Eco Fuel fights Engen over summons delivery

Justicia Shipena

Eco Fuel Investment CC has asked the High Court to set aside a N$5.46 million default judgment granted in favour of Engen Namibia (Pty) Ltd, arguing that the summons was not properly served.

The company, co-owned by Namcor corruption accused Austin Elindi and fugitive Victor Malima, filed an urgent rescission application on Wednesday.

Eco Fuel claims that Engen delivered the combined summons to an outdated address, Buffalo Signs on Werner List Street, despite having been notified on 16 April 2024 that the company’s new address was on Julius Nyerere Street in Windhoek.

In court  documents seen by the Windhoek Observer, Elindi argues that the deputy sheriff executed the writ of execution at the new address, raising questions about why the summons was not served there initially

In an affidavit, Johanna Hambelela Mundjego, the sole member of Eco Fuel, stated the company only became aware of the court action and judgement on 22 July 2024 when the deputy sheriff executed the writ at its business premises. 

The default judgment was granted in chambers on 17 July 2024, and a writ of execution was issued on the same day.

The summons was originally served on 4 June 2024 in a matter involving a debt of N$5.46 million owed to Engen Namibia.

Mundjego claims the service was defective and failed to comply with Rule 8(3)(a) of the High Court rules, which require service to be effected at a company’s registered office or principal place of business. According to the return of service, the summons was taped to the door at Buffalo Signs after no one was found at the premises to accept it.

“The Applicant was not aware of the action against it instituted by the First Respondent, nor was it made aware… due to the manner in which the combined summons was served,” the affidavit reads. 

She added that if the company had known of the legal action, it would have defended the matter.

Elindi and Malima are two of the accused in the Namcor corruption and bribery case. Malima remains on the run, while Elindi was arrested on Monday. 

Eco Fuel is asking the court to rescind the 17 July default judgement and set aside the writ of execution. 

The affidavit claims the company has a bona fide defence and that substantial payments were made, although it is unclear how they were allocated. 

The company further claims that a payment proposal was submitted to Engen on 16 April 2024, but no response was received.

A resolution dated 30 July 2024 authorises the rescission application and the appointment of legal counsel to represent Eco Fuel in the matter.

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