Home | Business | STATUS TRANSPORT DEMANDS E1.1M FROM ESRIC

STATUS TRANSPORT DEMANDS E1.1M FROM ESRIC

Font size: Decrease font Enlarge font

MBABANE - Status Transport is demanding payment amounting to E1.1million from Eswatini Royal Insurance Corporation (ESRIC).

The money is in respect of two claims the company has tabled in papers it filed at the High Court for the sums of E800 000 and E300 000 respectively. This was after the company’s truck was involved in two traffic accidents. Status Transport is involved in the business of leasing trailers and a truck to various sugar cane growers for the haulage of their harvest to the sugar mills. Its insurer, ESRIC, allegedly instructed other panel beaters to fix the damaged truck’s engine instead of the principal dealer, a decision which kept the truck out of the road for four months. The vehicle was still under warranty.

Lost

For each of the four months, the proprietor of Status Transport, Linda Sukati of Lobamba, claims the company lost E200 000 per month, hence the demand for the sum of E800 000 from its insurer. After the second accident, ESRIC allegedly withheld the truck for 47 days while awaiting excess payment of E66 000 from Status Transport in respect of the first accident’s claim. ESRIC, according to the transport company, refused to pay the E1 100 000 at nine per cent interest per annum despite lawful demand. In papers filed last Thursday, it is stated that the company owned a Nissan UD truck tractor and trailers which were leased to sugar cane farmers. In the claim for E800 000, Sukati told the  court that he and ESRIC concluded a written agreement in terms of which the insurer undertook to insure his truck and trailers against all risks stipulated in the contract of insurance.

He said ESRIC was represented by its general manager when the insurance contract was concluded in May 2006. The veracity of these allegations is still to be tested in court. Status Transport is represented by Azi Hlatshwako of T.L. Dlamini and Associates. ESRIC is yet to file its answering papers in the event it opposes the summons. Sukati submitted that in December 2014 the truck was allegedly involved in an accident at Maphobeni along Maphobeni-Big Bend Public Road. He allegedly notified ESRIC about the accident and he complied with his obligation in terms of the insurance contract.

 

 

Comments (0 posted):

Post your comment comment

Please enter the code you see in the image: