High court orders Altifin to pay Cottco

High court orders Altifin to pay Cottco
Published: 03 July 2014
THE High Court has ordered Altifin Insurance to pay the Cotton Company of Zimbabwe about $117 000 plus interest which arose from an insurance claim raised by the cotton producer.

High Court Judge Justice Priscilla Chigumba yesterday granted Cottco an order compelling Altifin to pay up.

"The Respondent (Altifin) shall pay the Applicant (Cottco) the sum of $116, 522,88 together with interest thereon at the rate of five percent per annum with effect from December 1 2012 to date of payment in full," the draft order says.

The claim arose two years ago when Cottco lost $183,651,75 which was stolen by its employees. The loss was reported to Altifin which assessed the claim and offered to pay the applicant $126,522,88.

In June last year, Altifin wrote a letter acknowledging the debt of $126 000 and offered to pay the debt by monthly installments of $5 000 with effect from July 5 2013.

On October 7 last year, Altifin wrote an email to Cottco apologising for the delay in paying the installments and offered to pay $15 000 that week.

"We sincerely hope that our cash flows will improve resulting in us discharging the balance of outstanding claims," said Altifin in a letter dated October 7 2013 to Cottco.

Despite the payment plan, Altifin paid only $10 000 on October 17.
- The Herald
Tags: Cottco, Altifin,


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