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Oliver Kazunga Senior Business Reporter
AUCTIONING of Royal Bank assets, which is under liquidation, will be conducted in Bulawayo on Saturday with viewing of the items already in progress. The financial institution was placed under provisional liquidation in February this year after it surrendered its licence when it failed to secure new investors.

In July 2015, Royal Bank directors resolved to surrender the financial institution’s operating licence following the deterioration of its financial position.

Viewing of the bank’s property comprising vehicles, household and office furniture and equipment is being held at Hammer & Tongues Auctioneers’ premises in Bulawayo.

“Duly instructed by Tudor House Consultants, the liquidators of Royal Bank Zimbabwe Limited under liquidation,we will sell the following assets by auction that include Ford ranger pick-up, Mazda pick up, Isuzu KB double cab, generator, four plate stove, dining room suites, television sets, computer sets, printers, photocopiers, swivel chairs, and visitors chairs,” said Hammer & Tongues in a notice.

Viewing of the vehicles and general goods requires a deposit of $1,000 and $200 respectively. Royal Bank, which was one of the commercial banks in the country, was placed under curatorship in 2004 after it was determined that the bank was facing chronic liquidity challenges and was bankrupt.

Its assets were sold to then the Zimbabwe Allied Banking Group (ZABG) in January 2005 after it was determined that it was the most appropriate solution compared to an outright liquidation of the bank. ZABG was then an amalgamation of three failed banks — Trust, Royal and Barbican.

And when the three banks fought for the return of assets, RBZ unbundled ZABG in 2010 into four institutions — Trust, Royal, Barbican and ZABG, Royal resumed operations in 2011.

It was again placed under curatorship in 2012 due to weak capitalisation, poor corporate governance practices and non performing insider loans.