Zimbabwe Tobacco Auctioneer to Be Liquidated

Source from:  Zimbabuwe Telegraph 03/02/2011

Embattled tobacco auctioneer Zimbabwe Industry Tobacco Auction Centre (Zitac), currently engaged in a bitter legal wrangle with property owners, Boka Investments, has been put under provisional liquidation set to be reviewed in May, NewsDay Business has learnt. Scores of dejected workers were by yesterday afternoon ordered by liquidator Oliver Masomera of Oram Trust Company to […] Embattled tobacco auctioneer Zimbabwe Industry Tobacco Auction Centre (Zitac), currently engaged in a bitter legal wrangle with property owners, Boka Investments, has been put under provisional liquidation set to be reviewed in May, NewsDay Business has learnt. Scores of dejected workers were by yesterday afternoon ordered by liquidator Oliver Masomera of Oram Trust Company to vacate the premises. Zitac human resources manager Ladiclaus Mpofu broke the news shortly after lunch that the company had closed its doors to both the public and its workers pending the outcome of a 60-day liquidation process. "Please be advised that Onclass Investments and Thirdline (Private) Limited Trading (trading as Zitac) were placed under provisional liquidation on the 23rd of February 2011," reads a statement that was glued at the company premises at Boka Tobacco Sales Floor yesterday afternoon. "Preparations for the first creditors meeting to be held on a date to be advised are underway. All creditors of Onclass Investments (Private) Limited and Thirdline Trading (Private) Limited are advised to urgently collect and complete proof of claim forms from our offices." One female worker, who has worked for the company since its inception in 2001 expressed disgruntlement shortly after Mpofu addressed close to 30 workers in the company's canteen. "Right now I am in shock; I've been working for Zitac for very long. At least I deserve an explanation," said the Zitac worker who requested not to be named. The human resource manager assured workers Zitac would process February salaries by end of day yesterday adding the development had come as a surprise. "Under normal circumstances there is supposed to be a hearing first but everything just took us by surprise," he said. Earlier this year, Zitac admitted to owing tobacco merchant, Mashonaland Tobacco Company $350 000 for tobacco deliveries made during the last marketing season. Meanwhile, Boka Investments, a company owning the 50 000 square metre complex being leased by Zitac, is awaiting an eviction order seeking to boot out Zitac for allegedly violating a nearly decade-long lease agreement. Enditem