ENG Capital vs Farai Rwodzi & Interfin Bank Zimbabwe Dispute unpacked (Part 6 of 10)

ENG Capital vs Farai Rwodzi & Interfin Bank Zimbabwe Dispute unpacked (Part 6 of 10)
Farai Rwodzi and Interfin Bank clearly have no answer to the fact that they irregularly and illegally grabbed Century /CFX Bank but avoidance, pretentiousness and pretense driven by misleading their lawyers and misinforming the investing public and regulatory Authorities.
.Given that High Court case HC-6244-04 is still before the courts it is a puzzling mystery that Farai Rwodzi and Interfin Bank even had enough guts to go and convince a respectable lawyer such as Mr Sternford Moyo to provide a legal opinion based on incomplete facts. This is shocking for a Banker to go and mislead a respectable senior lawyer of Mr Moyo’s experience and stature.
This clearly shows that Farai Rwodzi and Interfin Bank did not do a proper due diligence exercise.If they had done a complete and proper due diligence they would have discovered that High Court case HC-6244-04 blocking the illegal sale and transfer of Century Bank is still pending before the courts.

In addition Farai Rwodzi and Interfin should have followed the basics of a due diligence listed below ;


INSURANCE
A. List and description of all material property, casualty, liability and other insurance policies
B. Any directors' and officers' liability insurance policies
C. Description of present reserves for, and all potential claims with respect to, any self-insurance
D. History of all insured claims including paid, reserved, and related expense amounts (first dollar loss run)
E. Loss runs for workers' compensation and general liability
F. Loss history for any self-insurance (first dollar loss run)
G. Loss prevention/control recommendations made by insurers, brokers or consultants
SALES/MARKETING

A. Description of the markets in which the Company, its subsidiaries or any joint venture involving the Company or any of its subsidiaries operate, identifying the type of customers and the size of the overall market (by value)
B. Identify any customers which account for more than 1% of annual sales of the Company, its subsidiaries or any joint venture involving the Company or any of its subsidiaries or, if there are more than ten such customers, the ten largest customers
1. The quarterly totals of sales
2. Details of current sales order statistics available to management
3. Sales comparison with the industry
4. Copies of standard sales correspondence, returns and allowance material together with samples of all forms of purchase orders, invoices, warranty agreements, guarantees, etc
5. Details of pricing policies and fluctuations
6. Copies of all printed price lists
7. Identification of principal competitors, a description of the basis of competition and the strength and weaknesses of the principal competitors
8. Indication of the relative size of the Company, its subsidiaries or any joint venture involving the Company or any of its subsidiaries within the industry. Details of trade associations relating to the business and any company memberships
9. Details of current advertising program (including copies of all promotional or other material used or capable of use in connection with the business) and the cost of the same and any other promotion programs
10. Details of sales policies and methods of remuneration of sales personnel

11. The policy on giving express product warranties and rights to customers to refunds, exchanges or credits following a purchase and the value of refunds, exchanges or credits given and warranty claims
12. List the 10 largest suppliers
13. Current research and development plans and budgets
14. Correspondence and other documents relating to negotiations with competitors of the Company
15. Consultants', engineers' or management reports and marketing studies relating to broad aspects of the business, operations or products
MISCELLANEOUS
A. Press releases
B. Listing and description of subsidiaries, joint ventures, partnerships, etc.
C. Description of any future acquisition or disposition plans
D. Description of any future restructuring plans
E. Description of Company's information management system, including any future changes planned.

It is clear that Farai Rwodzi and Interfin Banking Corporation avoided a proper due diligence exercise which would have revealed the existence of High Court Case HC-6244-04 challenging the illegal and irregular transfer of Century Bank into CFX Bank then finally into Interfin Banking Corporation. No amount of rebranding or renaming will conceal this fraudulent transactions all designed to hide the illegal nature of the underlying activities.

This article appears courtesy of GMRI CAPITAL – www.gmricapital.com . It is generated for 3MG MEDIA – www.3mgmedia.ca .

Gilbert Muponda is an Investment Banker and Founder of GMRI CAPITAL . He can be reached at; www.ZimFace.com and
www.facebook.com/muponda
Email: gilbert@gilbertmuponda.com . Skype ID: gilbert.Muponda
Twitter ; http://twitter.com/gmricapital
Phone: 1-416-841-5542