High Court gives sheriff green light to attach ANC assets over R102 million campaign material debt

The sheriff will soon knock on the doors at Luthuli House. Picture: Timothy Bernard African News Agency (ANA) Archives

The sheriff will soon knock on the doors at Luthuli House. Picture: Timothy Bernard African News Agency (ANA) Archives

Published May 30, 2023

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Johannesburg - The Gauteng High Court, Johannesburg, has issued a writ of execution allowing the sheriff to attach goods belonging to the ANC and sell them to pay R102 million to Ezulwini Investments.

The company supplied the governing party with campaign material for the 2019 general elections and it was never paid until it sought the court’s intervention to recoup the money.

The ANC first lost the matter in September 2020 in the same court when acting Judge Urmila Bhoola ruled that the ANC must pay more than R102m.

Bhoola ordered the ANC to pay over R100m, including interest at a rate of 15% per annum from May 9, 2019, or alternatively, May 31, 2019, and further alternatively, June 30, 2019, at the rate of 10.25% per annum to the date of payment.

— Sihle Mavuso (@ZANewsFlash) May 30, 2023

The ANC was also ordered to pay another R2.4m, including interest on the amount at the rate of 10.25% per annum from May 9, 2019, alternatively, May 31, 2019, further alternatively, June 30, 2019, to payment date.

It appealed the matter on the basis that no contract came into existence between it and Ezulwini Investments and further claimed its internal requirements for the conclusion of contracts were flouted.

That spirited defence before the Supreme Court of Appeal failed when it could not file its papers within the stipulated six weeks.

It now faces the prospect of losing its assets.

In a writ of execution dated May 26, the sheriff is now authorised to seize assets of the ruling party.

“You are hereby directed to attach and take into execution the movable goods of the Execution Debtor AFRICAN NATIONAL CONGRESS at CHIEF ALBERT LUTHULI HOUSE, 54 SAUER STREET, JOHANNESBURG and of the same to cause to be realized by public auction R102 465 000-00 together with interest at the following rates

“10.25% per annum from 9 May 2019 to 31st August 2020, 10% per annum from 1 September 2019 to 29 February 2020, 9.75% per annum from 1 March 2020 to 30 April 2020 and 8.75% per annum from 1 May 2020 until date of payment in full, both days inclusive, and costs to be taxed, which the Judgment Creditor recovered by judgments of this Court on the 17th of September 2020 and 29th June 2022.

“In the abovementioned matter, and following the Judgment Debtor’s special leave to appeal to the Supreme Court of Appeal having automatically lapsed on account of its failure to file its Heads of Argument and Practice Note within 6 weeks of the filing of the record, as prescribed by Rule 10(2A) (a) of the Rules of the Supreme Court of Appeal.

“Further, pay to the said attorneys the sum or sums due to the Judgment Creditor with costs as abovementioned, including the costs of this writ of execution and Sheriff's costs for executing same and for your so doing, this shall be your Writ,” reads the writ.

The ANC is yet to comment regarding the matter.

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