petroleum distribution, construction of fuel storage facilities, and fuel management.
The company is 75% owned by Peter and Malakia and 25% by August 26 Holdings, which is linked to the Ministry of Defence.
During their ongoing bail hearing, Peter and Malakia testified that they are no longer directors of Enercon.
The Elindi brothers were arrested last week by the Anti-Corruption Commission on corruption, bribery and racketeering charges.
They are charged alongside former Namcor managing director Immanuel Mulunga; Namcor’s former supply and logistics manager Cornelius Petrus Willemse; former chief financial officer Jennifer Hamukwaya; her husband Panduleni Hamukwaya; Olivia Grace Dunaiski; and Lydia Elindi, the wife of Malakia Elindi.
DBN is now demanding repayment of N$28.8 million plus interest and legal costs.
DBN has also asked the High Court to declare mortgaged assets executable to recover the debt.
These include units at City View apartments and a property in Brabant, Windhoek.
The application also seeks rectification of company records.
DBN says an administrative error occurred during Enercon’s 2015 name change from DPF Energy and Minerals.
The Business and Intellectual Property Authority (Bipa) reportedly misinserted the registration number into several official documents.
DBN said it issued formal payment demands in April 2023, but no payments were made.
