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Peter Matambanadzo Senior Reporter
CMED (Pvt) Ltd has appointed a disciplinary “authority” to preside over the case of suspended managing director Mr Davison Mhaka, for his alleged involvement in a fuel scam that prejudiced the parastatal of US$3 million.CMED lawyers Musunga and Associates yesterday confirmed that the firm had appointed the disciplinary authority to preside over the case.

“Yes, the authority comprising a retired senior judicial officer, a labour consultant and labour lawyer has been appointed and is set to hear the case tomorrow,” Mr Aston Musunga said.

He, however, could not disclose the names of the three members of the authority for professional reasons.

Meanwhile, Mr Mhaka has defied the CMED board directive after he failed to surrender the official Mercedes-Benz E350 and laptops he had been using.

A source at CMED said: “The company is going to try and use all means to ensure that we recover the assets.”

The CMED board suspended Mr Mhaka without pay and benefits and ordered him to surrender the property last week.

The board is charging Mr Mhaka with theft and fraud for deliberately or negligently acting in concert with First Oil to defraud CMED, gross unsatisfactory work performance, incompetence and inefficiency.

According to the letter of suspension, the CMED board said Mr Mhaka authorised the tender award to a company that did not have a valid import licence and that did not appear on the State Procurement Board list of bulk fuel suppliers.

The board accuses Mr Mhaka of failing to carry out adequate due diligence in awarding the deal to First Oil.

The CMED fuel saga has also sucked in the company’s fuel manager, Mr Brian Manjengwa, who was sent on forced leave.

He is accused of conniving with First Oil directors Alex Mahuni, Maxwell Katunga and Alois Nyamadzawo whose trial set for August 21 failed to take off.

Also implicated in the case are National Oil Infrastructure Company chief executive officer Mr Wilfred Matukeni and his counterpart at Petrotrade Mr Tanaka Sikwila.

The two are accused of misrepresenting to CMED that they were storing three million litres of diesel on behalf of First Oil at Msasa depot when they knew they did not have the commodity.