The High Court in Zomba on Friday removed an injunction it granted to Chitakale Plantations Company Limited to stop its winding up.
The High Courtâ€™s Commercial Division in Blantyre failed to hear a petition for the winding up of the company recently after the High Court in Zomba granted the injunction.
Mary Woodworth and Lisineti Gremu petitioned the Commercial Court following the companyâ€™s inability to pay its debt, but lawyer for the company obtained the order at the High Court in Zomba and served it on the Commercial Court to stop the proceedings.
On Friday, Judge Godfrey Mwase removed the injunction after hearing arguments from a lawyer representing the company, Lusungu Gondwe, and another lawyer representing the two women, Patrick Mpaka.
The matter is coming before the Commercial Court this Monday for hearing of the petition to wind up the company, which the company would challenge.
Chitakale Plantations failed to pay the two women K21 million in legal fees and compensation after it lost a case against the petitioners over land.
Judge John Katsala of the Commercial Court, making a ruling recently after hearing arguments from both sides on whether to ignore the Zomba court order and proceed with the case or not, said the situation the court faced was an order which on the face of it was erroneous because it contravened the laws of this country.
Katsala referred the two lawyers back to the High Court in Zomba to sort out the injunction issue, which the court removed on Friday.