The Zimbabwe Football Association (ZIFA) is seeking a declaratory order against a local hotel Daisy Lodge and is strongly opposing another payment towards a 2016 debt.
The football association are deadlocked with the accommodation facility after allegedly making a final payment in local currency.
Daisy Lodge which used to house the Warriors ahead of their international engagements was owed US$16 762 plus interests.
According to papers, the accommodation facility obtained a writ of execution to enforce a September 2018 judgment that saw ZIFA’s accounts with Steward Bank placed under attachment by Ecobank.
According to the association’s president, Felton Kamambo, the action saw US$14 896 being garnished from their accounts but without fully servicing the debt.
In February this year, the soccer governing board moved in swiftly and paid RTGS$180 085 through the Sherriff at an interbank rate of 1-3.5 to allegedly clear the outstanding amount.
To the association’s surprise, the lodge has instituted litigation against Ecobank seeking an order to have its accounts frozen declaring that it was entitled to full payment in US dollars.
ZIFA insists they settled the last payment but Daisy Lodge is demanding to be paid in US dollars and threatening to return the association’s last payment.
Daisy lodge argues that at the time of ZIFA’s last payment the interbank rate wasn’t applicable.
“Respondent does not give a basis for the application of this rate, 3,5 percent, as it is common cause that as at the time of payment of the money by ZIFA there was no interbank rate applicable,” reads the application.
In its application, ZIFA is seeking a declaratory order cementing that the payment of $194 981 fully discharged its obligation.
“Parties have demonstrated that they cannot resolve the impasse on their own as such the intervention of the court is necessary.
“Applicant has no other remedy available to it other than to approach the court for a declaratory order,” writes Kamambo.