High Court revokes suspension of Phoenix Botswana

Staff Writer | Friday July 21, 2017 15:33

In an order granted last Friday, Justice Leatile  Dambe set aside NBFIRA’s  July 06 decision to freeze Phoenix’s business, allowing the general insurance company to continue writing new business, but only on condition that all transactions are approved by the regulator.

‘It is ordered  that the operation of notice of temporary closure is hereby suspended until  5th of September, 2017 on condition that  Phoenix shall notify the regulator when new business is made. All transactions out of the business accounts  of the  company  shall  be subject to approval  by the NBFIRA,” reads the order, which was granted after Phoenix challenged NBFIRA’s  ban.

Justice Dambe also ordered Phoenix to submit its audited accounts for the period ending December 31, 2016 to NBFIRA by July 27, 2017 with the insurance firm allowed to continue with the process of recruiting adequate personnel. The two parties are to also agree on the issue of recapitalisation of the company, after the insurance company submits its  financial accounts .

NBFIRA had  frozen the insurance company from taking new clients or issue new insurance cover over non-compliance.

The regulator has also suspended two medical insurance companies from issuing new business over compliance matters.