HARARE – Prophetic Healing and Deliverance (PHD) Ministries founder and entrepreneur, Walter Magaya, faces the loss of 3.23 hectares of land after failing to settle a debt of US$420,140 owed to Getbucks Microfinance Bank Limited.
A ruling by Justice Jacob Mafusire at the Harare High Court last week authorised the execution of the land after Magaya, through his company Planet Africa, defaulted on the repayment of the borrowed amount. The land in question is situated next to Magaya’s well-known hotel, and it had been pledged as collateral for the loan.
According to court documents, Planet Africa is the primary respondent, while Magaya and his wife, Tendai, are listed as the second and third respondents, respectively.
The High Court order reads: “Judgment for provisional sentence in the sum of US$420,140.72 is hereby granted in favour of the plaintiff against the defendants jointly and severally, with the one paying, the others to be absolved, together with interest at the rate of 10% per month from 11 September 2024 to the date of payment in full.”
The order also declares the land—identified as the Remainder of Stand 166 of Prospect in the Salisbury district, measuring 3.23 hectares and held under deed of transfer No. 4076/2018—specially executable. The irrevocable power of attorney granted to Getbucks by Planet Africa on 8 March 2024, allowing the law firm Atherstone & Cook to facilitate the sale and transfer of the property, has also been confirmed by the court.
The court directed that Magaya and the other respondents pay the legal costs on a client scale, along with the collection commission as stipulated by the Law Society of Zimbabwe.
The debt dispute stems from an acknowledgment of debt executed by Planet Africa on 8 March 2024. Under this agreement, Planet Africa was to make staggered payments, including US$30,000 by 7 April 2024, US$40,000 by 7 May 2024, and further instalments until the remaining balance of US$166,718.33 was due by 7 September 2024. However, the payments were not made as scheduled.
Magaya and his wife had also provided Unlimited Personal Guarantees in favour of Getbucks, pledging themselves as surety and co-principal debtors.
In its court submission, Getbucks stated: “In terms of the repayment conditions of the acknowledgment of debt, the debt ought to have been fully settled by 7th September 2024 and is therefore overdue. Defendants having acknowledged indebtedness and defaulted payment, Plaintiff is left with no option but to institute the present proceedings for the recovery of the current outstanding amount together with interest, collection commission, and costs as aforesaid.”
The microfinance bank is also claiming an additional US$42,041 as a collection commission from Magaya and Planet Africa, citing the terms of their agreement.
