The National Prosecuting Authority (NPA) is reviewing a request to appeal the acquittal of two fraud defendants, in a case that could set a legal precedent for the treatment of digital assets in Zimbabwe. The case involves the alleged theft of US$550,000 in cryptocurrency from prominent eye surgeon Dr. Solomon Guramatunhu.
Defendants Lloyd and Melissa Chiyangwa were found not guilty of fraud this week by Regional Magistrate Marehwanazvo Gofa. In her ruling, Magistrate Gofa determined the state failed to prove its case, citing that cryptocurrency is not recognized as legal tender in Zimbabwe.
The prosecution’s case alleged the Chiyangwa's fraudulently transferred Bitcoin, valued at US$550,000, from Dr. Guramatunhu’s digital wallets to their own.
In a formal submission to the NPA, Dr. Guramatunhu’s legal representative, Admire Rubaya, has called for an appeal to the High Court. The submission argues the magistrate’s court erred in its interpretation of property law.
“The ruling mistakenly conflates the definition of legal tender with the definition of property under the Criminal Law Code,” Rubaya stated. “An asset does not require status as legal tender to be considered property capable of being stolen.”
The legal argument centers on Section 112 of the Criminal Law (Codification and Reform) Act, which defines property to include “incorporeal things” and “any right or interest in anything capable of being stolen.” Rubaya’s submission contends that cryptocurrency wallets hold such an incorporeal right, equivalent to an entry in a financial account.
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“The tokens represent a vested right of value that can be converted to currency. Their theft is analogous to the unlawful transfer of funds from a bank account,” the submission reads.