The ZAPU opposition party has urged the Auditor General (AG) and the Parliamentary Public Accounts Committee (PAC) to launch an immediate and thorough inquiry into revelations that the Mutapa Investment Fund paid US$1.6 billion for shares in Kuvimba Mining House Ltd, a mining conglomerate with recent ties to Kudakwashe Tagwirei, a presidential advisor and ruling party donor.
ZAPU also stated that the government must disclose the full ownership structure of Kuvimba at the time of payment and reveal who benefited from the US$1.6 billion payment, following an investigation by The Sentry.
The Sentry’s investigation revealed that Mutapa paid US$1.6 billion to buy out the private investors from Kuvimba using a Treasury Bill, a short-term government debt similar to an IOU.
These private investors owned 35 percent of the shares in Kuvimba, while the state owned 65 percent.
According to The Sentry investigation, the US$1.6 billion price tag for a 35 percent interest would value Kuvimba at US$4.6 billion, more than triple the government’s 2022 appraisal of US$1.5 billion.
This transaction raises severe concerns about whether Mutapa drastically overpriced the shares relative to when Tagwirei’s enterprises purchased the mines in 2019 before transferring the assets to Kuvimba in 2020.
In response to these revelations, ZAPU acting spokesperson Brian Ncube stated that this scandal demonstrated “grand” corruption, nepotism, and state capture.
“ZAPU is outraged by the explosive revelations of a massive corruption scandal involving the Mutapa Investment Fund and Kuvimba Mining House Ltd,” he said.
Ncube said the reported US$1.6 billion transaction between MIF and Kuvimba Mining House Ltd, involving public institutions and public funds, is a shocking betrayal of public trust.
“The fact that this deal was made without transparency and accountability raises serious questions about the involvement of high-ranking government officials and their cronies,” said the acting spokesperson.
“ZAPU demands a thorough and independent investigation into this scandal, and that those responsible be held accountable.”
He called on the AG and PAC to conduct a swift and thorough inquiry into this scandal and to make their findings public.
“We also demand that the government publish a list of the entities and financial institutions holding the domestic debt, including the Treasury Bill in question,” Ncube said, adding that the government must explain the reasoning behind the valuation of Kuvimba Mining House Ltd.
The acting spokesperson said the Zimbabwean government must disclose the full ownership structure of Kuvimba at the time of payment and reveal who benefited from the US$1.6 billion payment.
“The government must take immediate action to recover any misappropriated funds. This scandal clearly indicates the rampant corruption and mismanagement that have become synonymous with the current government,” Ncube said.
He added that ZAPU will continue to speak out against such malpractices and demand accountability from a regime “powered by a stolen mandate.”
“We call upon all Zimbabweans to join us in demanding transparency and accountability from the Zanu PF-led government. Enough is enough,” Ncube said.
