Two Holiday Inn Mutare accounts executives were acquitted of defrauding their employer of nearly US$600,000, after prosecutors conceded the evidence pointed to systemic failures within the hotel's operations rather than criminal acts by the accused.
Munetsi Makoni, an accounts supervisor, and Takura Ngatiyane, an accountant, were discharged at the close of the state’s case by Mutare Regional Court Magistrate.
The two had pleaded not guilty to a single charge of fraud.
The state's case collapsed after prosecutors admitted their own witnesses and evidence failed to implicate the duo, instead revealing that the Africa Sun-run hotel lost money due to a "porous banking system."
The prosecution confirmed it would not oppose the defense's application for discharge.
The alleged fraud, totaling US$587,206, was discovered in April of this year after the hotel’s general manager, Nkosinathi Moyo, ordered an audit following the discovery of financial anomalies.
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The period under investigation was from January 4, 2022, to June 30, 2023.
Initially, the state alleged that Makoni and Ngatiyane conspired with a third individual, Gift Sauramba, who fled the country when the investigation began.
The plan allegedly involved Sauramba posting falsified balances into the accounting system, which Makoni would then approve.
However, during the trial, the state's evidence unraveled.
Makoni’s legal team, led by lawyers Admire Rubaya and Chris Ndlovu, argued that there was "no iota of evidence" linking their client to the offense.
"The evidence of the State has mainly exposed the brazen weaknesses in the banking system of the Complainant," the defense stated, arguing that the missing funds could have been taken by "anyone within the hotel's banking system chain."
Key to the acquittal was the testimony of state witnesses, including hotel security personnel and bank officials, who all confirmed they exclusively dealt with the fugitive, Sauramba, for banking processes.
Neither Makoni nor Ngatiyane were mentioned as being involved in the cash handling or banking chain.
"The state will not oppose the application by the defence," the prosecution told the court.
"Most of the misrepresentation was done... with knowledge of Gift Sauramba as the person who dealt with banking. The hotel's banking system was too loose to such an extent that money was stolen using the porous system."
The presiding magistrate affirmed the state's concession, ruling it was proper given the identified flaws in the hotel's internal controls.