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Nyore Madzianike 

Senior Court Reporter 

The Zimra employee, believed to be the leader in the $50 million VAT fraud that saw four employees allegedly siphoning the cash in fake refund claims, was granted $100 000 bail yesterday, significantly more than the $70 000 each that his three co-accused were granted.

Batanai Tapuwa Teddy Zengeni (34) was in addition ordered by Harare regional magistrate Mr Stanford Mambanje not to travel more than 40km from Harare’s Main Post Office as part of his bail conditions, report three times a week to CID Commercial Crimes Unit and surrender his travel documents to the Clerk of Court.

Zengeni, represented by Mr Arnold Taruvinga, was not asked to plead to the charges and was remanded to June 7.

Prosecutor Mr Malvern Mapako told the court that sometime in August 2020, Zimra, through its Commissioner of Customs extended a waiver on physical inspection to its customers claiming refunds on VAT.

Allegedly Zengeni, acting in connivance with revenue officers Valentine Chireke, Tawonga Nhengu and Leonard Mazanhi, identified dormant companies which were no longer submitting income returns.

It is alleged Zengeni identified Katumi Investments, Nutri-Oil Private Limited, May Computers and Hefa Electricals Private Limited as dormant companies and gave their details to Nhengu and Mazanhi.

The court heard that Nhengu and Mazanhi then generated a Zimra e-services PIN for each of the four companies so that the four could interact with Zimra on-line as if they were officers of the company.

Zengeni is alleged to have fraudulently submitted the VAT returns online to enable them to claim tax refunds.

The court heard that between August 5 and August 28 last year, the four opened corporate accounts with BancABC Bank for the four companies using Zengeni’s pseudonym, Philip Magupi.

Acting on the misrepresentation, ZIMRA paid $17 763 302 to Katumi, $15 444 014 to Nutri-Oil, $8 540 267 to May Computers and $7 652 232 to Hefa Electricals.

Mr Mapako said between November 27, 2020 and March 20 this year, the four transferred the money into various bank accounts for purposes of money laundering. The offence was discovered on March 10 following a Zimra internal audit.