A consortium of insurers has paid US$4 million to Paramount Exports after a High Court order to attach property over a delayed fire claim settlement.
A consortium of nine insurance companies led by Alliance Insurance Company (Private) Limited has paid US$4 million plus interest and costs to Paramount Exports (Private) Limited after a High Court order authorised the attachment of property due to non-payment of a fire claim settlement.
The payment was received on Monday, April 13, 2026. This came five days after the expiry of a court-agreed payment deadline and three days after the High Court issued a writ of execution on Friday, April 10, 2026. The writ allowed the Sheriff of the High Court to attach and sell movable property belonging to Alliance Insurance to recover the outstanding debt.
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The court action followed Alliance Insurance’s failure to comply with a settlement agreement that had been registered with the High Court in March 2026. The agreement required the insurer to pay within 10 working days, a deadline that expired on April 8, 2026.
Paramount Exports confirmed that it had received the payment but raised concerns about the delay. The company described the matter as a long-running and fully supported insurance claim linked to a warehouse fire that occurred in December 2023.
Paramount director Mr Jeremy Youmans said the payment was only made after legal pressure increased. He noted that there had been earlier assurances that funds were being arranged. “It is very frustrating. We were first approached in December last year to advise that they would be paying around US$4 million of the arbitral award of US$11,7 million plus interest and costs,” he said.
Mr Youmans added that the insurers had indicated that reinsurers were mobilising the required funds. However, he said action only followed when the High Court scheduled a hearing regarding the partial arbitral award. “It was even confirmed that the reinsurers were mobilising the monies, but it was only when the High Court set down a hearing on the partial arbitral award that Alliance approached us to enter into a settlement agreement,” he said.
The agreement was registered at the High Court on March 23, 2026. According to Mr Youmans, the insurers were given 10 working days to settle the amount but failed to meet this obligation. “The insurers were given 10 working days, which they failed to meet. This is a terrible state of affairs given that they cannot even pay one third of the amount awarded in arbitration,” he said.
The delay has raised concerns about the remaining balance of the arbitral award, which stands at approximately US$11,7 million. Additional claims include costs related to rebuilding the warehouse, business interruption losses, and interest. Paramount Exports indicated that these issues remain unresolved.
Alliance Insurance is the lead insurer on the policy, which includes eight other reinsurers: Emeritus, First Mutual, FBC, ZB, Tropical, Grand, ZEP and WAICA. The claim stems from a fire that destroyed Paramount Exports’ three-storey warehouse, measuring about 8 000 square metres, along with stock valued at more than US$11 million in December 2023.
Alliance Insurance accepted liability in January 2024 and initially committed to rebuilding the warehouse. This position was later confirmed by a High Court order requiring reconstruction within six months. The matter later moved to arbitration, where a partial award in August 2025 directed immediate payment of US$4 million as the undisputed portion of the claim.
A final arbitral award in December 2025 ruled in favour of Paramount Exports for about US$11,7 million plus interest. Alliance Insurance has challenged parts of the arbitration outcome in the High Court, arguing that full payment could affect public policy and the stability of the insurance sector.
Despite the recent payment of US$4 million, legal proceedings are expected to continue. These will address the remaining balance of the award and obligations related to rebuilding the destroyed warehouse.
