The Agricultural Bank of Namibia (Agribank) is suing its former board chairperson, Michael Iyambo, and his companies over failing to settle N$55.8 million loans.
Court documents seen by The Brief show that the agriculture-focused finance institution entered into five loan agreements with Oshikoto Fresh fruits and Veggies in October 2017 on the agreement that each loan would bear an interest rate of 8 percent per annum.
The bank contend that Iyambo’s company failed to meet its obligations in paying installments as of June 2020, and that same month a new written payment rearrangement was entered into, and the company still did not meet the agreement.
The former bank chairperson reportedly put up his farm as surety and was co-principal debtor.
Agribank is claiming from Oshikoto fruit and veggies the sum of N$2,012,702.72 plus interest at 9 percent per annum on N$1,230,983.00 as from 31 May 2021 to date of final payment calculated yearly on 30 April and 10.5 percent per annum on N$781,719.72 as from 31 May 2021 to date of payment calculated on the end of each month and added to the interest-bearing sums.
The bank is also demanding N$2,267,741.66 plus interest at 9 percent per annum on N$1,356,477.67 as from 31 May 2021 to date of final payment calculated yearly on 31 January and 10.5 percent per annum on N$911,263.99 as from 31 May 2021 to date of payment calculated on the end of each month and added to the interest-bearing sums.
An additional payment of the sum of N$21,074,837.80 plus interest at 8.75 percent per annum on N$814,415.89 as from 31 May 2021 to date of final payment calculated yearly on 30 April and 10.25% per annum on N$260,421.919 as from 31 May 2021 to date of payment calculated on the end of each month and added to the interest-bearing sums,
Agribank said it also wants a payment of N$12,433,804.82 plus interest at 8.75 percent per annum on N$10,038,629.65 as from 31 May 2021 to date of final payment calculated yearly on 30 July and 10.25 percent per annum on N$2,395,175.17 as from 31 May 2021 to date of payment calculated on the end of each month and added to the interest-bearing sums.
Furthermore, the bank is demanding a payment of the sum of N$4,241,958.52 plus interest at 9 percent per annum on N$3,242,498.88 as from 31 May 2021 to date of final payment calculated yearly on 31 January and 10.5 percent per annum on N$911,263.99 as from 31 May 2021 to date of payment calculated on the end of each month and added to the interest-bearing sums.
The banks also claims against the farm, jointly with Oshikoto Veggies: Payment of the sum of N$11,499,740.00, payment of the sum of N$2,299,948.00 and an order declaring the remaining extent of the farm, Measuring 3241,4491 hectares executable.
Agribank demands N$11,499,740.00 from Iyambo in his personal capacity with the total N$ 55,830,733.52 expected from him and his business. He has since filed a notice of intent to defend and a status hearing was heard in the High Court on Tuesday
