November 02, 2022

Singer Lloyd Cele could lose his mansion

Former Idols finalist Lloyd Cele denies that he owes the bank and says payments have been going through

Idols runner up and top musician Lloyd Siyabonga Cele and his family are about to lose their multimillion rand property located at the exclusive suburb of Midstream Estate in Centurion, Pretoria. This comes after the singer who has made a success ,despite not winning the Idols in 2010, was taken to the South Gauteng High Court by a top bank for failing to keep with payments over a R1.8 million loan he obtained from the bank in 2013.


According to court papers seen by Zimoja, Cele and his wife Sandeine entered into an agreement with the bank to have access to the millions, and used their Midstream Estate Mansion as security for the loan. Cele and his wife, the papers show were expected to pay a monthly instalment of R15 000, and were supposed to finish paying off the loan in 250 instalments. However the papers shows that, the 'Make it Easy' hitmaker couldn't honour the agreement to its completion and defaulted on his agreement with the bank. The court papers show that he failed to pay his monthly instalment on the loan for eight months, leaving his accounts in arrears to the tune of R157 000.


Due to the breach of contract or agreement, the bank said it was now demanding an immediate payment of R1.6 million from Cele and his wife, as it has now become due and payable. In the same court papers, the bank has also asked for an execution order against Cele's multimillion rand Midstream Estate house, stating that it was now executable as it was used by the pair as security for the loan. This, the bank said, was to ensure that it was able to recover its monies, owed by the singer and his family. The bank said the house was executable because to its knowledge, it was not used by Cele or his family as their primary residence and therefore nobody would be prejudiced by its execution.


In the same court papers, the bank said it had complied with all prescripts of the National Credit Act, which compels it to notify a consumer about arrears on its account and more time to settle the debt.The bank said they had written several letters of demand to Cele, which were sent to his address, but none received a response. It said the 'Love me Back' and 'Higher' hitmaker has failed and or neglected to pay the amount owed despite having received all communications advising him of the arrears in his loan account. If the application is successful, and Cele fails to make any last minute bid to address the arrears, the court will issue an order declaring his property executable, practically leaving him and his family  homeless.Asked for comment, Cele confirmed taking a R1,8 million loan and that he used his house as security but he said payments have been going through successfully.


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