Ms Sheila Chibika, approached the High Court seeking an order declaring debt collectors’ operations illegal. She argued that there is no Act of Parliament that empowers debt collectors to demand payment, to issue threats or summons on behalf of creditors.
Chibika, who owes Harare City Council in rates and water charges, argued in her application that debt collectors’ operations were dubious and must be banned. She cited Wellcash Debt Collectors (Pvt) Limited as a respondent in the court application that is yet to be set down for hearing at the High Court. Ms Chibika argued that by issuing out summons on behalf of creditors, debt collectors will be violating Section 9(2) (b) of the Legal Practitioners Act which states:
Subject to any other law, no person other than a registered legal practitioner who is in possession of a valid practising certificate issued to him shall—
(b) For, or in expectation of any fee, commission, gain or reward in any way instruct, or assist any other person to sue out or threaten to sue out any summons or process or to commence, carry on or defend any action, suit or other proceeding in any court of civil or criminal jurisdiction.
More: Herald