Property belonging to the now defunct Royal Bank, which was placed under liquidation at the beginning of the year will this week be auctioned in Harare and Bulawayo to recover creditor’s funds.
The bank owes its creditors $3,7 million.
According to a notice issued by Hammer and Tongues Auctioneers, the bank’s assets that include vehicles, equipment, household and office furniture will go under thee hammer on Friday and Saturday in the two cities.
“Duly instructed by Tudor House Consultants (Pvt) Ltd, the liquidators of Royal Bank Zimbabwe Limited under liquidation will sell the following assets by auction. Ford ranger pickup, Mazda B1800, Isuzu KB double cab, generator, four plate stove, dining room suites, television sets, Chubb money safes, computer sets…,’ read one of the notices.
Royal Bank was placed under provisional liquidation on February 20 after it surrendered its operating licence to the Reserve Bank of Zimbabwe when it failed to secure new investors.
As at June 30, 2012, Royal Bank was heavily undercapitalised with a core capital of $1,850 million, which fell far short of the minimum regulatory capital requirement of $12,5 million for commercial banks at the time.
The monetary authorities have since raised the minimum capital requirements for commercial banks to $100 million by year 2020.