Former Hwange Colliery boss arrested over fraud

FORMER Hwange Colliery Company (HCC) managing director Fred Moyo has been arrested on allegations of defrauding a local mining firm of $2,7 million, it has been learnt.

TAURAI MANGUDHLA

Moyo, who was arrested on Monday, allegedly signed an agreement sometime in April 2011 with shareholders of the Midlands-based gold miner, OX Mining, to take over the company upon full payment of a purchase price of $2,5 million.

Police spokesperson Assistant Commissioner Charity Charamba last night confirmed the arrest.

“He was arrested on Monday over fraud charges and is going to court tomorrow (today). I cannot give you further details,” she said.

The former HCC boss reportedly managed to pay only $850 000, contravening the purchase agreement which required full payment of the purchase price by end of June 2011, thereby making the sale null and void.

However, Moyo is alleged to have fraudulently secured a
$2 million loan from ZB Bank using OX Mining’s assets as security despite the fact that he was neither a director nor shareholder of the firm.

He is said to have later also secured $700 000 from Stanbic Bank using the miner’s assets to secure borrowing.

The move has prejudiced OX Mining owners Ox Drilling, Dirk Benade, and Sydney Steyn, who have a $2,7 million debt which is not of their doing.

According to information gathered by NewsDay, Moyo is currently seeking to sell 25% of the mine at $10 million.

Moyo”s lawyers GN Mlotshwa and Company could not be reached for comment at the time of going to print.

Moyo left HCC after the expiry of his five-year contract mid last year.

14 Comments

  1. Phunyukabemphethe

    Fred Moyo, I have always known you as some crook since your days as a Gukurahundi ZANU PF zealot, when you hunted down ZAPU supporters at the Colliery, during those days when many of your type were still excited with Gukurahundi ZANU PF.

    I am therefore not surprised with the latest development.

  2. why arrresting Fred moyo this time? The guy used to be a good boy for the responsible Minister.Where did he actually went wrong. He used to support birthday parties for the minister responsible for mines and has just fallout all of a sudden. shame on you fred. people they use you.

  3. Fred has always been a suspicious character since his days at Gaths Mine as GM before he went to Wankie. Of late he has been opening nightclubs in Zvishavane, sponsoring Shabanie Mine FC and blowing money buying this and that property with stoilen money. Now your sins are catching up with you!

  4. sacrifices have to made and he is in that category
    Save that he will be housed five star

  5. yea arrest the pig,he successfully destroyed our beloved colliery and foolishly thought he’ll get away with it.lock him up at chikurubi and give me the keys so that i can throw them in the heart of our mighty zambezi.stshupeti yomuntu!!!

    1. True. I attended high school at Wankie Secondary School from 1982 to 1986 and that was one of the strongest companies in Zimbabwe. It was the backbone of Zimbabwe’s economy. I am told that this company has been reduced to nothing – thanks to greedy folks like this guy. Such people are the ones who ran down our beloved country. While trying to rebuild Zimbabwe, we need to put these people as far as possible. Yes the keys should be thrown into the sea lest they find them in the Zambezi River. Shame on these greedy good for nothing.

      1. Phunyukabemphethe

        He is not the only one. Just about all these outsiders to Mthwakazi provinces were thieving from the colliery – Rugare Gumbo, Zindoga, Bwerinofa and a whole lot of them.

        Nambyans rise up and shine and claim your share. Start by changing the spelling of your town to its correct spelling WHANGE, not HWANGE, which is a S.h.o.na spelling imposed on you people with no consultation by the Gukurahundis.Chief Whange is the custodian of this name.

        This is a new Zimbabwe, we are wiping out all evidence of Gukurahundism in our motherland!!

  6. Where did Fred get the $850,000 from, what was his salary at Hwange to manage to accumulate so much money, this crook must be investigated to the bone marrow

  7. he should get what he deserve

  8. if he stole money, then he should be prosecuted.

  9. yaah tosomubuja muti BaNambya balele, tipo tosobakamulinga. wozo zwakuwana nasi Freddy wayabulisa makamu angu mu-wankie feno abajimuhole mali jabo, bawakasenga ku package mali jabo uyajakabhadala zose yozu timuzubhisa pachena, lyakhawula ipuka yelyi. Banoziba zumwe zwalakata sengani kumapulisa lisibuye futi

  10. He even sold maize that was supposed to benefit hwange workers to zambian companies during the 2006/2008 era, we know that as well

  11. Mushonga weMusana

    Just bcoz he overdid it & it exploded in his face. Each & everyone of u given the chance you’d do the same.

  12. Who are we to judge!!! Guys stop judging Fred instead look yourselves in the mirror. Mr Moyo is innocent until proven otherwise.

    We know it that he has ventured into the Lion’s den and dirty cheap politics is at play. Ndizvo zvazvinoita Moyo musaora moyo. Your political opponents want to gain some mileage using dirty tricks, however you are the people’s choice so its still game on. Taneta nemaMP anoonekwa nguva yemaelections!

    Guys read between the lines….unless i an dull how can banks just dish out monies like that?? Bva lets go and get loans from the banks if its this easy. At least he paid $850K the majority are just grabing for mahala.

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