Bank loan

Court orders Pamela Gondwe to repay K270,000 ABSA bank loan acquired in 2010

THE Lusaka High Court has ruled in favor of ABSA Bank Limited in a case in which it sued fugitive Pamela Gondwe, demanding recovery of over K200,000 she owes the bank on a loan taken out in 2010.

Gondwe was ordered to pay the bank K271 102.64 plus interest.

In this case, the bank requested payment of the principal sum of K183,037.69 plus interest on the sum of K88,064.95 accrued from the date of default, the total amount still due being K271,102.64.

ABSA Bank Limited had previously requested to serve its former employee through a surrogate service, saying attempts to serve the legal proceedings on Gondwe have proven futile as she no longer resides at her known address and her whereabouts remains unknown.

In an extemporaneous judgment, High Court Judge Lameck Mwale said that if the required amount was not repaid, the bank would be free to take possession and sell the mortgaged Gondwe property.

“After hearing counsel for the plaintiff and after reading the affidavit in support of the subpoena together with the list of authorities and summary arguments, and after being satisfied that the respondent has been properly informed of the original proceeding, but failed to appear or file an objection proceeding to plaintiff’s action, I find that plaintiff has proved his claim against respondent on a balance of probabilities and therefore render a judgment in favor of the plaintiff against the respondent for the sum of K271,102.64,” he mentioned.

“Said judgment sum shall bear interest at the contractual rate from the date of the summons to the date of the judgment and thereafter at the prevailing bank loan rate as determined by the Bank of Zambia until the date of payment. further orders that respondent pay plaintiff the judgment sum plus interest within 45 days of the date hereof, failing which plaintiff shall be free to take possession and sell the mortgaged property being subdivision no. 2260 from lot No. 1052/M Lusaka.

ABSA, formerly Barclays Bank, said it had entered into a staff loan agreement with its former employee, Gondwe, and it was agreed that she would be granted a housing loan facility of K240,000 with interest .

They said Gondwe however defaulted despite several reminders and owed ABSA K271 102.64.

The bank, in its application filed at the Commercial Registry of the Lusaka High Court, demanded payment of the said amount or alternatively an order for foreclosure, possession and sale of subdivision no.2260 of lot no. 1052/M, Lusaka secured by mortgage deed of May 5, 2021.