Nokutenda Chiyangwa Herald Reporter
Former Fidelity Life Assurance of Zimbabwe finance and project director German Mushoma appeared in court yesterday facing 27 counts of fraud after he allegedly stole $4,5 million, which was supposed to be used to fund company projects.
The complainant in the case is the acting managing director Mr Nyaradzo Matindike.
Mushoma appeared before Harare magistrate Ms Rumbidzai Mugwagwa charged with fraud.
He was remanded to November 15 for trial commencement.
Prosecuting, Ms Ropafadzo Bosch alleged that sometime in 2014, Fidelity Life Assurance of Zimbabwe Ltd bought land in Southview Park, Waterfalls, Harare which was divided into 5 300 residential stands for resale.
Mushoma was mandated to oversee the implementation of the project and the sale of stands.
Fidelity Life then contracted Tensor Systems Private Limited to service the stands.
This involved the construction of roads and fixing the sewers and water systems.
In December 2015, Enerst and Young was asked to audit Fidelity Life’s books and after the audit, it was discovered that Tensor Systems Pvt Ltd was paid $4,5 million in advance without supporting vouchers.
In March 2017, Fidelity Life held a meeting and the audit chairperson questioned the fact that despite an advance payment of $4,5 million, which was made to Tensor Systems Pvt Ltd, Mushoma continued to authorise payment for invoices received from the contractor through the consulting engineers, Prostrust Consulting Engineers Pvt Ltd, yet Tensor had refused to complete the work.
It was discovered that they allegedly received $25 675 667 instead of $30 400 177, which Mushoma had signed for.
This led to Mushoma’s arrest.