Ex-Zinara boss to lose US$20m in assets

Trust Freddy

Herald Correspondent

FORMER Zimbabwe National Road Administration (ZINARA) chief executive Frank Chitukutuku will forfeit over US$20 million in movable assets and shares in Champions Insurance after the Supreme Court found his appeal against a High Court order lacked merit.

While the movable assets such as trucks and shares in Champions are forfeited with no further appeal possible, the High Court has been asked to examine the two houses in its original forfeiture order and see what percentage of the prices paid probably came from tainted funds.

The Zimbabwe Anti-Corruption Commission submitted the necessary paperwork to the National Prosecuting Authority who fought a civil case through the High Court that saw Chitukutuku lose houses, trucks and shares.

While he appealed to the Supreme Court, that top court generally agreed with the High Court ruling although the housing details still need to be settled by the High Court.

This came out yesterday as African countries converged in Harare to review Brazil’s Presidency of the G-20 anti-corruption working group meetings outcomes.

The meeting, hosted by the ZACC on behalf of the African Union, was attended by several anti-graft movements from African countries, including South Africa, Ghana, Egypt, and Nigeria.

ZACC chairperson Mr Michael Reza said the country had won a US$20 million asset forfeiture case against a former public official.

“About two weeks ago, we had a matter that was long-running and the accused person was one Frank Chitukutu, who was the CEO of ZINARA.

“Through the assistance of our sister organisation, the National Prosecuting Authority, we submitted papers from ZACC and we won the forfeiture order; his houses, trucks, shares in companies add up to about US$20 million,” Mr Reza said.

Although there are still a few outstanding issues that have been referred back to the High Court, Mr Reza said ZACC considers the ruling a significant victory in its efforts to combat corruption.

“We succeeded in the High Court, but Chitukutu took the matter to the Supreme Court. However, the Supreme Court delivered a ruling that his appeal must fail.

“There are just one or two things that are being done and referred back to the High Court, but to us, it is a big score. And for us, it is one that I felt that the G20 members ought to know: that as far as Zimbabwe is concerned, where corruption is involved and we have the evidence, we will not let go. When we bite, we bite and we do not let go,” he added.

Chitukutuku had appealed the High Court civil forfeiture order for his properties due to allegations that they were acquired through proceeds of corruption during his tenure at Zinara.

A three-judge appeal panel of Justice Chinembiri Bhunu, Justice George Chiweshe and Justice Joseph Musakwa last month unanimously found that Chitukutuku’s appeal against forfeiture lacked merit regarding movable assets and shares in Champions Insurance.

“Accordingly, it is ordered that the appeal in respect of the movables and shares relating to Champions Insurance be and is hereby dismissed,” said Justice Musakwa.

However, Chitukutuku’s appeal over the forfeiture of two of his houses succeeded to the extent that the High Court now has to determine “the extent to which tainted funds were used in respect of Lot 1 of Lot 3 of Lot 56 A Borrowdale and Lot 3 of Subdivision C of Subdivision B of Subdivision D of Nthaba, Glen Lorne”.

Although there was no proof beyond reasonable doubt for a criminal conviction, in civil cases the standard of proof is based on probability, and the courts have found that it was probable that the money used to buy at least some assets was tainted, the only remaining dispute being just how many of the assets.

Mr Reza said the recent victory was another sign that Zimbabwe remains committed to enhancing assert recovery.

The meeting follows South Africa’s historic assumption of the G20 presidency, making it the first African country to hold this position.

South Africa assumed the G20 Presidency on Sunday and it will lead the organisation until November 2025.