Case Law[2025] ZAKZDHC 74South Africa
Williams N.O and Another v Zikhulise Group (Pty) Ltd and Others (10849/2018) [2025] ZAKZDHC 74 (12 June 2025)
Headnotes
in contempt of the Court Order.
Judgment
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# South Africa: Kwazulu-Natal High Court, Durban
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## Williams N.O and Another v Zikhulise Group (Pty) Ltd and Others (10849/2018) [2025] ZAKZDHC 74 (12 June 2025)
Williams N.O and Another v Zikhulise Group (Pty) Ltd and Others (10849/2018) [2025] ZAKZDHC 74 (12 June 2025)
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sino date 12 June 2025
SAFLII
Note:
Certain
personal/private details of parties or witnesses have been
redacted from this document in compliance with the law
and
SAFLII
Policy
IN
THE HIGH COURT OF SOUTH AFRICA
KWAZULU-NATAL
LOCAL
DIVISION,
DURBAN
Case
no.: 10849/2018
In
the matter between:
SHAWN
WILLIAMS N.O.
First Applicant
TEBOGO
MORITIDI EUSTANCE KWAPE N.O.
Second Applicant
and
ZIKHULISE
GROUP (PTY) LTD
First Respondent
MABONG
FLORA-JUNIOR MKHIZE
Second Respondent
JOHN
WYLES
Third Respondent
JOHN
WYLES N.O.
Fourth Respondent
MARY
ANNE ALLAN WYLES N.O.
Fifth Respondent
WELCOME
SENZENI N.O.
Sixth Respondent
EUNICE
MSELESKU N.O.
Seventh Respondent
In
Re
:
ZIKHULISE
GROUP (PTY) LTD
Applicant
and
JOHN
WYLES
First Respondent
JOHN
WYLES N.O.
Second Respondent
MARY
ANNE ALLAN WYLES N.O.
Third Respondent
WELCOME
SENZENI N.O.
Fourth Respondent
EUNICE
MSELESKU N.O.
Fifth Respondent
PIETER
HENK STRYDOM N.O.
Sixth Respondent
TSHIFHIWA
PERSEVERANCE MUDZUSI N.O.
Seventh Respondent
SHAWN
WILLIAMS.O.
Eighth Respondent
TEBOGO
MORITIDI EUSTANCE KWAPE N.O.
Nineth Respondent
ORDER
The
following orders are granted:
1.
ZIKHULISE GROUP (PTY) LTD and MABONG FLORA-JUNIOR MKHIZE are declared
to be in contempt of the
Order granted by this Court on 3 May 2019
(“the Court Order”).
2.
MABONG FLORA-JUNIOR MKHIZE is directed to take all the necessary
steps to ensure that ZIKHULISE
GROUP (PTY) LTD complies with
paragraphs 3.1.6, 3.1.10, 3.1.12, 3.1.13, 3.1.14, 3.1.15 and 3.1.16
of the Court Order forthwith.
3.
In the event that ZIKHULISE GROUP (PTY) LTD and MABONG FLORA-JUNIOR
MKHIZE fail to comply with
the order in paragraph 2 above, the
applicants are granted leave to supplement their papers, in so far as
it may be necessary,
to seek orders committing MABONG FLORA-JUNIOR
MKHIZE to a period of imprisonment and/or imposing a fine on
ZIKHULISE GROUP (PTY)
LTD and MABONG FLORA-JUNIOR MKHIZE, and/or any
such other sanction that this Court deems appropriate, on notice to
ZIKHULISE GROUP
(PTY) LTD and MABONG FLORA-JUNIOR MKHIZE.
4.
The costs of this application be paid by ZIKHULISE GROUP (PTY) LTD
and MABONG FLORA-JUNIOR MKHIZE
jointly and severally, the one paying,
the other to be absolved, such costs to be on an attorney and client
scale and to include
the costs of two Counsel where employed.
JUDGMENT
BRAMDHEW
AJ
[1]
The applicants seek orders holding the first and second respondents
in
contempt of a court order.
[2]
The relief sought in the Notice of Motion is:
“
1.
The first and second respondents are declared to be in
contempt of paragraphs 1, 2, 3.1.1, 3.1.3, 3.1.4, 3.1.6, 3.1.7 to
3.1.16,
and 4 of the court order dated 3 May 2019 under the
abovementioned case number;
2.
Imposing a fine, such as deemed appropriate by this Honourable
Court, on the first and second respondents, jointly and severally;
and/or
3.
Imposing a period of imprisonment, such as deemed appropriate
by the above Honourable Court, on the second respondent, suspended
on
conditions deemed appropriate by this Honourable Court (if the Court
so deems suspension appropriate); and/or
4.
Directing the first and second respondents to bear the costs of
this application, jointly and severally, on an attorney and client
scale
.”
[3]
The issues for determination are:
a.
Whether the first respondent, Zikhulise Group (Pty Ltd), is in
contempt of the court order.
b.
Whether the second respondent, Ms Mkhize, who was not a party to the
application wherein the Court Order
was granted, can be held in
contempt of the Court Order.
c.
The form of the relief sought by the applicants.
[4]
For convenience, the relevant parties in this application are
referred
to as follows:
a.
The first applicant as "
Mr Williams
"
b.
The first and second applicants as “
the applicants
”
or “
the liquidators”
c.
The first respondent as "
ZG
"
d.
The second respondent as "
Ms Mkhize
"
e.
Zikhulise Cleaning Maintenance and Transport CC as "
ZCMT
"
f.
Cloete Murray as "
Mr Murray
"
g.
Faber Goertz Ellis Austen Inc as "
FGEA
"
h.
Ian Wyles as “
Mr Wyles
”
[5]
This matter has a long history. The relevant facts and timeline
have been compiled from the voluminous correspondence annexed
primarily to the applicants’ affidavits. Only the
material
background facts pertinent to the determination of the
current application will be summarised.
[6]
The applicants are the liquidators of ZCMT. Ms Mkhize was
the sole
member of ZCMT and is the sole director of ZG.
[7]
SARS obtained a preservation order in terms of
section 163
of the
Tax
Administration Act, 2011
against ZCMT on 11 November 2017, and a
final order was granted on 23 January 2018. Mr Strydom and Mr Mudzusi
were initially appointed
as joint curators
bonis
, and Mr
Murray replaced them as curator
bonis
on 20 November
2018.
[8]
A similar preservation order was granted on 23 November
2016 against
Ms Mkhize (formerly Mpisane), her ex-husband, and ZG. Mr Murray
replaced Mr Strydom and Mr Mudzusi as curator
bonis
on 27
February 2019.
[9]
ZCMT was provisionally liquidated on 22 August 2017 and finally
wound
up on 16 October 2020. Mr Williams and Mr Kwape were appointed as
joint liquidators. The liquidators were initially
represented
by attorneys Kern & Partners. Thereafter, they have been
represented by GMI Attorneys.
[10]
In November 2017, Ms Mkhize identified vehicles belonging to ZCMT and
pointed these out to Mr Williams in Umlazi and surrounding areas. Ms
Faber of FGEA (the attorneys ZG and Ms Mkhize at the time)
also
provided a list of vehicles owned by ZCMT. Based on the
information provided, Mr Williams caused valuations of the vehicles
to be obtained.
[11]
On 28 May 2018, at a meeting at FGEA, Ms Mkhize consented to ZG
renting
ZCMT’s vehicles. She was to indicate which vehicles
would be used as she advised that not all the vehicles would be
required
by ZG. The vehicles that would not be used by ZG would
be delivered to the applicants.
[12]
On 1 June 2018, Iyesha Gaffoor (ZG’s employee) provided details
of one
vehicle to exclude, however, it is alleged that the
liquidators indicated that insufficient particularity was provided in
order
for a proper identification to be made.
[13]
On 27 June 2018, Kern & Partners prepared a Memorandum of
Agreement
(“the lease agreement”) for the vehicles which
was to be concluded by the applicants (as liquidators of ZCMT), ZG
and
Ms Mkhize. 22 vehicles were listed in the schedule annexed
to the lease agreement.
[14]
However, on 30 July 2018, Mr Strydom (as curator
bonis
of ZCMT
and ZG) indicated that it would be best for ZG to purchase the
vehicles instead of renting them.
[15]
On 14 August 2018, Mr Strydom confirmed the vehicles belonged to
ZCMT.
[16]
However, on 12 September 2018, Mr Kern (of Kern & Partners)
confirmed
that 24 vehicles used by ZG would be removed by the
liquidators, by agreement between the liquidators and the curators
bonis
. This decision was based on the following:
a.
In November 2017, Mr Williams and Ms Mkhize met in Durban and Ms
Mkhize confirmed that the identified
vehicles belonged to ZCMT;
b.
Mr Williams, thereafter, obtained sworn valuations of the vehicles;
c.
At a meeting on 17 May 2018, Ms Faber and Ms Mkhize undertook to
consider the rental agreement proposal;
d.
On 28 May 2018, Ms Mkhize consented to ZG renting vehicles from ZCMT,
however indicated that not all
the vehicles would be required by ZG
and undertook to revert on which vehicles should be excluded from the
rental agreement;
e.
On 1 June 2018, Iyesha Gaffoor provided details of a vehicle to be
excluded from the rental agreement,
however, the description lacked
sufficient particularly to properly identify the vehicle;
f.
On 4 June 2018, Mr Strydom indicated that he had received no further
feedback from Ms Faber
or Ms Mkhize;
g.
On 8 June 2018, Mr Strydom indicated that he had doubts regarding
ownership of the vehicles;
h.
On 20 June, Kern & Partners notified Ms Faber that they were
still awaiting details of vehicles to
be excluded from the lease
agreement;
i.
This was provided by Mrs Faber on 3 July 2018;
j.
At a meeting on 30 July 2018, Mr Strydom indicated that the curators
bonis
preferred to purchase the vehicles as opposed to renting
them. Ms Mkhize telephonically consented to this;
k.
On 14 August 2018, the curators sought the written consent from Ms
Mkhize in order to request the Master’s
authority to sell the
vehicles;
l.
Despite numerous requests, Ms Mkhize’s consent was not
forthcoming.
[17]
On 12 September 2018, Mr Williams provided Mr Wyles, of Ian Wyles
Auctioneers, a
list of vehicles to remove.
[18]
On 14 September 2018, the curators
bonis
of ZCMT and ZG
confirmed that they had no objection to the removal of the vehicles.
[19]
On 17 September 2018, Ms Mkhize raised ownership concerns with Mr
Wyles.
She undertook to provide a spreadsheet with correct asset
details.
[20]
On 18 September 2018, Kern & Partners addressed a letter to FGEA
outlining the sequence of consent and ownership acknowledgments by Ms
Mkhize as follows:
a.
Vehicles were identified to Mr Williams by Ms Mkhize in November
2017;
b.
The very same vehicles were valued and valuations sent to Ms Mkhize
without any issues being raised by
the latter;
c.
On 28 May 2018, Ms Mkhize consented to the rental of the vehicles
from ZCMT;
d.
The details of the vehicles were confirmed in the lease agreement
sent to FGEA on 20 June 2018, without
any issue being raised about
ownership;
e.
On 30 July 2018, Ms Mkhize consented to the purchase and sale of the
vehicles, without any ownership
issues being raised;
f.
The curators
bonis
of ZCMT consented to the vehicles being
uplifted and therefore a request was made for the location of the
vehicles.
[21]
On 19 September 2018, Mr Wyles addressed an email to Ms Mkhize
requesting
a meeting in order to identify the vehicles for
upliftment.
[22]
On 19 September 2018, Maharaj Attorneys, representing ZG, requested
an undertaking that no vehicles would be uplifted. Mr Wyles indicated
that he could not provide such undertaking as he acted on
the
instructions of the liquidators and advised that correspondence
should be directed to the liquidators.
[23]
Without such correspondence, ZG then launched an urgent application
(“the urgent application”) to interdict the upliftment of
vehicles. Ms Mkhize was not cited as an applicant in
the
proceedings, however, she deposed to the founding affidavit in
support of the application.
[24]
The liquidators (as eighth and ninth respondents) opposed and
delivered
a counter-application for delivery of the vehicles. SARS
also intervened.
[25]
The urgent application was heard on 3 May 2019. The Court dismissed
the application with costs and granted the counter-application,
ordering ZG to deliver 18 specifically identified vehicles within
five days.
[26]
The Court Order read as follows:
“
1.
The applicants’ application for relief set out in its
notice of motion dated 21 September 2018 is dismissed with costs;
2.
The applicant is ordered to pay the respondents’ and the
intervening party’s costs of opposition including the costs
of
the application to intervene, and including the costs of two counsel
where so employed;
3.
The eighth and nineth respondents’ counter-application
succeeds and the following order is granted.
3.1.
The
applicant is ordered to deliver to the eighth and ninth respondents
at their nominated address, within 5 (FIVE) days from the
granting of
this order, the following vehicles listed in the applicant's notice
of motion dated 21
st
September 2018:
3.1.1.
2014 HYUNDAI F/C C/C
VIN K[...]
REG NO: 4[...]
3.1.2.
2014 HYUNDAI H72 F/C C/C
VIN: K[...]
REG: N[...] 4[...]
3.1.3.
2013 NEW HOLLAND L215 LOADER SKIDSTER
VIN J[...]
3.1.4.
2014 HYUNDAI H72 F/C C/C
VIN: K[...]
REG: N[...] 4[...]
3.1.5.
2014 HYUNDAI H72 F/C C/C
VIN: K[...]
REG: N[...] 2[...]
3.1.6.
2014 HYUNDAI H72 F/C
VIN: K[...]
REG: 2[...]
3.1.7.
2013 NEW HOLLAND L215 LOADER SKIDSTER
VIN J[...]
3.1.8.
2007 JCD 1CX SKIDSTER LOADER
VIN: J[...]
3.1.9.
2013 HYUNDAI H72 F/C C/C
…
.R[...] REG:
N[...] 4[...]
[illegible on Court
Order]
3.1.10.
2014 HYUNDAI H72 F/C C/C
VIN: K[...]
REG: N[...] 4[...]
3.1.11.
2014 HYUNDAI H940S BACKHOE LOADER
VIN: H[...]
REG: N[...] 7[...]
3.1.12.
2014 HYUNDAI H940S BACKHOE LOADER
VIN: H[...]
REG: N[...] 7[...]
3.1.13.
2014 HYUNDAI H72 F/C C/C
VIN: K[...] REG:
N[...] 2[...]
3.1.14.
2013 HYUNDAI H72 F/C C/C
VIN: K[...]
REG: N[...] 4[...]
3.1.15.
DYNAPAC CA271D SINGLE DRUM VIBRATING ROLLER
VIN: L[...]
3.1.16.
SUMITOM H210 EXCAVATOR
VIN: S[...]
3.1.17.
2014 HYUNDAI H72
VIN: K[...]
REG: N[...] 2[...]
3.1.18.
2014 HYUNDAI H72
VIN; K[...]
REG: N[...] 1[...]
4.
The applicant is ordered to pay the respondents and the
intervening party's costs of the counter-application including the
costs
of two Counsel where so employed.”
(the “
Court
Order
”)
[27]
Importantly, the vehicles ordered to be delivered by ZG were some of
the vehicles
listed in its own notice of motion in the urgent
application.
[28]
In Ms
Mkhize’s founding affidavit in the urgent application
[1]
,
she confirmed that the vehicles listed in urgent application are the
vehicles that were subject to discussions relating to the
rental,
sale and valuation.
[29]
Ms Mkhize
further stated
[2]
that: “
The
Corporation has ceased trading and the vehicles will not be used in
any gainful manner save for the use by the Applicant as
has been the
case for the past two years
”.
It is apparent from the context that ‘The Corporation’
refers to ZCMT.
[30]
ZG applied for leave to appeal. The application was refused.
[31]
Despite the liquidators’ attorneys making follow up
investigations,
FGEA and Ms Mkhize did not provide the vehicles’
location. The vehicles were not returned as ordered.
[32]
On 6 September 2021, during an enquiry attended by Ms Mkhize and Ms
Faber, the liquidators again requested information about the
vehicles. Emails followed on 6 and 9 September 2021, on 8 April 2022
and on 11 August 2022, with responses on 9 and 10 September 2021, on
8 April 2022, and on 11 August 2022, all with promises by
Ms Faber to
revert.
[33]
On 26 October 2022, Mr Wyles emailed Ms Mkhize indicating that some
vehicles
were unaccounted for.
[34]
A follow-up email was sent to Ms Faber on 24 November 2022. On 24
November
2022, Ms Faber indicated that she advised her clients of the
requests and will follow up and revert shortly.
[35]
The contempt application was issued on 14 December 2022. It was
served on Ms Faber, who on 16 January 2023 confirmed receipt and
advised that she had forwarded the application to Ms Mkhize.
[36]
On 30 January 2023, Ms Faber indicated that she had not received
instructions
to oppose the contempt application and would forward Ms
Mkhize’s current address once obtained.
[37]
On 2 March 2023, Ms Mkhize’s personal assistant indicated that
Ms Mkhize said that the application could be served at an address in
La Lucia and that Ms Mkhize could also be located at two addresses
in
Sandown, Johannesburg.
[38]
What followed were numerous attempts to serve the contempt
application
on Ms Mkhize. Service was initially attempted on
security guards at the Sandown addresses. Further attempts were made,
but
the security personnel at the properties had been instructed not
to accept service.
[39]
On 18 August 2023, an attempt was made to serve the contempt
application
at a soccer match. The sheriff was unable to
approach Ms Mkhize as she was surrounded by security guards.
[40]
Thereafter, an order for substituted service was granted by this
Court authorising
service on the respondents by service on Ms Mkhize
at an enquiry she was to attend. The contempt application was
served on
Ms Mkhize on 15 September 2023.
[41]
On 24 April 2024, BDP Attorneys (representing for ZG and Ms Mkhize)
addressed a letter to the applicants indicating that the vehicles
were never in their possession and had been stored and left at
sites
where they were utilised. The letter further records that the
location of as many vehicles as possible have been tracked
and a
report Automotive Rehab (Pty) Ltd was attached. The report
attached to the letter does not mention the location of
any of the
pictured vehicles.
[42]
On 26 April 2024, BDP Attorneys indicated that their clients were
willing to make delivery of the vehicles and that these vehicles were
available for collection and that Mr Cloete refused to collect
them
due to them being ‘non-runners’.
[43]
On 17 May 2024, the applicants denied the allegation that the
vehicles were always available for collection, and it was stated that
even non-runners were to be removed, however, that the respondents
have previously prevented the liquidators from doing so by removing
assets, and by employing heavily armed security guards and
preventing
access to premises.
[44]
At the time of preparing the founding affidavit in the contempt
application,
4 vehicles were recovered, sold and the proceeds
received by the liquidators. These were the vehicles listed in
paragraphs 3.1.2,
3.1.5, 3.1.17 and 3.1.18 of the Court Order.
[45]
Thereafter, the vehicles listed in 3.1.1, 3.1.3, 3.1.4, 3.1.7, 3.1.8,
3.1.9 and 3.1.11 were delivered to the applicants during June 2024.
According to the applicants, the other seven vehicles
(3.1.6, 3.1.10,
3.1.12, 3.1.13, 3.1.14, 3.1.15 and 3.1.16) remain outstanding.
[46]
According to a schedule provided by the respondents, five vehicles
remain outstanding (3.1.1, 3.1.13, 3.1.14, 3.1.15 and 3.1.16).
[47]
It appears common cause between the parties that, at the very least,
the vehicles listed at 3.1.13, 3.1.14, 3.1.15 and 3.1.16 remain
outstanding.
[48]
The above chronology sets the context for the determination of
the
contempt application against ZG and Ms Mkhize.
Whether
Zikhulise Group (Pty Ltd) is in contempt of the court order
[49]
In
Fakie NO v CCII Systems
(Pty) Ltd 2006 (4) 326 (SCA) at
paragraph 41 the Court stated:
“
Finally, as
pointed out earlier (para 23), this development of the common law not
require the applicant to lead evidence as to the
respondent’s
state of mind or motive: once the applicant proves the three
requisites (order, service and non-compliance),
unless the respondent
provides evidence raising a reasonable doubt as to whether
non-compliance was wilful and mala fide, the requisite
contempt will
have been established. The sole change is that the respondent no
longer bears a legal burden to disprove wilfulness
and mala fides on
a balance of probabilities but need only lead evidence that
establishes a reasonable doubt.
'
[50]
The Court further stated at paragraph 42 that:
“
(4) But once
the applicant has proved the order, service or notice, and
non-compliance, the respondent bears an evidential burden
in relation
to wilfulness and mala fides:
should the respondent fail to
advance evidence that establishes a reasonable doubt as to whether
non-compliance was wilful and mala
fide, contempt will have been
established beyond reasonable doubt
.
” (my
underlining)
[51]
Accordingly, the applicants must prove the following beyond a
reasonable doubt:
a.
The existence of a court order;
b.
Service or notice of the order on the respondents;
c.
Non-compliance with the order; and
d.
Wilfulness and
mala fides
in the non-compliance.
[52]
Once the first three elements are established, the evidentiary burden
shifts
to the respondent in relation to wilfulness and
mala fides
.
[53]
The existence of a court order is not denied and cannot be denied.
This
is further born of the fact that ZG applied for leave to appeal,
which was refused. ZG and Ms Mkhize accept that there has
not
been full compliance with the order as some vehicles have not been
returned, however, contend that it cannot be returned.
[54]
Accordingly, the applicants have proved the first three elements
beyond a
reasonable doubt.
[55]
The evidentiary burden then shifts to ZG to deal with wilfulness
and
mala fides
.
[56]
I now turn to deal with the defences raised by ZG and Ms Mkhize in
the
answering affidavit, summarised as follows:
a.
ZG has returned every vehicle possible and that it is not factually
possible to return any other vehicle.
b.
a few of the vehicles did not belong to ZCMT and she required more
time to ascertain which vehicles could
be delivered.
c.
the curators
bonis
were appointed in 2016 and were empowered
to effect the sale and purchase of the vehicles provided and had
control over the vehicles.
d.
on 14 June 2024, 6 vehicles had been delivered – this was after
the institution of the contempt
proceedings.
e.
she gave consent for the vehicles to be sold, that her written
consent was requested for the sale and
purchase of the vehicles and
that Strydom was empowered by the Preservation Order to effect the
sale and purchase of the vehicles
as the rights, title and interest
of all assets vested in the curators.
f.
the urgent application arose out of the applicants’ failure to
provide an undertaking
that the vehicles would not be removed as
vehicles belonged to ZG and Ms Mkhize and not ZCMT.
g.
the remaining vehicles cannot be located, despite a diligent search
and they could have been recovered
by the curators
bonis
or
the liquidators as far back as 2018.
h.
various entities within the group hold assets which were managed and
overseen by a fleet manager and
his current whereabouts are unknown.
i.
the order provided ZG pay the costs of the urgent application and the
counter-application
and orders
ad solvendum pecumiam
are not
competent for contempt proceedings.
j.
Ms Mkhize was not a party to the proceedings wherein the Court Order
was granted and she,
therefore, cannot be held in contempt of court
of such an order.
[57]
I deal first with what is contained in (a) – (h) above.
[58]
It is evident from the chronology that ZG and Ms Mkhize were afforded
multiple opportunities to dispute the ownership of the vehicles. Yet,
they failed to do so meaningfully. There is no indication
of
how much additional time was needed to verify ownership, nor is there
any explanation as to why such verification was not pursued
earlier.
[59]
The Automotive Rehab (Pty) Ltd report is dated 19 April 2024 - after
the contempt proceedings were instituted. Even accepting, for
the sake of argument, Ms Mkhize’s allegation that she
had no
knowledge of the whereabouts of the vehicles, there is no indication
that any prior efforts were made to locate them.
[60]
The letter dated 24 April 2024, annexed to the answering
affidavit,
merely states that “
The Vehicles have, at all material
times, been stored and left at the sites where they were utilised
”.
This assertion provides no assistance. Importantly, the respondents
fail to explain why this information was not
communicated to the
applicants at a much earlier stage.
[61]
The respondents’ allegation that the curators
bonis
were
entitled to remove the vehicles also does not provide any
assistance. There is no answer to the allegations made by
the
applicants that they were deprived of knowledge of the whereabouts of
the vehicles or prevented access to premises to search
for vehicles.
[62]
There is no
detail regarding any steps taken to locate the outstanding vehicles.
In the answering affidavit to the contempt application,
Ms Mkhize
merely states that “
The
various entities within the group hold assets which were managed and
overseen by a fleet manager and his current whereabouts
are
unknown
[3]
”.
This bare allegation is inadequate. No attempt is made to identify
the fleet manager, outline the efforts undertaken to
trace him, or to
establish what information he might have regarding the vehicles. Nor
is there any indication that the respondents
attempted to investigate
the assets belonging to ZCMT.
[63]
With regard to (i) above, the contention that the applicants seek to
hold ZG in contempt for failing to comply with an order
ad
solvendum pecuniam
is incorrect. Whilst the applicants
initially sought compliance with the order made for costs in the
Court Order, the request
for that relief was subsequently withdrawn.
The applicants persist with the orders in relation to the delivery of
the vehicles
itemised in the Court Order, being an order
ad factum
praestandum.
Based on what has been set out in the
answering affidavit, the respondents would have opposed the relief
sought anyway, even if
it did not initially encompass the orders in
respect of payment of costs.
[64]
Given the scarce answer to the allegations raised by the applicant, I
cannot conclude that the respondents have discharged the evidentiary
burden in respect of wilfulness and
mala fides
. There is
no explanation for the failure to engage meaningfully with the
liquidators since 2018, nor for the non-compliance
with the Court
Order.
Whether
Ms Mkhize, not a party to the original application, can be held in
contempt of the Court Order
[65]
In
Twentieth
Century Fox Film Corporation & others v Playboy Films (Pty) Ltd &
another
1978 (3) SA 202
(W) at 203 A-E
[4]
,
the Court stated that:
'
A director of a
company who, with knowledge of an order of Court against the company,
causes the company to disobey the order is
himself guilty of a
contempt of Court. By his act or omission such a director aids and
abets the company to be in breach of the
order of Court against the
company. If it were not so a court would have difficulty in ensuring
that an order ad factum praestandum
against a company is enforced by
a punitive order, Vide Halsbury 4th ed vol 9 at 75. Consequently
Jagger who had knowledge of the
order of Court is guilty of a
contempt of an order of this Court. An order ad factum praestandum
against a company should also
be served on its directors if a
punitive order is to be sought against the directors in order to
establish knowledge of the order
of Court.
'
[66]
In
Höltz
v Douglas and Associates (OFS) CC en Andere
1991
(2) SA 797
(O),
it was held that a person who contributes to the offence of contempt
of a court order, can, without being a principal offender,
be
punished as an accomplice.
[67]
In
Pheko
and Others v Ekurhuleni Metropolitan Municipality (No 2)
(CCT19/11)
[2015] ZACC 10
;
2015 (5) SA 600
(CC);
2015 (6) BCLR 711
(CC) (7 May 2015) at paragraph 47, the Court referencing
Cape
Times Ltd v Union Trades Directories (Pty) Ltd and Others
1956
(1) SA 105
(N) (
Cape
Times
)
stated:
“
When a court
order is disobeyed, not only the person named or party to the suit
but all those who, with the knowledge of the order,
aid and abet the
disobedience or wilfully are party to the disobedience are liable.
The reason for extending the ambit of contempt
proceedings in this
manner is to prevent any attempt to defeat and obstruct the due
process of justice and safeguard its administration.
Differently put, the purpose is to ensure that no one may, with
impunity, wilfully get in the way of, or otherwise interfere with,
the due course of justice or bring the administration of justice into
disrepute.
”
[68]
It is clear that where an individual is the controlling mind of
a
juristic entity and has knowledge of a court order binding that
entity, such a person may be held personally liable for contempt
if
they are responsible for the non-compliance.
[69]
Ms Mkhize deposed to the founding affidavit in the urgent application
and the answering affidavit in the contempt application. She,
accordingly, had knowledge of the operations of ZG. In
the
meetings, as recorded in the correspondence, it is clear that the
legal representatives took instructions from Ms Mkhize.
In the
urgent application, Ms Mkhize confirmed that the vehicles she sought
to prevent from being uplifted were the vehicles that
were the
subject of the rental, sale and valuation. She further stated
that ZCMT has not been using the vehicles, and that
ZG had been using
them for the past two years.
[70]
The
only conclusion to be reached is that Ms Mkhize
exercised
sole control over ZG.
There
is no suggestion, in the answering affidavit or in argument, that
there was any other individual exercising control over or
acting on
behalf of ZG.
Ms
Mkhize must be regarded as the controlling mind of ZG.
[71]
Although the Court Order directed that ZG return the vehicles, its
only
means of compliance with the Court Order was through Ms Mkhize.
Her knowledge of the order and her exclusive control over ZG’s
conduct makes her personally responsible for ZG’s
non-compliance.
[72]
To accept the argument that she cannot be held in contempt because
she
was not cited in the original application is to allow the veil of
juristic or corporate personality to interfere with and hinder
the
administration of justice and the integrity of the Courts. Ms
Mkhize was responsible for every step taken by ZG as if
taken by
herself.
The
form of the relief sought by the applicants
[73]
When the matter was called, I addressed Counsel on the practice in
KwaZulu-Natal
for contempt of court applications, being that the
transgressor is afforded a further opportunity to comply with the
Court order.
[74]
Mr Leathern SC, for the applicants, contended that the conduct of the
respondents
meets the requirements of a contempt of court and that
all the papers have been exchanged making the matter ripe for final
determination.
[75]
The Court Order was granted on 3 May 2019. The contempt
application
was issued 14 December 2022. Only in June 2024, did
the respondents return some of the vehicles. Further, the reasons for
non-compliance with the Court Order are wholly insufficient.
[76]
Whilst I do not intend on imposing any sanction at this stage, I deem
it appropriate
to declare that the respondents are in contempt of the
Court Order. It seems a waste of judicial resources to issue an
interim
order in respect of the contempt application in circumstances
where all the papers have been exchanged, full argument has been
heard, and the matter is long ongoing.
[77]
Contempt of
court proceedings seek to vindicate the Court’s order, as well
as to compel performance with an order.
[5]
[78]
The respondents will be given a further opportunity to purge their
contempt,
failing which, the applicants may approach this Court for
an appropriate sanction.
Costs
[79]
In Union Government (Minister of Railways and Harbours) v Heiberg
1919 AD 477
at page 484, the Court said:
“
The ordinary
practice is, of course, that costs follow the event, but that is
subject to the general rule of our law that costs
- unless expressly
otherwise enacted - are in the discretion of the Judge,
Kruger Bros. v
Wasserman
(1918 AD 63).
”
[80]
Although the order that I grant differs from what is sought in the
applicants’
notice of motion, the applicants have nonetheless
succeeded in their application. Furthermore, the respondents
failed to
comply with the Court Order and only partially did so after
contempt proceedings were instituted.
[81]
Given the legal principles applicable and the nature of the
application,
I can see no reason why costs should not follow the
result and that costs be granted for the employment of two Counsel on
an attorney
and client scale.
Order
1.
ZIKHULISE GROUP (PTY) LTD and MABONG FLORA-JUNIOR MKHIZE are declared
to be in contempt of the Order
granted by this Court on 3 May 2019
(“the Court Order”).
2.
MABONG FLORA-JUNIOR MKHIZE is directed to take all the necessary
steps to ensure that ZIKHULISE GROUP
(PTY) LTD complies with
paragraphs 3.1.6, 3.1.10, 3.1.12, 3.1.13, 3.1.14, 3.1.15 and 3.1.16
of the Court Order forthwith.
3.
In the event that ZIKHULISE GROUP (PTY) LTD and MABONG FLORA-JUNIOR
MKHIZE fail to comply with the order
in paragraph 2 above, the
applicants are granted leave to supplement their papers, in so far as
it may be necessary, to seek orders
committing MABONG FLORA-JUNIOR
MKHIZE to a period of imprisonment and/or imposing a fine on
ZIKHULISE GROUP (PTY) LTD and MABONG
FLORA-JUNIOR MKHIZE, and/or any
such other sanction that this Court deems appropriate, on notice to
ZIKHULISE GROUP (PTY) LTD and
MABONG FLORA-JUNIOR MKHIZE.
4.
The costs of this application be paid by ZIKHULISE GROUP (PTY) LTD
and MABONG FLORA-JUNIOR MKHIZE jointly
and severally, the one paying,
the other to be absolved, such costs to be on an attorney and client
scale and to include the costs
of two Counsel where employed.
BRAMDHEW
AJ
Case
information
Heard on:
14 March 2025
Judgment delivered:
12 June 2025
For the applicants:
Mr Leathern SC and
Ms Martiz
(
Williams N.O. &
Kwape N.O.
):
Instructed by:
GMI Attorneys
GLMI House
Harlequins Office
Park
Groenkloof,
Pretoria
Ref:
RSHAMOUT/01922416
Email:
rshamout@gminc.co.za
/ pmorena@gminc.co.za / tmokaddan@gminc.co.za /
cbradley@gminc.co.za
For the
respondents:
Mr Braun
(
Zikhulise
Group (Pty) Ltd &
Mabong
Flora-Junior Mkhize
)
Instructed by:
BDP Attorneys
Tyger Valley
Chambers One
27 Willie van
Schoor Drive
Tyger Valley
Ref:
LDDP/EK
Email:
lyrique@bdplaw.co.za / sports@bdplaw.co.za
[1]
Annexure
“RA1a”, pages 375 – 376, Volume 4, Contempt of
Court Application
[2]
Annexure
“RA1a”, page 377, Volume 4, Contempt of Court
Application
[3]
Answering Affidavit, paragraph 78, page 275, Volume 3, Contempt of
Court Application
[4]
See
also Absa Bank Ltd v Transcon Plant and Civil CC and another [2019]
JOL 45135 (KZP)
[5]
Pheko and Others v Ekurhuleni Metropolitan Municipality (No 2) at
paragraph 28; In
Fakie
NO v CCII Systems
at paragraph 42
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