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Magaya Risks Losing Guest House Over US$23M Loan

Magaya Risks Losing Guest House Over US$23M Loan

The leader of the Prophetic Healing and Deliverance (PHD) Ministries Walter Magaya and his wife, Tendai, have been dragged to the High Court for failing to repay a US$23 million loan to Homelink Finance (Private) Limited.

Magaya and his wife bound themselves as surety and co-principal debtor to a loan extended to Yadah Connect (Private) Limited last year.

Failure to service the loan, Magaya risks losing his guest house in Waterfalls, Harare, which was tendered as security for the loan. The spiritual leaders also offered mining machinery, equipment, and vehicles financed under the facility as security.

The creditor, Homelink, through its lawyers, Shomwe-Nyakuedzwa Attorneys is arguing that the defendants breached the loan agreement, hence an order compelling them to pay should be issued.

Magaya and wife were, according to the agreement with Homelink, supposed to pay 33 months instalments of US$784 873,62 inclusive of interest, with effect from December 31 last year.

Magaya is yet to respond to the civil claim.

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More: The Herald

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