Legal Ruling Overturns Land Sale by Rundu Town Council
The High Court has made a significant decision regarding the sale of Erf 1390, Extension 4, in Rundu. The court ruled that the land, which was sold to Jianwen Investments Namibia CC, must be returned to the original owner, and the council is required to refund the N$1.48 million paid for the property.
This case was initiated by the Namibia Mbangura Woodcarvers Cooperative, led by Sakaria Lumbala. The cooperative has been using the land since the early 1990s, running woodwork and joinery activities that provide income to community members. They first expressed interest in purchasing the land in 2010 and submitted a formal application in 2017.
In October 2023, representatives from the cooperative and the Rundu Town Council met, where it was agreed that the property would be sold to the cooperative, provided that public notice was issued to allow for objections. The cooperative accepted this arrangement and requested payment details.
On 19 January 2024, the council published a notice in the New Era newspaper inviting bids for the land at the same price the cooperative had offered. However, just three days later, on 22 January 2024, the council entered into an agreement with Jianwen Investments Namibia CC for N$1,487,760. The payments were made in installments: N$892,656 on 24 January 2024, followed by N$150,000 on 29 January 2024, and the final amount of N$445,104 on 14 February 2024.
The cooperative challenged the sale, claiming that the council acted unfairly and failed to consider their long-term occupation and contributions to the local economy. The court reviewed the council’s minutes from the ordinary meeting held on 28 November 2023 and found that there was no discussion about the cooperative’s application.
The court emphasized that public authorities must demonstrate how they assessed the facts before exercising any discretionary power. The absence of such consideration made the council’s decision reviewable. As a result, the High Court ordered the Rundu Town Council to reconsider the cooperative’s application and provide written reasons for its decision.
The court also declared the purchase agreement between Jianwen Investments Namibia CC and the council null and void, effectively setting aside the sale. All actions taken under that offer have been nullified as well.
In addition to ordering the refund of the N$1.48 million, the court directed the Rundu Town Council to cover the cooperative’s legal costs, including expenses for one instructing and one instructed counsel. The matter has now been finalized and removed from the court’s docket.
Attempts to obtain comments from the Rundu Town Council were unsuccessful, as the council did not respond to inquiries by the time of publication.