HomeNewsTimba’s ally booted out of Afre board

Timba’s ally booted out of Afre board

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Former Afre Corporation executive chairman Patterson Timba’s ally and co-founder of the financial services group Dunmore Kundishora, was on Tuesday kicked out of Afre board, as the group emerges from a scandal which almost triggered its demise.

All resolutions of the annual general meeting (AGM) that included the election of directors and setting remuneration of the directors were carried except the re-election of Kundishora.

A total of 88,46% of shareholders present at the meeting voted against the former ReNaissance Merchant Bank non-executive director, who was implicated in interparty transactions that almost resulted in the closure of the merchant bank.
The bank was eventually rescued by the National Social Security Authority (NSSA).

John Chikura, another director from the old Afre Corporation board, was, however, re-elected after he garnered 69,23% votes while 7,69% voted against his re-election and 23,08% abstained.

Corporate law expert Innocent Chagonda also retained his post as chairman after 96,15% voted in his favour.

Incumbent chief executive officer Douglas Hoto, Chris Hokonya, NSSA general manager James Matiza and Oliver Mutasa went in unopposed.

Meanwhile, First Mutual Life (FML), a unit of Afre Corporation, has engaged Indian investors in a bid to replace a terminated insurance product which was run on a mobile phone platform.

FML managing director Ruth Ncube told shareholders at the Afre AGM that the insurance firm would replace Ecolife after the termination of the service following a fallout between the country’s largest mobile phone company, Econet, and a foreign-based technical partner.

“Just last week we were in India and by the close of the third quarter, we hope that we would have sealed a deal with a prospective provider,” Ncube said.

In February last year, Econet terminated Ecolife, an insurance product underwritten by FML, which resulted from an agreement between Econet and Namibian company Trustco .

So popular was Ecolife that seven months after its October 2010 launch, at least 1,6 million subscribers had signed up to the product.

Hoto said unlike Ecolife, the distribution channel of the new product would not be limited to a single mobile phone operator.

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