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Infotrac wins against Debswana

09 Jun 2022

Debswana Mining Company has been ordered to pay Infotrac (Pty) Ltd P110 million with a ten per cent interest per annum.

Gaborone High Court judge, Justice Abednego Tafa made the order yesterday when delivering a judgment in which Infotrac was suing the mining giant for breach of contract entered into in 2018.

Infotrac had approached the High Court seeking a relief against Debswana, faulting the miine for failing to honour an oral consultancy agreement between the two.

The company, wanted Debswana to be ordered to pay P110 million which was the agreed fee, with an interest of 10 per cent from the month of the date of the breach and cost of the suit.

The plaintiff, Infotrac, though it’s managing director Mr Mompoloki Motshidi had told the court that they were assigned by Debswana to lobby for the late Debswana Managing Director, Mr Albert Milton to ascend to the position upon Mr Balisi Bonyongo’s retirement.

He had told the court that their services included lobbying and engaging with stakeholders. However, Debswana through their lawyer, Mr John Carr-Hartley of Armstrong Attorneys disputed Infotrac version, stating that the latter was engaged by Mr Milton in his personal capacity.

And when delivering judgment, Justice Tafa said he found the plaintiff’s version more believable. “On the evidence adduced on behalf of the plaintiff which I believe without reservation, I am satisfied that the plaintiff has proved its claim on a balance of probabilities,” he said.

 In any case, he said there was evidence that the plaintiff had previously dealt with the security department of Debswana. Therefore, he said he disagreed with the Debswana attorney, that the group head of security would not be expected to enter into contracts of such nature, saying the head of security was part of the Debswana executive.

 “A contract to provide classified services is within the scope of his apparent authority,” he stated. Justice Tafa further said he had no reason to hold that Infotrac director Mr Motshidi, must had known the Debswana internal procedures relating to procurement.

Therefore, he said  Mr Motshidi was entitled to assume that the officers from Debswana who were part of the executive were authorized to conclude a contract with him.

Furthermore, he said Debswana could not assert against the Infotrac that its general manager, head of security and human resources manager did not have authority to engage it when they customarily had such authority.

Infotrac was represented by Mr Kgosietsile Ngakayagae.

ENDS

Source : BOPA

Author : Bonang Masolotate

Location : GABORONE

Event : Court

Date : 09 Jun 2022