The Windhoek High Court on Thursday postponed its ruling in a matter in which Trustco Bank is challenging the Bank of Namibia’s (BoN) decision to suspend its operations for a period of six months.
The ruling, which was initially set down for Thursday morning, was postponed by presiding judge, Boas Usiku, who said that judgement will only be ready on 29 September 2023.
Trustco Group Holdings approached the high court, seeking an urgent interdict preventing BoN from implementing a decision it took on 18 August to suspend Trustco Bank.
Trustco Group Holdings’ Managing Director, Quinton van Rooyen, wants an urgent interdict order, pending the review application, which seeks to set aside the suspension. According to him, the BoN’s decision is unlawful, unreasonable, unfair and irrational, while also undermining the Constitution and principles of natural justice.
“The suspension is the latest act in a string of BoN’s recent actions that are aimed at, and will lead to, the demise of Trustco Bank. BoN’s earlier actions include a directive issued by it under section 56(2) of the Banking Act on 25 July 2022 and an application for the winding up of Trustco Bank, which is opposed by Trustco Bank, (‘the Liquidation’),” Van Rooyen said.
The suspension, he reiterated, will unduly prejudice thousands of members of the public.
Johaness !Gawaxab, Governor of BoN, in response, argues that Trustco’s application is fatally flawed, in that it is not urgent, and has no prospects of success.
“The suspension decision is, by its nature, not final and is incapable of having direct, external legal effect. It follows that the applicants’ review of the suspension decision is fatally defective. The interdicting of the suspension decision would also undermine public trust in the financial system and erode the public’s confidence in the government’s ability to uphold the law and protect the public interest,”!Gawaxab argued.
Source: The Namibia Press Agency