Yanga given ultimatum to pay debt

YAfricans club house which was supposed to be auctioned today. The club management has entered negotiations with the government on how to pay the debt progressively. PHOTO | FILE

Dar es Salaam. Tanzania mainland champions, Young Africans have been given three months to settle the land rent debt to the Ministry of Lands, Housing and Urban Development. The team owe the ministry Sh360 million of unpaid bills.

Yanga fans and team members were shocked when news broke this week about the intentions of the government to auction Yanga’s club house to recover the debta accrued for over two decades. The news come as the team is in preparation to play crucial Charity shield encounter against their main rivals, Simba SC.

Speaking yesterday Mr Denis Masami who is in charge of Land Rent and records of the Ministry of Lands, said they have agreed with the club management and signed contract to pay the amount within progressively. He declined to go into details.

“The Young Africans club house would not be auctioned as earlier planned. I cannot go into details of the contract, but we have agreed that the bills should be paid in full in the next three months” said Mr Masami.

Young Africans secretary general, Charles Boniface Mkwasa said the club accumulated the land rent following endless conflicts that made it difficult. According to Mkwasa, the club is supposed to pay Sh56.6 million annually as land rent. Mr Mkwasa said once negotiations with the government are concluded details of the agreement will be made public.

However, the former club and national soccer team midfielder said one of the proposal that they have fronted to the government is to be allowed to pay the rent through gate collections.

“We want pay the land rent fee through gate collections. This is because it is currently is very difficult to pay the money because of the fact that the club has no sure source of income,” he said.

According to Mr Mkwasa, the club is ready to allow the Tanzania Mainland Premier League Board to deduct 25 percent of gate collections and remit it to the government to recover the rent.

“Of course we are looking for other sources of income to be able to pay the rent as our aiming is to settle the amount as soon as possible. We believe our plan will help the club fulfil its duties of contributing to government revenue for national development,” said Mkwasa.