The Free State High Court ruled in Mangaung electricity supplier Centlec’s favour in a R150m debt dispute with Loch Logan Waterfront, but the centre says all services are fully functional and there’s no disruption to trading. It remains stable and fully operational in preparation for a busy month-end.

Marketing consultant Meryl Henning added the matter forms part of an ongoing process that is being managed through the appropriate channels. Some of the details in the public domain “do not fully reflect the broader context”.

The Loch Logan Waterfront reassures the public that their safety is the centre's highest priority. Photo: Broll Auctions and Sales

Centlec won a court battle against the mall and its owner, The Michael Family Trust (TMFT), after the trust failed to settle its outstanding electricity account. The trust brought an urgent court application on 16 January 2024, seeking to interdict Centlec from cutting electricity supply to the mall due to non-payment.

A subsequent interlocutory application was filed a month later. Interim orders were granted in both matters on condition that the applicants complied with a debt settlement agreement reached between the parties on 24 October 2023. However, the court found that the terms of the agreement were not honoured.

In her judgment, Judge Soma Naidoo dismissed the main application and ordered the applicant to pay Centlec’s legal costs. These include the costs of counsel on Scale B, as well as costs incurred on 25 January 2024, 5 February 2025, and 6 February 2025. The Rule Nisi in the interlocutory application was also discharged and dismissed with costs.

Centlec welcomed the judgment handed down on Tuesday (27/1) by the Free State High Court, saying it clears the way for the utility to recover long-outstanding debt.

“Failure (by the mall) to honour its obligations and the provisions of approved credit control and debt collection policy is what led us to the situation we find ourselves in. As we had previously indicated, disconnection is not our primary goal; however, Centlec's survival depends on the monies owed to the utility.

“This judgment will enable us to recover our long-standing debt with The Michael Family Trust No. TM 2505,” said acting spokesperson, Tseliso Leba.

• Have a news tip to share? Phone or whatsapp the OFM News Hotline: 066 487 1427.

OFM News/Kekeletso Mosebetsi