Konkola Mines moves to set aside Copperbelt Energy asset seizure writ, citing irregularities in claimed amount

Konkola Copper Mines (KCM) has applied to the Lusaka High Court to set aside a writ of fieri facias filed by the Copperbelt Energy Corporation (CEC), arguing that the amount endorsed on the writ is incorrect and was unilaterally determined.

In its application filed pursuant to Order 47/1/3 of the Rules of the Supreme Court of England (1965, 1999 edition), KCM contended that the writ was irregular and should be set aside.

The application is supported by an affidavit sworn by Ellie Sampa, Director of Administration at KCM.

According to the affidavit, KCM stated that CEC is classified as a Class 2 creditor under a court-approved scheme of arrangement.

The company explained that the scheme was sanctioned by the court on June 28, 2024, and CEC subsequently appealed the decision to the Court of Appeal on July 12, 2024, disputing, among other things, its classification as a Class 2 creditor.

Despite the appeal still being pending, KCM claimed that CEC sought and was granted an enforcement order by the High Court on December 2, 2024, to enforce the same ruling it had appealed.

However, KCM argued that neither the ruling approving the scheme nor the enforcement order specified an exact amount payable to CEC.

KCM stated that on March 10, 2025, CEC, through its legal representatives, issued a demand letter for US$11,843,871.45, which was followed by the filing of a writ of fieri facias on March 17.

The sheriff of Zambia subsequently executed the writ and seized KCM’s assets based on that amount.

However, KCM argued that this figure was self-assessed by CEC and not agreed upon by both parties.

KCM maintained that under the interim 35 person payment arrangement for Class 2 creditors, CEC is entitled to US$10,363,387.52,based on its admitted claim of US$29,609,678.63, not the US$11.8 million claimed.

The company argued that final payments to Class 2 creditors are contingent on the liquidation of Class 1 creditor claims, which are still ongoing due to pending adjudications and litigation.

KCM revealed that no Class 2 creditor has received 40 percent of their claim, and that the final payment percentage was yet to be determined.

Sampa contended that the amount endorsed on the writ by CEC has no basis in the scheme of arrangement and that the writ should be set aside for irregularity.

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