Walter Magaya has been ordered by the High Court of Zimbabwe to repay US$3 million to an Israeli businessman after his legal arguments to void the debt were dismissed.
Walter Magaya, the leader of the Prophetic Healing and Deliverance ministry in Zimbabwe, has faced a significant legal setback as the High Court has mandated him to repay US$3 million to Israeli businessman Ronny Levi Musan. This ruling comes after Magaya attempted to argue that local exchange control laws should exempt him from repaying the debt in US dollars, suggesting instead that he could pay in local currency. However, the High Court, presided by Justice Maxwell Takuva, rejected these claims, emphasizing the importance of adhering to foreign investment laws in Zimbabwe.
The court's decision not only upheld the original debt agreement but also included provisions for 3% compounded interest from July 2022, further intensifying the financial toll on Magaya. The advocate representing the opposing party, Tazorora Musarurwa, argued that disregarding international financial obligations could deter foreign investors and harm the country's economy. The rejection of Magaya's legal defenses highlights the judiciary's firm stance against attempts to manipulate financial regulations for personal gain.
In practical terms, the court's ruling also enables the execution of Magaya's immovable property to satisfy the debt, placing additional pressure on him amid ongoing financial struggles. This case serves as a critical reminder of the legal accountability ministers and leaders face regarding financial agreements, as well as the potential consequences of failing to meet such obligations, particularly when foreign investment is at stake.
