Otjiwarongo Municipality cancels land deal with businessman

10 May 2016 10:20am
OTJIWARONGO, 10 MAY (NAMPA) - The local authority council of Otjiwarongo has instructed its attorneys to cancel a land deal between the municipality and local businessman, Dan-Boy Shonena Ndjadila.
Otjiwarongo Municipality Chief Executive Officer (CEO), Ismael /Howoseb on Monday confirmed the cancellation of the deal that was entered into between the parties in 2015.
“The town council passed such a resolution last month to cancel the land deal between us and Mr Ndjadila, and such instructions were given to our lawyers already to inform him.”
The council was in a predicament over a 200 000 square metre (sqm) portion of land it sold to Ndjadila last year.
Council documents seen by Nampa indicate that Ndjadila on 16 December 2013 applied to buy 20 000 sqm (2 hectares) of land for business purposes.
This figure, however, mysteriously changed to 200 000 sqm (20 ha), and no one on the council apparently knows who augmented the figure on the initial documents.
These documents with the bloated figure were then submitted for approval to the then Ministry of Regional and Local Government, Housing and Rural Development in June 2014.
The ministry approved it on 14 June 2014, but advised the municipality to lease the land to Ndjadila at N.dollars 10 000 per month or sell it to him at N.dollars 50 per sqm, equivalent to N.dollars 10 million, by means of private treaty excluding provision of services such as water, sewerage, electricity and surveying.
Ndjadila signed the Deed of Sale on 15 April 2015 with the Otjiwarongo Municipality without paying a cent.
However, this Deed of Sale has no author, meaning it is not known who prepared the documents at the Otjiwarongo Municipality. Also, the place of signing the document initially indicated Windhoek, but appears to have been scratched out with a pen and replaced with Otjiwarongo.
The Deed of Sale shows that at the time of processing these documents, the Otjiwarongo Municipality had already allocated Ndjadila the 200 000 sqm of land at a cost of N.dollars 1 million, instead of N.dollars 10 million which the Otjiwarongo town councillors and the ministry had approved.
Ndjadila paid N.dollars 1 million for the land to the municipality in August 2015.
This dubious deal was recently discovered by the new local authority councillors, who demanded an explanation from /Howoseb.
Efforts to get comment from Ndjadila were unsuccessful.