… Faces cash crunch, delays July salaries
Maseru English Medium Preparatory School (MEMPS), one of Lesotho’s most well-known private primary schools, is at the centre of a growing financial storm after being slapped with a legal demand for more than M3.4 million in unpaid rentals and damages.
The claim, brought by Nashua Maseru through Webber Newdigate Attorneys, relates to two rental agreements signed in 2022 and 2023 for equipment hired by the school, each set to run for a period of 60 months.
According to a legal letter dated March 3, 2025, seen by Newsday, the school is accused of defaulting on rental payments, prompting Nashua to demand full settlement of outstanding arrears and future obligations under the contracts. The total amount claimed is M3,451,268.71.
The letter states that in addition to unpaid rentals of M647,786.39, Nashua is also claiming M2,803,482.32 in future rentals that would have become due by the end of the lease terms. The agreements also carried a clause allowing Nashua to demand full payment in the event of default.
“Nashua entered into two rental agreements with Maseru English Medium Preparatory School (“the User”) in terms of which Nashua rented to the User and the User agreed to hire equipment for a period commencing on the 1st day of September 2022 and 1st day of June 2023, respectively, both continuing for an initial period of 60 months,” the letter read.
“It is in light of these rental agreements that Sandisiwe Heather Nxumalo in her capacity as the Chairperson, and Moeketsi Jack Hlazi, in his capacity as the Acting Head Master, bound themselves as sureties and co-principal debtors respectively,” it added.
The attorneys further stated that under the terms of the rental agreements, should the school fail to comply with any provision, particularly the timely payment of rentals, Nashua would have the right to terminate the agreements and demand immediate payment of all outstanding amounts, including those that would have become due by the end of the lease period.
“We are instructed that the User has failed to pay rentals and is therefore in arrears in the amount of M3,451,268.71,” the letter read.
“As a result, the User is in breach of the rental agreements, and Nashua is entitled to claim immediate payment of M3,451,268.71, comprising unpaid rentals of M647,786.39, as well as future rentals totaling M2,803,482.32, which we are duly instructed to demand.”
Nashua is also claiming interest on the total amount owed, calculated at 14.56 percent (six percent above the prime lending rate of 8.56 percent), to accrue from the date of the demand until full payment is made.
The attorneys warned that if payment is not received within seven days, legal action would be initiated against the school to recover the full amount, along with interest.
In such a case, Nashua also intends to recover the legal costs associated with the proceedings.
“Should legal action be instituted, the User may consider appointing a legal practitioner to defend against the claim. However, it is important to note that this may result in significant additional costs,” the attorneys wrote.
They further advised that if the school is unable to settle the full amount within the specified timeframe, it may contact their offices to discuss the possibility of an extension or a payment arrangement in instalments.
Despite repeated requests for comment, the school has gone silent. Newsday submitted formal questions to MEMPS in June after uncovering the demand. The Acting Headmistress, Phano Sharite, acknowledged receipt of the inquiry and initially committed to responding by Wednesday last week.
“I kindly request that you give me until next week, Wednesday the 2nd July 2025, to have responded,” she said.
On Thursday last week, however, she requested more time, saying the matter would be discussed at an upcoming school board meeting and promised to respond after that meeting, specifically by Thursday this week.
That new deadline has now passed without any communication from the school. Follow-up messages sent to the Acting Headmistress yesterday were not answered.
Newsday has also learned that MEMPS is in financial distress and will not be able to pay staff salaries for July on time.
In a letter dated 10 July 2025, addressed to all staff members, Sharite confirmed that the school is experiencing a serious cash flow problem due to outstanding school fees from parents who had failed to honour their payment promises by the end of June.
“We had a genuine hope that parents would meet their school fees payment obligation as per promise. However, we are still experiencing further delays,” the letter reads.
As a result, salaries that are normally disbursed by the 20th of each month will now be paid on or after July 30, 2025.
“We understand the inconvenience this may cause and appreciate your patience and understanding. For that, we sincerely apologise,” the school stated.
The letter added that staff requiring proof of the delay to present to their creditors or service providers may collect supporting letters from the school office on Monday, 14 July 2025.
Authored by our expert team of writers and editors, with thorough research.
