BH loses bid to halt N$137m execution sale

By: Yanna Smith

Prominent Namibian businessman Benjamin “BH” Hauwanga has failed in his urgent High Court bid to halt a judicial auction of his business assets, following a summary judgment of over N$137 million granted against him, his wife Mirjam, and five of their corporate entities in favour of Bank Windhoek.

In an order delivered in the Windhoek High Court, Judge Lotta Ambunda struck the urgent application from the court roll, ruling that Hauwanga and his co-applicants failed to meet the procedural requirements to have the matter heard on an urgent basis.

The application sought an interim interdict to stop Bank Windhoek and the Deputy Sheriff for the Oshana Region from proceeding with the public auction, scheduled for Thursday, 29 October, at Oshakati. Assets set to go under the hammer to recover the debt include six trucks, two tractors, workshop equipment, vehicle components, tools, and office furniture.

The co-applicants in the matter include Mirjam Summan Hauwanga and five entities in the Hauwanga group: BH Spares and Accessories Equipment and Technologies, BH Properties, Bennie’s Entertainment Park and Lodge, BH Construction and Mining Angola, and Magnum Centre.

Background to the Legal Dispute

The impending auction stems from a default summary judgment granted on 2 July this year by Judge Beatrix de Jager, ordering Hauwanga, his wife, and their corporate entities jointly and severally to pay Bank Windhoek N$137 029,945 80.

In his founding affidavit, Hauwanga contended that the N$137 million judgment was “erroneously sought and erroneously granted” in their absence, in violation of their right to a fair trial under Article 12 of the Namibian Constitution. According to court filings, Hauwanga’s former legal counsel, Hamunyela & Company Inc., withdrew just 48 hours prior to the 2 July hearing following an irreconcilable breakdown in their attorney-client relationship. Despite a status report requesting time to appoint new legal representation, the court proceeded to issue the monetary order.

According to court papers, the underlying debt originated from a loan facility utilised for mining operations along the Kambembeya River in Angola’s Kuito Bié Province. Hauwanga asserted that his businesses possess bona fide defences against Bank Windhoek’s claim, citing a catastrophic flood event at the end of 2024.

The flood submerged heavy equipment, disabled industrial pumps and motors, and forced an 18-month operational relocation to higher ground, resulting in direct losses of approximately N$20 million and crippling the cash flow required to service the debt.

Additionally, Hauwanga disputed the bank’s total balance calculations, demanding a full audit and reconciliation of the loan account.

Hauwanga argued that allowing the auction to proceed prior to the rescission hearing would strip his enterprises of essential tools of trade, inflict irreversible prejudice by selling assets below market value, and cause an operational collapse in violation of their constitutional right to carry on trade.

With Judge Ambunda striking the matter off the roll for lack of urgency, Bank Windhoek and the Deputy Sheriff remain legally clear to proceed with the execution sale.

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