COMPLAINT TO The South African Institute of Chartered Accountants (SAICA)

The Chairman
ICAZ,
The South African Institute of Chartered Accountants (SAICA)
Capetown

27 May 2011


RE - CORRUPTION,FRAUD AND ABUSE OF OFFICE LETTER OF COMPLAINT TO The South African Institute of Chartered Accountants (SAICA)
AGAINST MR REGGIE SARUCHERA OF GRANT THORNTON CAMELSA ZIMBABWE

I would like to lodge an official complaint against a Member of The South African Institute of Chartered Accountants (SAICA) Mr Reggie Saruchera Managing Partner of Grant Thornton Camelsa, a member firm of Grant Thornton International on the corrupt and incompetent manner in which he handled the Liquidation of ENG Investments P/L. I would like the Institute of Chartered Accountants of Zimbabwe to investigate this and possibly review membership of Mr Saruchera and CAMELSA .I have reason to believe Mr Saruchera has violated The South African Institute of Chartered Accountants (SAICA) Charter and the Chartered Accountants Act under Zimbabwean law.


He conducted himself in a manner likely to bring the ICAZ into disrepute and make your esteemed organization subject to endless ridicule. It is my humble submission that Mr Saruchera’s membership of The South African Institute of Chartered Accountants (SAICA) be suspended pending the results of an investigation on his fraud, corruption and general dishonesty given how he scandalously handled the liquidation of ENG assets and abused his office by misleading the Minister of Justice to Specify me for 7 years only to be found innocent after all my assets had been stripped by Mr Saruchera.

A - Just to highlight his incompetence he sold my personal house number 17 Chishawasha Road, Chishawasha Hills, Umwinsdale Harare when he didn’t have Authority and whilst leaving Company assets which he later said were in excess to liabilities. If he was honest and competent he should have self Company assets first and if there was a shortfall he could then have gone after personal assets. But due to his corrupt nature ,incompetence and vindictiveness he chose to make me homeless by selling my home and residence leaving me homeless.

B - In addition Mr Reggie Saruchera Managing Partner of Grant Thornton Camelsa, a member firm of Grant Thornton International is at the centre of my dispute with Interfin Banking Corporation due to his corrupt and incompetent handling of the ENG liquidation. In particular his disposal of 309 million Century Holdings shares which we bought for Z$ 35 billion (then equivalent to approximately US $ 17.5 million ) and selling those shares for Z$ 2.9 billion ( then approximately equivalent to US $ 1,5 million).He sold the shares creating a loss of Z$ 32 billion (approximately $ US 16 million).This transaction had all hallmarks of corruption, insider trading and incompetence all rolled into one which forced me to initiate high court action HC 6244-04 . I have attached a copy of HC -6244 -04 which fully describes the fraud and corruption engineered by Mr Saruchera. This is totally unbecoming for a Chartered Accountant to be so blatantly corrupt and fraudulent when he had a fiduciary duty to protect all stakeholder interest. He totally ignored this duty and embarked on mission to line his pockets and in unjust self enrichment schemes selling assets at under priced levels to his relatives, friends and cronies.

Brief Back Ground
In late 2003 my business partner and myself were arrested on allegations of economic crimes which we were later cleared of resulting in my De-specification on 29 April 2011. In order for us get bail we secured the creditors by placing ENG Capital under voluntary liquidation. We and First Mutual Life the biggest creditors agreed on Mr Reggie Saruchera who was to protect our Interest and those interests of the creditors .A consent order was granted on the proviso that he was supposed to work in consultation with all stakeholders since he had been appointed with our consent under High court cases HC 244-04 and HC 145 - 04.


Mr Saruchera as a member of The South African Institute of Chartered Accountants (SAICA) had a fiduciary responsibility to act prudently, honestly and diligently. We all assumed that being a Chartered Accountant accredited to Institute of Accountants of Zimbabwe ( ICAZ) Mr Saruchera would act competently, professionally and reasonably. We were very disappointed by his level of incompetence, unprofessionalism ,unreasonableness and general corrupt conduct on how he handled the ENG Capital Investments liquidation.

In the first instance Mr Saruchera started by selling off ENG Assets before even verifying the Company’s liabilities and assets. He did not even construct a basic Trial Balance to guide the process and he started to sell assets hap-hazardly in a corrupt manner least expected of a man who claims to be a Chartered Accountant under the Institute of Chartered Accountants of Zimbabwe. Even an inexperienced book keeper would know that before selling assets you need to secure them and verify all claims before deciding what to sell and at what price.

1 - He sold assets which he didn’t have authority or permission to sell. We suspect he was getting kick backs from his connections who were getting these assets at completely unrealistic prices.

2 - He sold our personal assets even though he had not exhausted Company assets which he later on surrendered saying they were in excess to creditor requirements.

3 - He was cherrying picking our personal assets motivated by greedy, corruption and envy and selling these asset to his select connections whom we suspect were his friends, relatives and business associates.It appears his friends, relatives and business associates were directing him which assets to sell and at what price totally ignoring his fiduciary duties.

4 - For Example he sold my house number 17 Chishawasha Road ,Chishawasha to someone we have reason to believe is his close friend or relative yet he returned Allied Conveyors P/L and other assets to ENG Directors .Why would he sell my personal house leaving me homeless when he could have sold movable assets such as Allied Conveyors. Such actions only prove his corrupt and incompetent conduct which is totally unbecoming of a man who is supposed to be a Chartered Accountant in good standing with ICAZ.

5 - Once Mr Saruchera Managing Partner of Grant Thornton Camelsa, a member firm of Grant Thornton International was appointed Liquidator he took a very hostile and aggressive attitude towards us even though we had appointed him by consent to protect all stake holders. We agreed that the best way was to negotiate share swaps with creditors and give them shares which we owned in various companies instead of selling the shares because the share market was depressed. Our biggest creditor FML and others had agreed to get shares instead of cash in particular our shares in Century Bank were bought at a cost of $ 35 billion and were valued even higher since they were a controlling stake in a Bank

6 - We heard Rumours that Century Shares were being sold and we asked Mr Saruchera who initially denied the rumour. After a few days we then read in the newspaper that Mr Saruchera had sold 309 million CENTURY shares .Our lawyer then wrote to him seeking clarification on why he had sold the shares since he did not have permission to sell the shares and also since Creditors had agreed to receive shares instead of cash payments. We wrote to ZSE and to Fidelity asking for identity of buyer and seeking investigation because we suspected Mr Saruchera acted corruptly to sell the shares at 2,9 billion when we had bough the shares for $ 35 billion ( US17 $ million) (causing a loss of $ 32 billion or US $ 16 million).He sold them through a special bargain which showed he had a side deal already since he was supposed to sell the shares thru normal market deal which sells to the highest bidder.

7 - Special Bargains are pure symptoms of corruption and kick backs especially when assets are supposed to be sold to the highest bidder to ensure that Creditors are fully paid and any surplus goes to the

8 - Our lawyers asked the ZSE to stop the deal and investigate. This was ignored. We then started legal proceedings of High court case HC 6244-04 Seeking to stop the sale of the shares and remove Saruchera from office. Once Saruchera saw our court action he then could not defend his decision which was clearly corrupt and unjustifiable by selling something bought for $35 billion for $ 2.9 billion. He started to intimidate us with specification threats and also verbally saying he had full powers from "authorities" to deal with us as harshly as he wanted.

9 - After we filed the motion to remove Saruchera from office and stop the sale of the shares Saruchera then applied to the Minister of Justice for myself ,my business partner Nyasha Watyoka and our Lawyer to be specified. We were all specified and Saruchera appointed Investigator. Saruchera then became Liquidator and Investigator at the same time placing him in position of conflict of interest. As a Chartered Accountant governed by the Institute of Chartered Accountants he ought to have known such a position was bound to create a corrupt outcome and bring the accountant proffession into ridicule and disrepute.

10 - Mr Saruchera was selling assets which he was supposed to investigate even though there was already court application HC 6244-04 to stop the sales and remove him from office. There was conflict of interest with liquidator being investigator he became the Police, Prosecutor, Witness and Judge all rolled into one creating a situation without any check as to the fairness of the work he was doing.

11 - Various laws and regulations were violated in the process of disposing our shares in the Bank .There was a general cloud of corruption, insider dealing ,incompetence which I outlined in my High court application Case HC 6244-04 seeking to remove Mr Saruchera from office as Liquidator since he had started by selling our assets without even verifying how much we owed to the creditors as is required by the law and general good corporate governance practice

12 - My lawyer then told me I was not safe since he had information that there were people who were prepared to eliminate me so that they can have full access to the ENG assets which I was resisting through court action. In fear I then fled Zimbabwe and tried to clear my name and clarify the ENG position.

13 - Mr Saruchera then continued to sell assets and he even sold my personal house number 17 Chishawasha Road, Chishawasha this (left me homeless) even though he had not finished selling ENG assets he took my personal house whilst leaving ENG assets such as Allied Conveyors which he later returned but he sold my house instead of ENG assets showing he was being ,malicious ,vindictive and corrupt as I suspect most assets were being sold to his connections .

14 - The bank was sold even though there was a court application HC 6244-04 to block it. Interfin and many other buyers before them were buying an asset that was already disputed. They failed to do their proper due diligence to verify the ownership dispute. They inherited Century/CFX bank and took over its assets and liabilities which included our claim. This is the nature of my dispute with Interfin Bank.

15 - Interfin Bank have always known the illegal and corrupt nature surrounding the sale of those shares and assumed all risk linked to these shares and that Financial Institution which is well known.

My court claim HC 6244-04 filed at the is well known and was well publicised such that when the Finance Bank of Zambia and Credit Suisse of Switzerland attempted to buy CFX Bank I told them about my claim and they did their own checks and verified the legitimacy of the claim. They stopped the transaction since my claim was proved to be legitimate. This proved Mr Saruchera had acted improperly since a reputable organization did their own due diligence and ascertained my claim and my main allegation that Mr Saruchera acted fraudulently, corruptly and devised an unjust self enrichment scheme.

It goes without saying that all other clients of Mr Saruchera and Camelsa Grant Thornton will also be fleeced and ripped of by this man who is masquerading as a chartered accountant.

Yours Sincerely ,

Gilbert Muponda
Contact
Phone - 1-647-994-5542
Email - gilbert@gmricapital.com
Face Book - http://www.facebook.com/GMRICAPITAL

LETTER OF COMPLAINT TO GRANT THORNTON INTERNATIONAL AGAINST MR REGGIE SARUCHERA OF GRANT THORNTON CAMELSA ZIMBABWE

Grant Thornton
Grant Thornton International
National Toronto
12th Floor
50 Bay Street
Toronto, ON, M5J 2Z8



RE - LETTER OF COMPLAINT TO GRANT THORNTON INTERNATIONAL AGAINST MR REGGIE SARUCHERA OF GRANT THORNTON CAMELSA ZIMBABWE

I would like to lodge an official complaint against Mr Reggie Saruchera Managing Partner of Grant Thornton Camelsa, a member firm of Grant Thornton International on the corrupt and incompetent manner in which he handled the Liquidation of ENG Investments P/L. I would like Grant Thornton International to investigate this and possibly review its relationship with Mr Saruchera and CAMELSA especially in view I am finalizing legal action against Mr Saruchera and CAMELSA which will enjoin Grant Thornton International as the main entity supporting Mr Saruchera and his discredited operation .

A - Just to highlight his incompetence he sold my personal house number 17 Chishawasha Road, Chishawasha Hills, Umwinsdale Harare when he didn’t have Authority and whilst leaving Company assets which he later said were in excess to liabilities. If he was honest and competent he should have self Company assets first and if there was a shortfall he could then have gone after personal assets. But due to his corrupt nature ,incompetence and vindictiveness he chose to make me homeless by selling my home and residence leaving me homeless.

B - In addition Mr Reggie Saruchera Managing Partner of Grant Thornton Camelsa, a member firm of Grant Thornton International is at the centre of my dispute with Interfin Banking Corporation due to his corrupt and incompetent handling of the ENG liquidation. In particular his disposal of 309 million Century Holdings shares which we bought for Z$ 35 billion (then equivalent to approximately US $ 17.5 million ) and selling those shares for Z$ 2.9 billion ( then approximately equivalent to US $ 1,5 million).He sold the shares creating a loss of Z$ 32 billion (approximately $ US 16 million).This transaction had all hallmarks of corruption, insider trading and incompetence all rolled into one which forced me to initiate high court action HC 6244-04 . I have attached a copy of HC -6244 -04 which fully describes the fraud and corruption engineered by Mr Saruchera.This is totally unbecoming for a Chartered Accountant to be so blatantly corrupt and fraudulent when he had a fiduciary duty to protect all stakeholder interest. He totally ignored this duty and embarked on mission to line his pockets and in unjust self enrichment schemes selling assets at under priced levels to his relatives, friends and cronies.

Brief Back Ground
In late 2003 my business partner and myself were arrested on allegations of economic crimes which we were later cleared of resulting in my De-specification on 29 April 2011. In order for us get bail we secured the creditors by placing ENG Capital under voluntary liquidation. We and First Mutual Life the biggest creditors agreed on Mr Reggie Saruchera who was to protect our Interest and those interests of the creditors .A consent order was granted on the proviso that he was supposed to work in consultation with all stakeholders since he had been appointed with our consent under High court cases HC 244-04 and HC 145 - 04.


Mr Saruchera and Managing Partner of Grant Thornton Camelsa, a member firm of Grant Thornton International had a fiduciary responsibility to act prudently, honestly and diligently. We all assumed that being a Chartered Accountant accredited to Institute of Accountants of Zimbabwe ( ICAZ) Mr Saruchera would act competently, professionally and reasonably. We were very disappointed by his level of incompetence, unprofessionalism ,unreasonableness and general corrupt conduct on how he handled the ENG Capital Investments liquidation.

In the first instance Mr Saruchera started by selling off ENG Assets before even verifying the Company’s liabilities and assets. He did not even construct a basic Trial Balance to guide the process and he started to sell assets hap-hazardly in a corrupt manner least expected of a man who claims to be a Chartered Accountant. Even an inexperienced book keeper would know that before selling assets you need to secure them and verify all claims before deciding what to sell and at what price.

1 - He sold assets which he didn’t have authority or permission to sell. We suspect he was getting kick backs from his connections who were getting these assets at completely unrealistic prices.

2 - He sold our personal assets even though he had not exhausted Company assets which he later on surrendered saying they were in excess to creditor requirements.

3 - He was cherrying picking our personal assets motivated by greedy, corruption and envy and selling these asset to his select connections whom we suspect were his friends, relatives and business associates.It appears his friends, relatives and business associates were directing him which assets to sell and at what price totally ignoring his fiduciary duties.

4 - For Example he sold my house number 17 Chishawasha Road ,Chishawasha to someone we have reason to believe is his close friend or relative yet he returned Allied Conveyors P/L and other assets to ENG Directors .Why would he sell my personal house leaving me homeless when he could have sold movable assets such as Allied Conveyors. Such actions only prove his corrupt and incompetent conduct which is totally unbecoming of a man who is supposed to be a Chartered Accountant in good standing with ICAZ.

5 - Once Mr Saruchera Managing Partner of Grant Thornton Camelsa, a member firm of Grant Thornton International was appointed Liquidator he took a very hostile and aggressive attitude towards us even though we had appointed him by consent to protect all stake holders. We agreed that the best way was to negotiate share swaps with creditors and give them shares which we owned in various companies instead of selling the shares because the share market was depressed. Our biggest creditor FML and others had agreed to get shares instead of cash in particular our shares in Century Bank were bought at a cost of $ 35 billion and were valued even higher since they were a controlling stake in a Bank

6 - We heard Rumours that Century Shares were being sold and we asked Mr Saruchera who initially denied the rumour. After a few days we then read in the newspaper that Mr Saruchera had sold 309 million CENTURY shares .Our lawyer then wrote to him seeking clarification on why he had sold the shares since he did not have permission to sell the shares and also since Creditors had agreed to receive shares instead of cash payments. We wrote to ZSE and to Fidelity asking for identity of buyer and seeking investigation because we suspected Mr Saruchera acted corruptly to sell the shares at 2,9 billion when we had bough the shares for $ 35 billion ( US17 $ million) (causing a loss of $ 32 billion or US $ 16 million).He sold them through a special bargain which showed he had a side deal already since he was supposed to sell the shares thru normal market deal which sells to the highest bidder.

7 - Special Bargains are pure symptoms of corruption and kick backs especially when assets are supposed to be sold to the highest bidder to ensure that Creditors are fully paid and any surplus goes to the

8 - Our lawyers asked the ZSE to stop the deal and investigate. This was ignored. We then started legal proceedings of High court case HC 6244-04 Seeking to stop the sale of the shares and remove Saruchera from office. Once Saruchera saw our court action he then could not defend his decision which was clearly corrupt and unjustifiable by selling something bought for $35 billion for $ 2.9 billion. He started to intimidate us with specification threats and also verbally saying he had full powers from "authorities" to deal with us as harshly as he wanted.

9 - After we filed the motion to remove Saruchera from office and stop the sale of the shares Saruchera then applied to the Minister of Justice for myself ,my business partner Nyasha Watyoka and our Lawyer to be specified. We were all specified and Saruchera appointed Investigator. Saruchera then became Liquidator and Investigator at the same time.

10 - Mr Saruchera was selling assets which he was supposed to investigate even though there was already court application HC 6244-04 to stop the sales and remove him from office. There was conflict of interest with liquidator being investigator he became the Police, Prosecutor, Witness and Judge all rolled into one creating a situation without any check as to the fairness of the work he was doing.

11 - Various laws and regulations were violated in the process of disposing our shares in the Bank .There was a general cloud of corruption, insider dealing ,incompetence which I outlined in my High court application Case HC 6244-04 seeking to remove Mr Saruchera from office as Liquidator since he had started by selling our assets without even verifying how much we owed to the creditors as is required by the law and general good corporate governance practice

12 - My lawyer then told me I was not safe since he had information that there were people who were prepared to eliminate me so that they can have full access to the ENG assets which I was resisting through court action. In fear I then fled Zimbabwe and tried to clear my name and clarify the ENG position.

13 - Mr Saruchera then continued to sell assets and he even sold my personal house number 17 Chishawasha Road, Chishawasha this (left me homeless) even though he had not finished selling ENG assets he took my personal house whilst leaving ENG assets such as Allied Conveyors which he later returned but he sold my house instead of ENG assets showing he was being ,malicious ,vindictive and corrupt as I suspect most assets were being sold to his connections .

14 - The bank was sold even though there was a court application HC 6244-04 to block it. Interfin and many other buyers before them were buying an asset that was already disputed. They failed to do their proper due diligence to verify the ownership dispute. They inherited Century/CFX bank and took over its assets and liabilities which included our claim. This is the nature of my dispute with Interfin Bank.

15 - Interfin Bank have always known the illegal and corrupt nature surrounding the sale of those shares and assumed all risk linked to these shares and that Financial Instution which is well known.

My court claim HC 6244-04 filed at the is well known and was well publicised such that when the Finance Bank of Zambia and Credit Suisse of Switzerland attempted to buy CFX Bank I told them about my claim and they did their own checks and verified the legitimacy of the claim. They stopped the transaction since my claim was proved to be legitimate. Interfin Banking Corporation were fully aware that they were buying stolen property and are now in possession of stolen property which they should return.


Yours Sincerely ,

Gilbert Muponda
Contact
Phone - 1-647-994-5542
Email - gilbert@gmricapital.com
Face Book - http://www.facebook.com/GMRICAPITAL

GILBERT FARAI MUPONDA and ENG CAPITAL (PVT) LTD: INTEREST IN CFX FINANCIAL SERVICES (PVT) LTD

OUR REF: BC/pmd/44



Monday September 27, 2010



The Managing Director

Interfin Holdings (Pvt) Ltd

15th Floor, NSSA Building

Cnr Sam Nujoma St/Julius Nyerere Way

HARARE



Attention: Mr. R. Njanike



Dear Mr. Njanike



Re: GILBERT FARAI MUPONDA and ENG CAPITAL (PVT) LTD: INTEREST IN CFX FINANCIAL SERVICES (PVT) LTD



We refer to our letter dated August 27, 2010 as well as to other previous correspondence in this matter.



We confirm that our client right from the outset, has been challenging the manner in which ENG Capital (Pvt) Ltd’s shares in Century Bank were disposed of by the liquidator, Mr. R. Saruchera. In fact, our client challenged the transfer of the shares through High Court case No. H.C. 6244/04. His co-director, Mr. Nyasha Watyoka supported this court application. The main thrust of this court application was to block the sale and/or transfer of our client’s shares. Our client owned 309 million shares in Century Bank Limited. With respect, therefore, the assumption that our client does not have a legitimate claim is clearly misplaced. Please note that case number H.C. 6244/04, that was filed in the High Court at Harare in late May 2004 by our client’s then lawyer, the late Mr. Oscar Ziweni, is still pending. For your information and records, herewith we forward a copy of the full court application under case number H.C. 6244/04. Our understanding is that Century Holdings has since been effectively taken over by Interfin Holdings Limited. Further, we understand that Interfin Holdings (Pvt) Ltd assumed all the assets and liabilities of the Century Holdings Limited when they took over CFX Bank which itself had taken over the original Century Bank.



When Mr. Oscar Ziweni passed on, our client was left with no legal representation at that stage and around the same time, he was specified. Fearing for his life, our client had no option but to flee Zimbabwe. Mr. Ziweni died in a very mysterious circumstance and our client had every reason to fear that his own life was also in danger. This is the main reason why he fled Zimbabwe.



The process to have our client de-specified has since been set in motion and we are very confident that within the next few weeks, he will be formally de-specified.



You can be assured that our client will take this matter up with the courts in Zimbabwe as soon as he is formally de-specified.



Yours faithfully



B. CHIKOWERO (MR)



GUTU & CHIKOWERO



cc client



cc The Business Editor



NewsDay



Harare



Attention: Mr. Munyaradzi Mugowo



(This is for your information. In the interest of fairness and balanced reporting, we hope and trust that your newspaper will carry a story that gives our client’s side of the story as set out in our letter to Interfin Holdings Limited).

Corruption and Incompetence perfected by Mr Reggie Saruchera of Grant Thornton Camelsa, of Grant Thornton International

Mr Reggie Saruchera of Grant Thornton Camelsa, of Grant Thornton International

refused to identify the buyer of our 309 million shares Century Shares whom we believe were his front, connection ,relative or business associates.



When I challenged him in court to identify the buyer instead of responding to court application he applied to the Minister of Justice to have me specified so that I could not challenge him.He applied for my specification maliciously so that he could corruptly dispose off ENG assets with any resistance.



This was a clear attempt to cover his corrupt and incompetent conduct.Mr Reggie Saruchera Managing Partner of Grant Thornton Camelsa, a member firm of Grant Thornton International is at the centre of this dispute with Interfin Banking Corporation due to his corrupt and incompetent handling of the ENG liquidation. In particular his disposal of 309 million Century Holdings shares which we bought for Z$ 35 billion (then equivalent to approximately US $ 17.5 million ) and selling those shares for Z$ 2.9 billion ( then approximately equivalent to US $ 1,5 million).He sold the shares creating a loss of Z$ 32 billion (approximately $ US 16 million).This transaction had all hallmarks or corruption, insider trading and incompetence all rolled into one which forced me to initiate high court action HC 6244-04 . Interfin Banking Corporation due to greed and unchecked appetite for risk thought wise to buy a looted asset which created the current dispute with ENG Capital.



　

Interfin Bank Corporation, Farai Rwodzi,,Raymond Njanike have always known of my claim of this bank since I personally wrote to them and my lawyers Gutu and Chikowero wrote to them well before they got involved and advised them of the dispute and the claim.



Due to greed, incompetence and lack of foresight Interfin Banking Corporation decided to buy what was clearly a stolen asset. And now they are in possession of stolen property which they bought knowing fully it was contested and stolen. For the avoidance of doubt below is one of the letters by my Lawyers Gutu and Chikowero to Interfin Managing Director on the matter.




OUR REF: BC/pmd/44



Monday September 27, 2010



The Managing Director

Interfin Holdings (Pvt) Ltd

15th Floor, NSSA Building

Cnr Sam Nujoma St/Julius Nyerere Way

HARARE



Attention: Mr. R. Njanike



Dear Mr. Njanike



Re: GILBERT FARAI MUPONDA and ENG CAPITAL (PVT) LTD: INTEREST IN CFX FINANCIAL SERVICES (PVT) LTD



We refer to our letter dated August 27, 2010 as well as to other previous correspondence in this matter.



We confirm that our client right from the outset, has been challenging the manner in which ENG Capital (Pvt) Ltd’s shares in Century Bank were disposed of by the liquidator, Mr. R. Saruchera. In fact, our client challenged the transfer of the shares through High Court case No. H.C. 6244/04. His co-director, Mr. Nyasha Watyoka supported this court application. The main thrust of this court application was to block the sale and/or transfer of our client’s shares. Our client owned 309 million shares in Century Bank Limited. With respect, therefore, the assumption that our client does not have a legitimate claim is clearly misplaced. Please note that case number H.C. 6244/04, that was filed in the High Court at Harare in late May 2004 by our client’s then lawyer, the late Mr. Oscar Ziweni, is still pending. For your information and records, herewith we forward a copy of the full court application under case number H.C. 6244/04. Our understanding is that Century Holdings has since been effectively taken over by Interfin Holdings Limited. Further, we understand that Interfin Holdings (Pvt) Ltd assumed all the assets and liabilities of the Century Holdings Limited when they took over CFX Bank which itself had taken over the original Century Bank.



When Mr. Oscar Ziweni passed on, our client was left with no legal representation at that stage and around the same time, he was specified. Fearing for his life, our client had no option but to flee Zimbabwe. Mr. Ziweni died in a very mysterious circumstance and our client had every reason to fear that his own life was also in danger. This is the main reason why he fled Zimbabwe.



The process to have our client de-specified has since been set in motion and we are very confident that within the next few weeks, he will be formally de-specified.



You can be assured that our client will take this matter up with the courts in Zimbabwe as soon as he is formally de-specified.



Yours faithfully



B. CHIKOWERO (MR)



GUTU & CHIKOWERO



cc client



cc The Business Editor



NewsDay



Harare



Attention: Mr. Munyaradzi Mugowo



(This is for your information. In the interest of fairness and balanced reporting, we hope and trust that your newspaper will carry a story that gives our client’s side of the story as set out in our letter to Interfin Holdings Limited).

Letter Sent to Interfin Banking Corporation MD Raymond Njanike

OUR REF: BC/pmd/44



Monday September 27, 2010



The Managing Director

Interfin Holdings (Pvt) Ltd

15th Floor, NSSA Building

Cnr Sam Nujoma St/Julius Nyerere Way

HARARE



Attention: Mr. R. Njanike



Dear Mr. Njanike



Re: GILBERT FARAI MUPONDA and ENG CAPITAL (PVT) LTD: INTEREST IN CFX FINANCIAL SERVICES (PVT) LTD



We refer to our letter dated August 27, 2010 as well as to other previous correspondence in this matter.



We confirm that our client right from the outset, has been challenging the manner in which ENG Capital (Pvt) Ltd’s shares in Century Bank were disposed of by the liquidator, Mr. R. Saruchera. In fact, our client challenged the transfer of the shares through High Court case No. H.C. 6244/04. His co-director, Mr. Nyasha Watyoka supported this court application. The main thrust of this court application was to block the sale and/or transfer of our client’s shares. Our client owned 309 million shares in Century Bank Limited. With respect, therefore, the assumption that our client does not have a legitimate claim is clearly misplaced. Please note that case number H.C. 6244/04, that was filed in the High Court at Harare in late May 2004 by our client’s then lawyer, the late Mr. Oscar Ziweni, is still pending. For your information and records, herewith we forward a copy of the full court application under case number H.C. 6244/04. Our understanding is that Century Holdings has since been effectively taken over by Interfin Holdings Limited. Further, we understand that Interfin Holdings (Pvt) Ltd assumed all the assets and liabilities of the Century Holdings Limited when they took over CFX Bank which itself had taken over the original Century Bank.



When Mr. Oscar Ziweni passed on, our client was left with no legal representation at that stage and around the same time, he was specified. Fearing for his life, our client had no option but to flee Zimbabwe. Mr. Ziweni died in a very mysterious circumstance and our client had every reason to fear that his own life was also in danger. This is the main reason why he fled Zimbabwe.



The process to have our client de-specified has since been set in motion and we are very confident that within the next few weeks, he will be formally de-specified.



You can be assured that our client will take this matter up with the courts in Zimbabwe as soon as he is formally de-specified.



Yours faithfully



B. CHIKOWERO (MR)



GUTU & CHIKOWERO



cc client



cc The Business Editor



NewsDay



Harare



Attention: Mr. Munyaradzi Mugowo



(This is for your information. In the interest of fairness and balanced reporting, we hope and trust that your newspaper will carry a story that gives our client’s side of the story as set out in our letter to Interfin Holdings Limited).

Mr Reggie Saruchera of Grant Thornton Camelsa, of Grant Thornton International When proffessionals act unprofessionally

Introduction
Mr Reggie Saruchera Managing Partner of Grant Thornton Camelsa, a member firm of Grant Thornton International is at the centre of my dispute with Interfin Banking Corporation due to his corrupt and incompetent handling of the ENG liquidation. In particular his disposal of 309 million Century Holdings shares which we bought for Z$ 35 billion (then equivalent to approximately US $ 17.5 million ) and selling those shares for Z$ 2.9 billion ( then approximately equivalent to US $ 1,5 million).He sold the shares creating a loss of Z$ 32 billion (approximately $ US 16 million).This transaction had all hallmarks or corruption, insider trading and incompetence all rolled into one which forced me to initiate high court action HC 6244-04 . Interfin Banking Corporation due to greed and unchecked appetite for risk thought wise to buy a looted asset which created the current dispute with ENG Capital.

Brief Back Ground
In late 2003 my business partner and myself were arrested on allegations of economic crimes which we were later cleared of resulting in my De-specification on 29 April 2011. In order for us get bail we secured the creditors by placing ENG Capital under voluntary liquidation. We and FML the biggest creditors agreed on Mr Reggie Saruchera who was to protect our Interest and those interests of the creditors .A consent order was granted this order meant he was supposed to work in consultation with all stakeholders since he had been appointed with our consent.


Mr Saruchera and Managing Partner of Grant Thornton Camelsa, a member firm of Grant Thornton International had a fiduciary responsibility to act prudently, honestly and diligently. We all assumed that being a Chartered Accountant accredited to Institute of Accountants of Zimbabwe ( ICAZ) Mr Saruchera would act competently, professionally and reasonably. We were very disappointed by his level of incompetence, unprofessionalism ,unreasonableness and general corrupt conduct on how he handled the ENG Capital Investments liquidation.

In the first instance Mr Saruchera started by selling off ENG Assets before even verifying the Company’s liabilities and assets. He did not even construct a basic Trial Balance to guide the process and he started to sell assets hap-hazardly in a corrupt manner least expected of a man who claims to be a Chartered Accountant. Even an inexperienced book keeper would know that before selling assets you need to secure them and verify all claims before deciding what to sell and at what price.

1 - He sold assets which he didn’t have authority or permission to sell. We suspect he was getting kick backs from his connections who were getting these assets at completely unrealistic prices.

2 - He sold our personal assets even though he had not exhausted Company assets which he later on surrendered saying they were in excess to creditor requirements.

3 - He was cherrying picking our personal assets motivated by greedy, corruption and envy and selling these asset to his select connections whom we suspect were his friends, relatives and business associates.It appears his friends, relatives and business associates were directing him which assets to sell and at what price totally ignoring his fiduciary duties.

4 - For Example he sold my house number 17 Chishawasha Road ,Chishawasha to someone we have reason to believe is his close friend or relative yet he returned Allied Conveyors P/L and other assets to ENG Directors .Why would he sell my personal house leaving me homeless when he could have sold movable assets such as Allied Conveyors. Such actions only prove his corrupt and incompetent conduct which is totally unbecoming of a man who is supposed to be a Chartered Accountant in good standing with ICAZ.

5 - Once Mr Saruchera Managing Partner of Grant Thornton Camelsa, a member firm of Grant Thornton International was appointed Liquidator he took a very hostile and aggressive attitude towards us even though we had appointed him by consent to protect all stake holders. We agreed that the best way was to negotiate share swaps with creditors and give them shares which we owned in various companies instead of selling the shares because the share market was depressed. Our biggest creditor FML and others had agreed to get shares instead of cash in particular our shares in Century Bank were bought at a cost of $ 35 billion and were valued even higher since they were a controlling stake in a Bank

6 - We heard Rumours that Century Shares were being sold and we asked Mr Saruchera who initially denied the rumour. After a few days we then read in the newspaper that Mr Saruchera had sold 309 million CENTURY shares .Our lawyer then wrote to him seeking clarification on why he had sold the shares since he did not have permission to sell the shares and also since Creditors had agreed to receive shares instead of cash payments. We wrote to ZSE and to Fidelity asking for identity of buyer and seeking investigation because we suspected Mr Saruchera acted corruptly to sell the shares at 2,9 billion when we had bough the shares for $ 35 billion ( US17 $ million) (causing a loss of $ 32 billion or US $ 16 million).He sold them through a special bargain which showed he had a side deal already since he was supposed to sell the shares thru normal market deal which sells to the highest bidder.

7 - Special Bargains are pure symptoms of corruption and kick backs especially when assets are supposed to be sold to the highest bidder to ensure that Creditors are fully paid and any surplus goes to the

8 - Our lawyers asked the ZSE to stop the deal and investigate. This was ignored. We then started legal proceedings of High court case HC 6244-04 Seeking to stop the sale of the shares and remove Saruchera from office. Once Saruchera saw our court action he then could not defend his decision which was clearly corrupt and unjustifiable by selling something bought for $35 billion for $ 2.9 billion. He started to intimidate us with specification threats and also verbally saying he had full powers from "authorities" to deal with us as harshly as he wanted.

9 - After we filed the motion to remove Saruchera from office and stop the sale of the shares Saruchera then applied to the Minister of Justice for myself ,my business partner Nyasha Watyoka and our Lawyer to be specified. We were all specified and Saruchera appointed Investigator. Saruchera then became Liquidator and Investigator at the same time.

10 - Mr Saruchera was selling assets which he was supposed to investigate even though there was already court application HC 6244-04 to stop the sales and remove him from office. There was conflict of interest with liquidator being investigator he became the Police, Prosecutor, Witness and Judge all rolled into one creating a situation without any check as to the fairness of the work he was doing.

11 - Various laws and regulations were violated in the process of disposing our shares in the Bank .There was a general cloud of corruption, insider dealing ,incompetence which I outlined in my High court application Case HC 6244-04 seeking to remove Mr Saruchera from office as Liquidator since he had started by selling our assets without even verifying how much we owed to the creditors as is required by the law and general good corporate governance practice

12 - My lawyer then told me I was not safe since he had information that there were people who were prepared to eliminate me so that they can have full access to the ENG assets which I was resisting through court action. In fear I then fled Zimbabwe and tried to clear my name and clarify the ENG position.

13 - Mr Saruchera then continued to sell assets and he even sold my personal house number 17 Chishawasha Road, Chishawasha this (left me homeless) even though he had not finished selling ENG assets he took my personal house whilst leaving ENG assets such as Allied Conveyors which he later returned but he sold my house instead of ENG assets showing he was being ,malicious ,vindictive and corrupt as I suspect most assets were being sold to his connections .

14 - The bank was sold even though there was a court application HC 6244-04 to block it. Interfin and many other buyers before them were buying an asset that was already disputed. They failed to do their proper due diligence to verify the ownership dispute. They inherited Century/CFX bank and took over its assets and liabilities which included our claim. This is the nature of my dispute with Interfin Bank.

15 - Interfin Bank have always known the illegal and corrupt nature surrounding the sale of those shares and assumed all risk linked to these shares and that Financial Instution which is well known.

16 - My court claim HC 6244-04 filed at the High court in Harare on 21 May 2004 is well known and was well publicised such that when the Finance Bank of Zambia and Credit Suisse of Switzerland attempted to buy CFX Bank I told them about my claim and they did their own checks and verified the legitimacy of the claim. They stopped the transaction since my claim was proved to be legitimate. Interfin Banking Corporation were fully aware that they were buying stolen property and are now in possession of stolen property which they should return.

Notice of Opposition to CFX Bank liquidation attempt by Interfin Banking Corporation

Founding Affidavit opposing the Liquidation of CFX Bank Limited in terms of the Companies Act by Gilbert Muponda filed with the Master of High Court I, GILBERT MUPONDA, of the City of TORONTO,ONTARIO ,CANADA, MAKE OATH

AND SAY AS FOLLOWS:

swear or affirm that:

(A) - I know or believe the following facts to be true. If these facts are based on information from others,

(B) - I believe that information to be true.

(C) - I make this affidavit to oppose an application by -

INTERFIN BANKING CORPORATION’s parent Company INTERFIN FINANCIAL HOLDINGS LIMITED DIRECTORS AND CFX BANK LIMITED DIRECTORS AND CFX FINANCIAL SERVICES HOLDINGS LIMITED FOR LIQUIDATION OF CFX BANK LIMITED


BRIEF BACK GROUND

At all material times covered by these proceedings I have been the controlling shareholder of Century Bank Financial Holdings which I controlled through various investment vehicles and companies collectively known as ENG Capital .Century Bank Financial Holdings Limited was merged with CFX Bank and renamed CFX Bank and then merged with Interfin Merchant Bank resulting in formation of Interfin Banking Corporation. I have already filed HC 62 -6244-04 seeking the reversal of the first illegal merger between Century Bank and CFX Bank upon its completion will result upon the reversal of the Merger of Interfin and CFX Bank since Interfin on its own does not have any meaningful assets accept those stripped from my Bank which I owned through various investment vehicles generally known as ENG Capital Group.


When I opposed the first merger between Century Bank and CFX bank I was specified to tie my hands so that I could not legally challenge this illegal and irregular transaction. I was specified under the Prevention of Corruption Act whose purpose is to allow and investigation and also safeguard assets of the specified person so that no-one can sell, buy or dispose of these assets as they are under investigation.


I was specified on 28 May 2004. The specification order was revoked on 29 April 2011.This legally restores me to my pre-specification position and I seek to now proceed with HC -6244-04 .I have attached the original founding affidavit.

According to the Prevention of Corruption Act Assets of a specified person can not be sold ,bought or disposed of since those assets are under investigation and would be required as evidence in the legal proceedings. So you can not be investigating assets and at the same time selling those very same assets. The purpose of specifying a person is to facilitate investigations into the alleged corrupt activities. Section 10(2) specifically prohibits any person from dealing with the assets of a specified person. In terms of Section 10(7) of the Act to all transactions that we purportedly concluded during the period specification are null and void.


The purpose of specification is not to sell an individuals assets but to investigate so assets cant be sold whilst they are being investigated at the same. This is illegal and against natural justice and the Anti-Corruption Act.

When Interfin Bank illegally and irregularly took over my Bank CFX which was previously called Century Bank they used the excuse that I was specified so I couldn’t oppose the illegal transaction. Now that that my full legal rights have been restored I have already filed a motion to oppose the liquidation of CFX Bank and also reverse the Merger which created Interfin Banking Corporation.


1 - I do hereby place it on record that I wish to oppose the proposed liquidation of CFX Bank Limited. I will suffer irreparable financial damage exceeding US $ 15.4 million if the said liquidation goes ahead before finalization of the High Court case HC 6244-04 in which I am challenging the illegal and irregular sale of 309 million shares from Century Bank which was then merged to create CFX Bank which is now in liquidation in an attempt to escape paying the $ 15.4 million.


2 - I have an on-going dispute involving CFX Bank Limited and Interfin Banking Corporation and its holding Company.Mr Raymond Njanike the Managing Director of Interfin Bank has publicly acknowledged this dispute in the NewsDay Newspaper published on 27 September 2010 by Mr Munyaradzi Muguwo in addition to many other articles.Link http://www.newsday.co.zw/article/2010-09-27-muponda-scared-off-cfx-suitors-interfin


3 - Interfin Holdings Limited Director Mr Farai Rwodzi also publicly acknowledged this debt when he falsely claimed in the Newsday Newspaper of 25 August 2010 that Interfin had paid me US $ 5.3 million for my shares in Century / CFX Bank which were illegally and irregularly acquired. The link is herehttp://www.newsday.co.zw/article/2010-08-25-interfin-acquires-13-of-starafrica


4 - I denied this false statement and NewsDay Newspaper published a retraction a few days later.Upto this day Interfin have not paid me anything for my Bank which they took and rebranded Interfin Banking Corporation and now they are trying to liquidate it after stripping it of all assets.


5 - ENG Capital contributories ,shareholders and Directors and myself are claiming US$ 15.4 million being the 309 million shares multiplied by the share price of $ 0.05 which give the claim total of US $ 15.4 million.


6 - Interfin Banking Corporation Zimbabwe is a product of a fraudulent merger between Century Bank and CFX Bank which was subsequently renamed Interfin Banking Corporation after another irregular merger between Century/CFX Bank and Interfin Bank Zimbabwe.


7 - The liquidation of CFX Bank Limited should therefore be held back until such a time that HC 6244-04 is finalized. Interfin Bank Directors are seeking to hide their tracks and creating a very complex and complicated web of mergers and de-mergers and liquidations and re-structurings which will conceal their illegal and irregular take over of Century/CFX Bank assets.



8 - All these “fake mergers” were designed with the intention of concealing the initial fraudulent transfer of 309 million Century shares illegally and irregularly transferred into Century/CFX Bank then Interfin Banking Corporation. This illegal transfer is being challenged through High court case HC-6244-04.


9 - I have attached a copy of my original founding affidavit for High Court Case HC 6244 – 04 dated 21 May 2004.


10 - I have attached the supporting affidavit by my co-Director Nyasha Watyoka fully supporting my Original affidavit.


11 - The High Court Case is still before the Courts but it has been delayed since I am currently specified and as such have to seek permission from the Liquidator/Investigator to proceed with the action. However my court action HC 6244-04 is on the most part against the liquidator /Investigator it is therefore not possible to seek permission and approval from the same person you wish to take action against.


12 - I wish that the liquidation be delayed until such a time High Court deals with HC 6244-04.The liquidation is not urgent and I see no reason why it can not be put on hold pending the finalization of HC -6244-04.


13 - Proceeding with the liquidation before HC 6244-04 is finalized will cause me irreparable damage amounting to $ 15.4 million which I am seeking from CFX Bank Limited ,Interfin Holdings ,Interfin Directors and Shareholders jointly and severally each paying and absolving for the other.


14 - Interfin Banking Corporation Zimbabwe is a product of a fraudulent merger between Interfin Merchant Bank and CFX Bank which was subsequently renamed Interfin Banking Corporation after another irregular merger between Century/CFX Bank Limited and Interfin Bank Zimbabwe.


15 - Any further transaction or re-organization or restructuring will not change the facts that Interfin Banking Corporation has a disputed ownership due to the presence of CFX Bank assets in its DNA composition.


16 - If the merger was approved by all the regulatory Authorities then why would Interfin try to liquidate a Bank which it merged with. It clearly doesn’t make any sense to liquidate a Bank which has already been merged with another .


17 - Its not legally possible and its practically fictitious to claim to liquidate a Bank which has already merged with another resulting in the formation of a new entity.


18 - The so-called liquidation of CFX Bank is nothing but a fraud being perpetrated by Interfin Holdings Directors . There is no liquidation taking place whatsoever since all the CFX assets have already been “merged“ and transferred into the new entity now renamed Interfin Banking Corporation.


19 - This is an effort to hide the tracks of the original fraud which is being challenged under High Court case HC 6244-04.This is an effort to escape legitimate liabilities brought about by Interfin`s unwise and greed move of trying to grab CFX Bank assets.


20 - Interfin can not fully capitalize a Bank and then liquidate the same bank all within a year .According to another report titled Interfin Holdings Fully Capitalises CFX Bank Published on 13 January 2010 – http://allafrica.com/stories/201001130248.html .


21 - This does not add up and only provides further evidence that Interfin Banking Corporation are involved in fraudulent transaction and the various movements are meant to hide the tracks and cleanse an otherwise illegal and underhand deal.


22 - There can be no talk of liquidating CFX Bank since CFX Assets have been merged with Interfin and effectively transferred into Interfin Banking Corporation and rebranded Interfin Banking Corporation in an a deliberate fraudulent effort to hide the illegal take over of Century – CFX Bank assets and network.


23 - Specifically the assets below have been stripped from CFX Bank and transferred into Interfin Banking Corporation. IT and Computer Systems

- MoneyGram Money Transfer Franchise and System

- Branch Network

- Customers , clients and loan Book

- International Correspondent Bank Network

- Management and Staff

- Leases, Contracts and general goodwill

- Buildings and offices

- ZSE Listing Spot


24 - Interfin Bank Directors led by Messrs Farai Rwodzi and Raymond Njanike are getting increasingly desperate to hide their tracks on the illegal and irregular take over of Century – CFX Bank assets which were illegally transferred into Interfin Bank and rebranded Interfin Banking Corporation.


25 - Their lastest stunt of claiming to “liquidate“ CFX Bank is one such effort to conceal their fraudulent take over of Century – CFX Bank assets and stealthily transferring them into Interfin Bank and rename the resultant entity Interfin Banking Corporation.


26 - After claiming a successful merger as anticipated in this report by Dumisani Ndlela http://www.financialgazette.co.zw/companies-a-markets/4525-cfx-fs-to-lose-bank-for-bigger-entity.html in June 2010 only 9 months later CFX Bank now rebranded Interfin Banking Corporation is being liquidatedhttp://www.newsday.co.zw/article/2011-03-14-cfx-to-windup-operations .


27 - Interfin owes me and other contributories US 15.4 million for the 309 million shares fraudulently converted from Century Bank into CFX Bank then Interfin Banking Corporation. Interfin Bank Directors and Shareholders are trying to escape paying this liability by claiming CFX Bank is being liquidated.


28 - Interfin Holdings limited and Interfin Banking Corporation Directors continue to mislead the public and other stakeholders by devising fraudulent schemes as a way to avoid settling what is due to Gilbert Muponda and ENG Capital contributories, shareholders and Directors.


29 - The fraudulent attempt by Interfin Holdings Directors to mislead the investing public and depositors that the ownership dispute will disappear just because they are attempting to fake a liquidation of a Bank whose assets they have transferred into another entity is totally irresponsible and disingenuous .


30 - Interfin Banking Corporation Directors seem to be practizing moral flexibility whilst bending rules and regulations to conceal their prior knowledge of a legitimate claim which they with held informing their employers who are the Investing public who are protected by the ZIMBABWE STOCK EXCHANGE ACT Acts 27/1973, 24/1975, 15/1981, 20/1984; R.G.Ns 54/1975; 1135/1975, S.Is 468/1979, 236/1980.


31 - High Court Case HC-6244-04 was filed in 2004 and its still pending before the courts. Yet Interfin Banking Corporation Directors pretend there was never any challenge to their illegal and irregular grabbing of Century/CFX Bank.


32 - By will fully and deliberately misleading the Investing Public in violation of the ZSE Act Interfin Banking Corporation is an organization that has re-defined the definition of corruption , deceit and concealment of material information from Investing public and Regulatory Authorities.


33 - The liquidation of CFX Bank Limited should therefore be held back until such a time that HC 6244-04 is finalized. Interfin Bank Directors are seeking to hide their tracks and creating a very complex and complicated web of mergers and de-mergers and liquidations and re-structurings which will conceal their illegal and irregular take over of Century/CFX Bank assets.



34 - I make this affidavit in opposing the Liquidation of CFX bank Limited before High Court Case HC 6244-04 is finalized, and for no illegal or improper purpose.

Interfin Bank attempt to liquidate CFX Bank blocked by Gilbert Muponda Case HC 288-11

Founding Affidavit opposing the Liquidation of CFX Bank Limited in terms of the Companies Act by Gilbert Muponda served on Interfin Bank and CFX Bank and filed with the Master of High Court on 17 May 2011 AT HARARE

I, GILBERT MUPONDA, of the City of TORONTO,ONTARIO ,CANADA, MAKE OATH

AND SAY AS FOLLOWS:
swear or affirm that:

I know or believe the following facts to be true. If these facts are based on information from others,
I believe that information to be true.
I make this affidavit in relation to an application* by

Interfin Holdings Limited Directors and CFX Bank Limited Directors
For Liquidation of CFX Bank Limited.

When Interfin Bank illegally and irregularly took over my Bank CFX which was previously called Century Bank they used the excuse that I was specified so I couldn’t oppose the illegal transaction. Now that that my full legal rights have been restored I have already filed a motion to oppose the liquidation of CFX Bank and also reverse the Merger which created Interfin Banking Corporation.

According to the Prevention of Corruption Act Assets of a specified person can not be sold ,bought or disposed of since those assets are under investigation and would be required as evidence in the legal proceedings. So you can not be investigating assets and at the same time selling those very same assets. The purpose of specifying a person is to facilitate investigations into the alleged corrupt activities. Section 10(2) specifically prohibits any person from dealing with the assets of a specified person. In terms of Section 10(7) of the Act to all transactions that we purportedly concluded during the period specification are null and void.


1 - I do hereby place it on record that I wish to oppose the proposed liquidation of CFX Bank Limited. I will suffer irreparable financial damage exceeding US $ 15.4 million if the said liquidation goes ahead before finalization of the High Court case HC 6244-04 in which I am challenging the illegal and irregular sale of 309 million shares from Century Bank which was then merged to create CFX Bank which is now in liquidation in an attempt to escape paying the $ 15.4 million.

2 - I have an on-going dispute involving CFX Bank Limited and Interfin Banking Corporation and its holding Company.Mr Raymond Njanike the Managing Director of Interfin Bank has publicly acknowledged this dispute in the NewsDay Newspaper published on 27 September 2010 by Mr Munyaradzi Muguwo in addition to many other articles.Link http://www.newsday.co.zw/article/2010-09-27-muponda-scared-off-cfx-suitors-interfin3 - Interfin Holdings Limited Director Mr Farai Rwodzi also publicly acknowledged this debt when he falsely claimed in the Newsday Newspaper of 25 August 2010 that Interfin had paid me US $ 5.3 million for my shares in Century / CFX Bank which were illegally and irregularly acquired. The link is herehttp://www.newsday.co.zw/article/2010-08-25-interfin-acquires-13-of-starafrica4 - I denied this false statement and NewsDay Newspaper published a retraction a few days later. Upto this day Interfin have not paid me anything for my Bank which they took and re-branded Interfin Banking Corporation and now they are trying to liquidate it after stripping it of all assets.

5 - ENG Capital contributories ,shareholders and Directors and myself are claiming US$ 15.4 million being the 309 million shares multiplied by the share price of $ 0.05 which give the claim total of US $ 15.4 million.

6 - Interfin Banking Corporation Zimbabwe is a product of a fraudulent merger between Century Bank and CFX Bank which was subsequently renamed Interfin Banking Corporation after another irregular merger between Century/CFX Bank and Interfin Bank Zimbabwe.

7 - The liquidation of CFX Bank Limited should therefore be held back until such a time that HC 6244-04 is finalized.Interfin Bank Directors are seeking to hide their tracks and creating a very complex and complicated web of mergers and de-mergers and liquidations and re-structurings which will conceal their illegal and irregular take over of Century/CFX Bank assets.


8 - All these “fake mergers” were designed with the intention of concealing the initial fraudulent transfer of 309 million Century shares illegally and irregularly transferred into Century/CFX Bank then Interfin Banking Corporation. This illegal transfer is being challenged through High court case HC-6244-04.

9 - I have attached a copy of my original founding affidavit for High Court Case HC 6244 – 04 dated 21 May 2004.

10 - I have attached the supporting affidavit by my Co-Director Nyasha Watyoka fully supporting my Original affidavit.

11 - The High Court Case is still before the Courts but it has been delayed since I am currently specified and as such have to seek permission from the Liquidator/Investigator to proceed with the action. However my court action HC 6244-04 is on the most part against the liquidator /Investigator it is therefore not possible to seek permission and approval from the same person you wish to take action against.

12 - I wish that the liquidation be delayed until such a time High Court deals with HC 6244-04.The liquidation is not urgent and I see no reason why it can not be put on hold pending the finalization of HC -6244-04.

13 - Proceeding with the liquidation before HC 6244-04 is finalized will cause me irreparable damage amounting to $ 15.4 million which I am seeking from CFX Bank Limited ,Interfin Holdings ,Interfin Directors and Shareholders jointly and severally each paying and absolving for the other.

14 - Interfin Banking Corporation Zimbabwe is a product of a fraudulent merger between Interfin Merchant Bank and CFX Bank which was subsequently renamed Interfin Banking Corporation after another irregular merger between Century/CFX Bank Limited and Interfin Bank Zimbabwe.

15 - Any further transaction or re-organization or restructuring will not change the facts that Interfin Banking Corporation has a disputed ownership due to the presence of CFX Bank assets in its DNA composition.

16 - If the merger was approved by all the regulatory Authorities then why would Interfin try to liquidate a Bank which it merged with. It clearly doesn’t make any sense to liquidate a Bank which has already been merged with another .

17 - Its not legally possible and its practically fictitious to claim to liquidate a Bank which has already merged with another resulting in the formation of a new entity.

18 - The so-called liquidation of CFX Bank is nothing but a fraud being perpetrated by Interfin Holdings Directors . There is no liquidation taking place whatsoever since all the CFX assets have already been “merged“ and transferred into the new entity now renamed Interfin Banking Corporation.

19 - This is an effort to hide the tracks of the original fraud which is being challenged under High Court case HC 6244-04.This is an effort to escape legitimate liabilities brought about by Interfin`s unwise and greed move of trying to grab CFX Bank assets.

20 - Interfin can not fully capitalize a Bank and then liquidate the same bank all within a year .According to another report titled Interfin Holdings Fully Capitalises CFX Bank Published on 13 January 2010 – http://allafrica.com/stories/201001130248.html .

21 - This does not add up and only provides further evidence that Interfin Banking Corporation are involved in fraudulent transaction and the various movements are meant to hide the tracks and cleanse an otherwise illegal and underhand deal.

22 - There can be no talk of liquidating CFX Bank since CFX Assets have been merged with Interfin and effectively transferred into Interfin Banking Corporation and rebranded Interfin Banking Corporation in an a deliberate fraudulent effort to hide the illegal take over of Century – CFX Bank assets and network.

23 - Specifically the assets below have been stripped from CFX Bank and transferred into Interfin Banking Corporation. IT and Computer Systems
- MoneyGram Money Transfer Franchise and System
- Branch Network
- Customers , clients and loan Book
- International Correspondent Bank Network
- Management and Staff
- Leases, Contracts and general goodwill
- Buildings and offices
- ZSE Listing Spot

24 - Interfin Bank Directors led are getting increasingly desperate to hide their tracks on the illegal and irregular take over of Century – CFX Bank assets which were illegally transferred into Interfin Bank and rebranded Interfin Banking Corporation.

25 - Their lastest stunt of claiming to “liquidate“ CFX Bank is one such effort to conceal their fraudulent take over of Century – CFX Bank assets and stealthily transferring them into Interfin Bank and rename the resultant entity Interfin Banking Corporation.

26 - After claiming a successful merger as anticipated in this report by Dumisani Ndlela http://www.financialgazette.co.zw/companies-a-markets/4525-cfx-fs-to-lose-bank-for-bigger-entity.html in June 2010 only 9 months later CFX Bank now re-branded Interfin Banking Corporation is being liquidatedhttp://www.newsday.co.zw/article/2011-03-14-cfx-to-windup-operations .

27 - Interfin owes me and other contributories US 15.4 million for the 309 million shares fraudulently converted from Century Bank into CFX Bank then Interfin Banking Corporation. Interfin Bank Directors and Shareholders are trying to escape paying this liability by claiming CFX Bank is being liquidated.

28 - Interfin Holdings limited and Interfin Banking Corporation Directors continue to mislead the public and other stakeholders by devising fraudulent schemes as a way to avoid settling what is due to Gilbert Muponda and ENG Capital contributories, shareholders and Directors.

29 - The fraudulent attempt by Interfin Holdings Directors to mislead the investing public and depositors that the ownership dispute will disappear just because they are attempting to fake a liquidation of a Bank whose assets they have transferred into another entity is totally irresponsible and disingenuous .

30 - Interfin Banking Corporation Directors seem to be practising moral flexibility whilst bending rules and regulations to conceal their prior knowledge of a legitimate claim which they with held informing their employers who are the Investing public who are protected by the ZIMBABWE STOCK EXCHANGE ACT Acts 27/1973, 24/1975, 15/1981, 20/1984; R.G.Ns 54/1975; 1135/1975, S.Is 468/1979, 236/1980.

31 - High Court Case HC-6244-04 was filed in 2004 and its still pending before the courts. Yet Interfin Banking Corporation Directors pretend there was never any challenge to their illegal and irregular grabbing of Century/CFX Bank.

32 - By will fully and deliberately misleading the Investing Public in violation of the ZSE Act Interfin Banking Corporation is an organization that has re-defined the definition of corruption , deceit and concealment of material information from Investing public and Regulatory Authorities.

33 - The liquidation of CFX Bank Limited should therefore be held back until such a time that HC 6244-04 is finalized. Interfin Bank Directors are seeking to hide their tracks and creating a very complex and complicated web of mergers and de-mergers and liquidations and re-structurings which will conceal their illegal and irregular take over of Century/CFX Bank assets.


34 - I make this affidavit in opposing the Liquidation of CFX bank Limited before High Court Case HC 6244-04 is finalized, and for no illegal or improper purpose.

RBZ on the right path with Gold backed Zimbabwe dollars Part 1 of 3

The recent proposal by the Reserve Bank of Zimbabwe Governor for the introduction of a Gold backed Zimbabwe Dollar is an idea whose time has come. If implemented properly the Gold backed Zimbabwe dollar will resolve the liquidity crisis currently ravaging the sanctions hit economy. In light of Global financial crisis and targeted sanctions Zimbabwe is effectively barred from accessing any meaningful lines of credit and liquidity crisis will persist if the domestic capital market is not re-activated with the introduction of a Gold or Precious-Metal backed Zimbabwe dollar.

There is need to avoid Quasi Fiscal Activities and excessive printing of money which accelerated the demise of the previous dollar. The country has started to generate meaningful revenues with Zimbabwe Revenue Authority regularly outperforming revenue collection targets. Previously the Government had been forced to print money to finance everything. This is no longer necessary given the economic recovery and the discovery of Diamonds. The revenue from Diamonds can also be used to build the 6 months import cover and stock up Gold reserves to support the Gold Backed Zimbabwe dollar as proposed by the Reserve Bank of Zimbabwe Governor.

The Gold backed currency is based on the premise that the central bank hold a large amount of gold (or other precious metal) in relation to the paper money that they issue .That means if the Country doesn’t have any gold reserves not currency can be issued, this eliminates the normal inflationary pressure that come from modern FIAT money.

Zimbabwe has been systematically been excluded from the International credit system specifically because of the ZIDERA Act passed by the US. The act makes it illegal for any US national or Entity do transactions with certain entities or individuals in Zimbabwe .This affects various Institutions such as the World Bank ,IMF, IFC ,ADB etc where US representatives can not vote in favour of any credit to Zimbabwe designated nationals and entities or entities linked to them. This creates a huge political risk premium which make International banks hesitant to grant lines of credit to Zimbabwe and Zimbabwean Institutions.

This situation effectively blocks these Institutions do any meaningful business with Zimbabwe as the country’s political risk is magnified by have many leading figures being designated nationals. This lack of access to International credit markets has become very clear through out the Economy with Banks failing to grant any medium to long term loans. This is partly causing the mini-financial crisis rocking Zimbabwe’s banks as they fail to get reasonably priced funding. Its widely reported that Banks are lending at 40 to 60 % per annum which is way to high an interest rate to give to an legitimate business transaction .This has created a very high default risk and forced banks to avoid lending. This illiquidity needs to be addressed through introduction of a Gold Backed Currency.

Modern currency is basically paper money backed by the country’s revenue generation capacity and assets. The US is the largest holder of gold reserves. How much of this is still in Fort Knox PHYSICALLY and not just on paper is another question as much gold is loaned out for the whopping sum of 0.20%! In essence the US has sold a lot of its gold into the market through gold leasing (even though it still shows up on the central banks books as a asset (accounts receivable)).This partly explains why the US$ is still the world’s reserve currency since the USA holds the largest amounts of Gold even though its exact quantity remains

In foreign exchange, no major currency is considered to be as safe and stable as the Swiss Franc. The country's centuries long policy of political neutrality as well as the fact that 40% of its currency reserves were previously backed by the precious metal, contribute to Swiss's image as “liquid gold”. The proposed Gold backed Zimbabwe dollar can in fact be based on the same format .

Canada and Australia possess large reserves of precious metal and both countries have very strong, well-developed mining sectors. Australia is the world's third largest exporter of gold with mining accounting directly for approximately 8.5% of its GDP. Canada is the world's third largest producer of gold. These 2 countries have strong economies and currencies. Whilst Zimbabwe has huge Gold and other mineral reserves these have been properly leveraged out to create liquidity in the country’s Economy. There is need for Zimbabwe to move away from total dependency on a foreign currency whose economy has nothing in common with Zimbabwe’s.

The Economy and Industry is currently reportedly operating at approximately 45 -50 % of capacity. This is significantly higher than the 10-20% capacity utilization before the introduction multiple currencies in 2009.Now the multiple currencies have achieved their main intended purpose which was to stabilize the Economy. This goal has now been achieved and the next phase which is growth requires the use of a softer currency which closely mirrors the country’s macro and micro economic conditions and the US$ can be used in its traditional sense as a foreign currency but not to permanently replace the Zimbabwe dollar.

Gilbert Muponda is CEO of GMRI Capital .He can be reached at gilbert@gmricapital.com
Skype ID - gilbert.muponda
Website - www.gmricapital.com
Face book -http://www.facebook.com/GMRICAPITAL

ENG to list on ZSE

By Darlington Musarurwa
ENG Capital Holdings, which faced the possibility of closure after the 2004 local banking crisis, is considering listing on the Zimbabwe Stock Exchange (ZSE) in the next 18 months in a process that is expected to raise an estimated US$5 million.

The holding company’s investment and asset management arms were placed under voluntary liquidation in February 2004.
However, liquidator Mr Reggie Saruchera, managing partner of Grant Thornton Camelsa, noted that the assets of the liquidated firms were actually in excess of the liabilities.


In an interview with The Sunday Mail Business last week, ENG Capital Holdings co-director Mr Gilbert Muponda said the company is planning to allocate between 5 percent and 10 percent of shares to its creditors and clients.

He also indicated that the listing is not being pursued to raise money but to “broaden and strengthen our shareholder base”.


“Our main reason to seek a ZSE listing is not to raise money but rather to broaden and strengthen our shareholder base.

“There are people who have been loyal and supportive to ENG Capital since day one and throughout the difficulties, and we firmly believe they should be rewarded with shareholding.

“These include the former ENG creditors who have fully been re-paid, but we still feel they deserve a share allocation. In addition, there are well-wishers and sympathisers like the close to 10 000 Facebook friends and fans on my account and the ENG account who have been supportive and shown great loyalty under very challenging circumstances.

“These individuals deserve an allocation of shares to share in the growth.

“So, 5 percent to 10 percent of the company will be allocated to these groups as a gratuity for the unwavering loyalty.
“We intend to list on the ZSE within the next 18 months, most likely via a market introduction. At this stage it’s unclear how much we will seek to raise but a general estimate is around US$5 million depending on market conditions given how illiquid the market is,” said Mr Muponda.


It is believed that initial valuations of the excess assets have indicated that there is sufficient value and operation capacity to meet and exceed all the ZSE listing requirements.

Also a local financial institution has been appointed lead financial advisor to handle the proposed listing of ENG.
Presently, ENG Capital has engaged the Reserve Bank of Zimbabwe and other regulatory authorities in an attempt to resume its business in Zimbabwe, building on the excess assets that were returned to the directors and shareholders.

It has since been established that Allied Conveyors, a firm which manufactures mining equipment for both the local market and the region, has been handed over to the directors.

Despite pursuing a listing on the local bourse, ENG contends that it must be given back its bank, which has since been merged into Interfin Banking Corporation.

According to the ENG boss, the merger of Century Bank, which was an ENG subsidiary, with other financial institutions was irregular and illegal since it was in contravention of the Anti-Corruption Act of Zimbabwe.

Added Mr Muponda: “CFX Bank was a product of an irregular and illegal merger between Century Bank (an ENG subsidiary) and CFX Bank. I challenged that merger on various grounds highlighting its illegality and irregularity through High Court case HC 6244-04.

“My co-director, Nyasha Watyoka, supported this motion by filing a supporting affidavit. We and our lawyers — Messrs Ziweni and Company — were specified as a way to incapacitate us from completing HC 6244-04.

“As you are aware, according to the Anti– Corruption Act of Zimbabwe, assets of specified persons cannot be legally sold, bought or disposed of as they are part and parcel of an investigation and evidence in legal proceedings.


“In short, according to the Zimbabwean law, you cannot sell assets which are subject to legal proceedings which assets would be required as evidence in those proceedings.”
ENG is still challenging the process in the courts.


The Affirmative Action Group (AAG) recently urged the central bank to reinstate the ENG licence.
In the aftermath of the banking crisis, most of the banks whose balance sheets were considered to be wobbly were placed under curatorship.


Trust Bank, Royal Bank, Time Bank and Barbican Bank have been re-licensed.
Royal and Trust Banks have resumed operations while Time Bank and Barbican Bank are still making preparations to open their doors to the public.- The Sunday Mail