IEA clients urged to pay their debts |03 March 2021
Clients with unsettled debts with the Industrial Estates Authority (IEA) have been given a period of two months – from March 15, 2021 to May 17, 2021 – to settle their debts with the authority.
It was the chief executive of the authority, Roy Collie, who made the statement yesterday afternoon in a press conference held at the authority’s headquarters, Green Corner Building, Providence.
Mr Collie said that in total an estimated R10 million is owed to the authority by its lessees and it hopes to collect the money within the two-month period.
Clients in arrears with their payment include people or companies leasing land at Providence and Eve Island on Praslin and also people or companies in the small and medium-sized enterprises (SMEs) renting workshops or studios with the authority.
He further stated that most arrears go as far back as 2018 and probably 2017 and the clients had the options in their lease agreements to either pay on a yearly basis, on a six-month basis or monthly.
“We cannot accept that people have taken it upon themselves not to pay their lease during all this time, even if for two months, without advising the authority. We want, the sooner the better, to address the issue once and for all so that we can make a clean start,” Mr Collie explained.
He stated that penalties on accrued debt shall be exempted if the debts are settled with the two-month grace period.
He noted that in case of non-payment, the authority will proceed with legal actions, in line with the lease agreement, to recover the amount owed and repossess the property.
Explaining the methods of payment, Mr Collie said that firstly payment should be made preferably through bank transfer where lessees are being advised to use the online banking system.
The second method of payment, he explained, is through cash, cheque or card payment at the Seychelles Revenue Commission (SRC) where lessees will be required to bring invoices to make payment.
In this regard he called on clients to contact the authority for required invoices which will be sent via email.
As for the third method of payment, he said that the authority will be accepting payments at its headquarters Providence but by cheques only.
He stressed that all payments should be drawn in favour of the ‘Government of Seychelles’.
He noted that lessees should include details for the lease of land and for the rental of a workshop as the narration when making their outstanding payments.
“I would very much appreciate if the lessees respect the appeal and come forward and make their payment,” Mr Collie said.
He reminded clients to also bear in mind that the upward rent review in their agreement, applicable every five years, will come into effect this year.
He noted that even if faced with the pandemic, it is the duty of the lessees to make it their responsibility to pay what they owe.
He claimed that all of the clients in debt with the authority have been sent a copy of payment of lease rental notice.
As the new CEO, Mr Collie said that going forward, the collection of the estimated R10 million is a priority while the authority will look to seek land for clients to develop their business.
He said that the authority will be looking to take back undeveloped land from lessees for redistribution to people on the waiting list.
He said the authority will soon be distributing letters of breach agreement to those concerned.
To date IEA has 515 plots of land under its management while 800 applicants are on the list for a plot of land.
Land falling under the responsibility of the authority is scattered across Providence, Perseverance and Eve Island on Praslin.