Justicia Shipena
Enercon Namibia (Pty) Ltd has until 22 July to convince the High Court why it should not be liquidated over unpaid fuel debts to Namcor, just weeks before the company and its directors were charged in a multi-million-dollar corruption and racketeering case.
The military-linked fuel supplier, partly owned by the Ministry of Defence through August 26 Holdings, is now at the centre of one of the country’s biggest public sector corruption scandals.
Established in 2007, Enercon operates in fuel supply, construction of storage facilities, petroleum distribution, and fuel management.
It operates in the fuel supply sector, focusing on the construction of fuel storage facilities, petroleum distribution, and fuel management.
Enercon faces charges under the anti-corruption act and the prevention of organised crime act, including racketeering, conspiracy, possession or use of proceeds from unlawful activities, and violating section 2(1)(a) of the 2004 act.
The charges stem from a 2022 deal in which Namcor paid Enercon N$53 million for access to its military-connected fuel supply contracts and infrastructure.
The deal later collapsed after objections from the Defence Force. Enercon later cancelled the agreement but failed to return the money.
The funds remain unaccounted for, and the ministry of defence has not issued a statement since the Anti-Corruption Commission (ACC) has made arrests allegedly linked to the matter.
Enercon is also at the centre of another court battle involving the fraudulent sale of Namcor’s fuel storage facilities for N$52 million.
Namcor challenged the transaction and sought a court order to nullify the deal and hold the directors personally liable.
Among those linked to the transaction are former Namcor managing director Immanuel Mulunga, retired brigadier general James Auala, businessman Peter Elindi, and his brother Malakia Elindi, all directors of Enercon at the time.
In January 2025, Namcor obtained a provisional winding-up order against Enercon Namibia and Erongo Petroleum CC after the two companies failed to repay over N$300 million in fuel debt.
Namcor had entered into Fuel Supply Agreements and Supplementary Credit Facility Agreements with the two companies, on 10 September 2020 and 20 August 2020 with Erongo, and on 16 March 2022 and 05 April 2022 with Enercon.
Namcor supplied Diesel 50PPM, ULP95, and lubricants to Erongo and Diesel 50PPM to Enercon.
By November 2023, Enercon reportedly owed N$114 million.
High Court Judge Shafimana Ueitele ruled that although the cases were not formally consolidated, they were heard together.
He ordered the companies to show cause by 22 July 2025 why they should not be liquidated.
Enercon is 75% owned by the Elindi brothers and 25% by August 26 Holdings. Erongo Petroleum CC is owned by Austin Elindi, son of Peter Elindi.
This week, the ACC arrested Peter and Malakia Elindi on corruption and racketeering charges. They appeared in the Windhoek Magistrate’s Court on Thursday alongside Mulunga; supply and logistics manager Cornelius Petrus Willemse; former chief financial officer Jennifer Hamukwaya; her husband, Panduleni Hamukwaya; Olivia Grace Dunaiski; and Lydia Elindi, wife of Malakia Elindi.
Other companies named in the case include Onyeka Clearing and Forwarding CC, Nyambali Medical Centre CC, Panduleni Farming CC, and Parkwood Petroleum Logistics CC.
State prosecutor Menencia Hinda told the court that the case involves the alleged misappropriation of over N$480 million.
However, she did not elaborate on how the funds were misappropriated.
