THE ruling Zanu PF conducted more than 30 interviews with its top members and business executives in a bid to unearth mismanagement in its chain of failed companies, a re
port on the probe shows.
The report says Zanu PF’s politburo investigation committee quizzed the party’s secretary for administration, Emmerson Mnangagwa, secretary for security Nicholas Goche, senior party officials Sydney Sekeramayi, Didymus Mutasa, Enos Chikowore, Frederick Shava, and managers of companies that it has interests in.
It says Mnangagwa was interviewed twice because he has for many years presided over the ruling party’s business empire which is riddled with mismanagement and corruption.
Mnangagwa was grilled over the findings at a politburo meeting on October 20. Senior Zanu PF insiders accuse him of running down or failing to adequately supervise the companies.
He was also quizzed over the escape of key directors in Zanu PF companies, Manharlal Chiunilal and Jayant Chiunilal Joshi and Dipak Pandya. The Joshi brothers and Pandya fled the country in April shortly after the probe began.
The investigating team also interviewed managers at Treger Holdings, Zidco Holdings, Catercraft (Pvt) Ltd, Fibrolite (Pvt) Ltd, Zimbabwe Grain Bag and First Banking Corporation, in which Zanu PF has interests.
Zanu PF also has significant interests in Mike Appel, Zidlee Enterprises, and the Southern Africa Re-Insurance company. It had interests in NamZim, Ottawa Building, National Blankets and Woolworths. M&S Syndicate Pvt Ltd, a wholly-owned Zanu PF investment vehicle, holds equities in these companies on behalf of the party.
The probe team comprised chairman David Karimanzira, retired General Solomon Mujuru, Obert Mpofu, Simba Makoni and Thoko Mathuthu.
It was tasked to verify and evaluate the party’s investments, asset base, capacity utilisation and performance, and the levels of production and receipts.
The team was also mandated to verify “the purposes for investments, targets for investments, company structures and procedures for reporting, and the accounting system”.
It wrote letters to the management of seven companies, in which Zanu PF has interests, asking for all relevant documents such as financial statements, annual reports, shareholders’ agreements, memorandums and articles of association, board meeting minutes, and records of returns.
Mnangagwa, the investigation report says, told the committee most of the Zanu PF investments were difficult to verify because there were no records.
This exposed him to sharp criticism in the politburo and within the party.
Goche said although he was an M&S Syndicate board member in 2001, he “never received any invitation to attend board meetings”.
The report says Chikowore, who worked with the Zanu PF companies since 1980, said he was not aware of how Zanu PF shares in National Blankets and Woolworths were disposed of.
Frederick Shava, who chaired Zidco from 1980 to 1998, said dividends were not declared because they were used to buy shares in other companies.
He spoke on issues to do with business ethics, accountability, and declaration of dividends.
Sekeramayi, the longest-serving official in Zidco, narrated the company’s history but did not reveal much on its activities.. Mutasa spoke on the issue of the Joshi brothers.