Liquidated Interfin Bank property to go under the hammer

Liquidated Interfin Bank property to go under the hammer

HARARE, June 25 (The Source) – Property belonging to the collapsed Interfin Bank will go under the hammer on Friday as the Deposit Protection Corporation (DPC) seeks to recover part of the $155 million owed to creditors.

A notice by the auctioneers Hammer and Tongues on Thursday said the property will include vehicles, office furniture and equipment.

“Duly instructed by the Deposit Protection Corporation (DPC), the liquidators of Interfin Bank Zimbabwe Limited under liquidation, we will sell the following assets by auction,” said the auctioneer.

Interfin, a shining example of locally owned banks when it was established in 1999, was placed under liquidation at the beginning of this year after it failed to secure $50 million in fresh capital during a three-year curatorship despite reported interest from 12 potential investors.

The bank’s assets are worth $39 million while its liabilities total $155 million. Its main shareholders are Jerry Tsodzai, Farai Rwodzi and Tim Chiganze with a combined ownership of 60 percent.

Insider and related party loans amounted to $90,6 million as at January 27 this year, with almost all the loans non-performing.

Interfin is one of seven banks, mostly locally owned, that have shut down since 2009 when Zimbabwe dollarised and dumped its local currency after it had been eroded by hyperinflation which topped at 500 billion percent in December 2008.