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Wednesday, August 28, 2019

South Africa Seizes Air Tanzania ₦32.6b Aircraft Over An Unpaid Debt Of ₦11.9b

Image may contain: sky and outdoorSouth Africa on Friday seized an aircraft belonging to Tanzania's national carrier, Air Tanzania, over a farmer's $33-million compensation claim for land which Tanzania forcefully collected decades ago.
The Air Tanzania plane was seized at Johannesburg's OR Tambo International Airport after it landed on a scheduled flight from the Tanzanian economic capital Dar es Salaam.
Lawyer Roger Wakefield of Werksmans Attorneys, a specialist in cross-border disputes, said the seizure followed an order granted by the High Court in Johannesburg on Wednesday.
Here Is What Happened:
In the 1980s, according to Lawyer Roger Wakefield, the unnamed farmer was jailed for nine months while his massive privately-owned bean and seed farm, including equipment, 250 cars and 12 small planes, was seized by the Tanzanian government.
The government of Tanzania later agreed to compensate the Namibian-born Tanzanian farmer with $36m (₦13.1b) in the 1990s -- but the government only paid $20m (₦7.3b).
The outstanding balance of $16m (₦5.8b), which has accrued interest over the decades, now stands at $33m (₦11.9b).
The seized Airbus A220-300 aircraft, which was delivered brand new shortly before Christmas to Air Tanzania, is said to worth about $90m (₦32.6b), according to Wakefield.

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