Caps United FC dragged to court over US$10k debt


Led Travel Tours has hauled Caps United football Club to the High Court over its failure to clear a US$10 000 debt for the international air tickets it bought on their behalf in 2017.

The football team also owed Led Tours ZWL$2 390 being outstanding payment for car hires availed to Caps United by the agency after entering into an oral agreement sometime between March to June 2017.

While Caps United decided to clear the debt by paying ZWL$13 676 on June 4, 2020, Led Tours is still arguing that international air tickets never at any stage can they be equated to their US value with local currency at 1:1.

“The plaintiff (Led Tours) is claiming payment of the sum of US$10 835 or the equivalent amount in ZWL at the prevailing auction rate on the day of payment , being the outstanding balance for international tickets purchased on behalf of the defendant (Caps United) by the plaintiff (Led Travel Tours).

“It is also claiming interest at the prescribed rate from the issuance of summons to the date of full payment and to pay the cost of the suit,” read the summons.

The company said being a registered travel agency that issues international airline tickets on credit, it is an affiliation of International

Transport Association (IATA), a foreign organisation which only accepts payments in its approved list of currencies predominantly United States dollars.

It said several demands have been made to the plaintiff to settle the outstanding balance but to no avail.

Initially, Led Tour’s lawyers also tried to recover the amount but all efforts to settle with Caps United seemed futile and hence the issuance of summons at the Harare Magistrates Court which they later withdrew and filed at the High Court.

The matter took long as Caps United was denying ever owing the company that amount despite overwhelming evidence.

Realising how outrageous it was to keep denying, such clear cut debt on June 4, 2020 Caps Utd made a payment of ZWL$13 676 into Led Tour’s legal practitioners’s Trust account .

“This amount was not equal to the amount that was being claimed since the first claim of USD$11 286 was to be paid in United States dollars or at the prevailing rate. The amount of ZWL11 286 converted at the authorised interbank rate (25) at the date the payment was done becomes US$451.47,” read the summons.

Caps United is yet to file their appearance to defend.