FOUR directors of a housing and agricultural inputs company, accused of siphoning company funds for personal use, will learn their fate on March 16 after Harare magistrate Lisa Mutendereki closed their case.
The directors — Douglas Mandala (87), Jowell Samuel Muzhamba (76), Clifford Rutsate (68) and Michael Changadzo (66) — were arrested in January last year for allegedly withdrawing US$13 000 from the company for personal use. Mandala has since passed away.
The complainant, Zvimba East Veterans Investment Company (Zevic), represented by finance director Deliwe Muvuti, is a company dealing in housing and agricultural supplies.
According to the State, Zevic was formed in 2023 with 19 directors, including the accused. The company has a Nostro account to which its funds are deposited, with six authorised signatories, including the accused, Joe Chimonyo and Deliwe Darknetty Muvuti. Withdrawals were to be approved only by the chairperson or vice-chairperson plus any two other directors.
It is alleged that in December 2023, the accused colluded to defraud Zevic. They reportedly created fake CR6 forms and resolutions, unlawfully removing 10 directors from Zevic’s official records, leaving only nine. Using the forged documents, they approached a local bank and changed the company’s signing arrangement.
Between December 27, 2023 and January 2, 2024, the accused allegedly withdrew US$13 000, converting it to personal use. The complainant discovered the withdrawal on January 2, 2024. No funds have been recovered and Zevic suffered a loss of US$13 000.
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During trial, the accused denied any wrongdoing, claiming the withdrawal was meant to cover company operating expenses.
Mutendereki has closed the case and set March 16 as judgment day.