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Rundu enlists debt collector to recover over N$200 million

Home Front Page News Rundu enlists debt collector to recover over N$200 million

RUNDU – The Rundu Town Council has appointed Redforce Debt Management to collect data and debts owed by government institutions, businesses and residents.

The institutions and residents owe the council over N$200 million through unpaid water bills, rates and taxes. 
Last year, the council urged ratepayers to participate in an incentive programme which ran for nine months whereby interests from their debts would be waived but few participated which led to council appointing a debt collector. 

The incentive programme, which was applicable to all types of municipal services or accounts ran from November to June this year. 
Rundu council’s caretaker Sebastian Kantema said the town is struggling to deliver effective services, as funds that would allow swift and quality service delivery are not being paid by residents and institutions. 

This, he said, is compromising service delivery at the town. “All accounts that have defaulted payments for three months and beyond will be handed over for collections to Redforce Debt mMnagement as from 1 September and once handed over, debtors are encouraged to engage the debt collector for payment arrangements,” he said. 

“All payments will however be paid directly to Rundu Town Council and defaulters will also be liable for collection fees calculated at 12%,” he said. 
The public has been cautioned to settle their water, rates and taxes accounts and to settle outstanding balances on purchase prices for land sales to avoid service disconnections, sale cancellations as well as property vesting back to council and legal processes. 

Rundu, at the moment, is unable to rehabilitate its gravel and tarred roads, as the council is crippled financially. 
Kantema reiterated that this is partly due to the town’s inhabitants who do not come forth to play their part in paying rates and taxes. 
The situation has worsened since local authorities were ordered to reconnect residents water as per instructions related to the Covid-19 pandemic measures.
 “Residents should take note that Rundu is our town and those of us who owe the town should pay so that we can provide much-needed services in return,” Kantema said. – jmuyamba@nepc.com.na