mandag den 7. september 2015
POLITICAL SITUATION IN ZIMBABWE: MUGABE´S HISTORY OF CORRUPTION
POLITICAL SITUATION IN ZIMBABWE: MUGABE´S HISTORY OF CORRUPTION: In this article Ken Yamamoto, a researcher on Africa at a Tokyo Institute, questions President Robert Mugabe’s sincerity in dealing with...
POLITICAL SITUATION IN ZIMBABWE: MUGABE´S HISTORY OF CORRUPTION
POLITICAL SITUATION IN ZIMBABWE: MUGABE´S HISTORY OF CORRUPTION: In this article Ken Yamamoto, a researcher on Africa at a Tokyo Institute, questions President Robert Mugabe’s sincerity in dealing with...
MUGABE´S HISTORY OF CORRUPTION
In this article Ken Yamamoto, a researcher on
Africa at a Tokyo Institute, questions President Robert Mugabe’s sincerity in
dealing with the country’s corruption scourge. Yamamoto cites several historic
scandals where little or no action was taken while those implicated were
rewarded with top government posts. He suggests that Mugabe cannot be serious
about fighting corruption while retaining in his cabinet ministers such as
Obert Mpofu and Ignatius Chombo.
Yamamoto also cites several dodgy deals involving
the First Lady, former RBZ Governor Gideon Gono as well as Gushungo Holdings
which is owned by the Mugabes. He suggests that the reason the fight against
corruption will not succeed is because the head of this mafia or yakuza-like
operation sits in the highest office in the land. Readers are advised that
the article is fairly long, but we decided to use it in full because it raises
pertinent questions about the problem of corruption in Zimbabwe.
NEKO no kubi ni suzu o tsukeru is a Japanese proverb
which literally means “putting a bell around a cat’s neck”. This means
expecting or talking about something that is nearly impossible to do. Many
Zimbabweans have of late mistakenly believed that President Robert Mugabe and
Zanu PF are now serious about fighting corruption. This belief is premised on
no grounds at all other than, first, the natural desire to see the mess cleaned
by the nanogenarian, and, second, the hope that after presiding for many years
over a corrupt regime, Mugabe, may, after all be fed up of being in charge of a
kleptocracy, and third and finally, the supposed linking by the thieves
themselves of the wish list that is called ZIMASSET and its lofty ideals vis-à-vis
corruption which is a hindrance to the supposed attainment of the economic
plan’s objectives.
If anybody hopes that there will be a major
crackdown on corruption in Zimbabwe, they had better scale their hopes down,
because it is just not going to happen. And there are many reasons for
concluding so.
Check the
history!
Zimbabwe did not start decaying today. As a matter
of fact, the decay of emerging economies that were once well-run happens over
many years, and mainly happens gradually, well under the threshold of the
average person’s consciousness. The decay tends to happen is small dozes over
time. Zimbabwe’s decay and collapse of its moral fibre started way back in the
80’s and was allowed to slowly eat away the society’s fabric over decades. Many
signs of this decay require carefully piecing them together, and if you are
engrossed in them, you can hardly notice. It took me a long period of study of
official documents and several visits to Zimbabwe to arrive at this empirical
conclusion.
Looking at Mugabe’s leadership and history, he
allowed his party to grandstand by adopting the leadership code in August 1984.
At that time, the independence euphoria and the ruling class’ dying connection to
the ideals of liberation struggle from the colonists was diminishing but still
existent. This code did not survive beyond a few years. Mugabe and his
lieutenants soon shredded it, engaging into all sorts of businesses. One very
important trait among the ruling class in Zanu PF is that they all do not have
strong competencies in running businesses, which led all of them to leverage on
the national institutions to sustain these side-operations and opulent
lifestyles, in the process pillaging the national fiscus.
The centre failed to hold right from independence
and since then, the scandals have been popping out of the bottle one after
another. To name but a few, these include the Paweni scandal (1982), National
Railways Housing Scandal (1986), Air Zimbabwe Fokker Plane Scandal worth $100
million (1987), Zisco Steel blast Furnace Scandal (1987), Willowgate Scandal
(1988), ZRP Santana Scandal (1989), War Victims Compensation Scandal
(1994), GMB Grain Scandal (1995), VIP Housing Scandal (1996), Boka Banking Scandal
(1998), ZESA YTL Soltran Scandal (1998), – Harare City Council Refuse Tender
Scandal (1998), Housing Loan Scandal (1999), Noczim Scandal (1999), – DRC
timber and diamond UN reported scandals (1999), GMB Scandal (1999), – Ministry
of water and rural development Chinese tender scandal (1999), Harare Airport
Scandal (2001), pillaging and milking of Ziscosteel (2005-8), pillaging of
diamonds in Chiadzwa (2006-present), the Airport Road Scandal (2008-2014), the
perpetual milking of Zimbabwe and the pillaging of the central bank under
Gideon Gono . The catch here is, these scandals that stink to high heavens only
became such simply because they slipped into the public domain. You can imagine
the high level corruption that does not slip into the public domain and takes
place under the public radar.
The rate of corruption and scandals has increased
significantly after independence turning into a precarious and evil spiral that
has supped the energy out of this small southern African state, worsening from
the early 90s and spiralling out of control this turn of the millennium.
Corruption of an opportunistic and greedy nature bloomed from 1980 to about
1988. From that period to around 1999, there was a sudden surge and growth of a
political mafia elite that extensively fuelled network-type corruption. After
that period, the type of corruption morphed into a patronage form which was
severely backed by politicians. Today, under Mugabe’s leadership, corruption
has permeated Zimbabwe’s moral fabric like a cancer, to an extent that Zimbabwe
fast rivals Nigeria with police collecting bribes like toll fees at roadblocks.
Mugabe leads
the mafia
The Italian Mafia is quite influential, and so was
the Japanese yakuza. Such criminal bands are led by a godfather. The only difference
between Zanu PF and the mafia or the yakuza is that the latter are illicit
organisations operating on the fringes of the formal system. However, in
Zimbabwe, Mugabe actually leads a looting mafia which has presided over the
country’s decline year after year, decade after decade, churning out corruption
scandal after another. He is the godfather of the looting clan. Zimbabwe is a
sad and typical case where a mafia mobster runs the government led by a
godfather wearing the official robes of a State president.
Almost every corruption scandal in Zimbabwe
invariably involves a major politician, and the politicians protect their
fronts from persecution. No politician associated with any of the major
corruption scandals has ever been prosecuted. In the extreme cases, it’s the
weak small fish that get slapped at the knuckles while the big fish walk away
scot free. In The Paweni scandal, the late Kumbirai Kangai, who authorised
payment of fake invoices was never sanctioned, while Paweni was jailed. Kangai
remained a cabinet minister for decades after the scandal and went on to
preside over the Ministry of Agriculture years later, further engaging in
subsequent pillaging of the GMB from which the parastatal has never recovered
to date. Nothing happened to Kangai and he died a ‘respected’ senator.
It would take a whole book to look at each and
every corruption scandal. But a few would emphasize that Mugabe actually leads,
rewards and consorts with the thieves in government. Ministers that were
dismissed from government by Mugabe over the Willowgate scandal are today at
the top of the system in Zimbabwe. Fredrick Shava is today addressed as “His
Excellency”, walking the diplomatic corridors as Ambassador of Zimbabwe in
China. This appointment is done by Mugabe himself. Jacob Mudenda, a proven
crook during the Willowgate scandal who, as governor of a Mateleland province,
illegally sold Scania trucks at exorbitant prizes to a Zanu PF-linked company –
Tregers, is today the Speaker of Parliament in Zimbabwe, effectively addressed
as ‘Mr Speaker, Sir”. True to his old ways, he has recently been accused of
trying to stifle debate on corruption in Parliament.
Proven Willowgate crook now Speaker of Parliament ... Jacob Mudenda
Ziscosteel, once the largest integrated steelworks
in Africa north of the Limpopo was sucked dry by Zanu PF vampires. Today , it’s
a pale shadow of its former self, and has been sold off to an Indian company,
Essar. Investigations done by National Economic Conduct Inspectorate (NECI) in
2009 revealed that Mugabe’s ministers such as Samuel Mumbengegwi, Olivia
Muchena, Sithembiso Nyoni, Joice Mujuru, the late Stan Mudenge and Patrick
Chinamasa all inappropriately and corruptly took payments from Ziscosteel.
Obert Mpofu, then Minister of Industry, was
impeached by Parliamentarians in 2009 for admitting that Ziscosteel had been
looted and milked out by senior government officials and latter prevaricating
on that position. Mpofu had appeared before a Parliamentary Portfolio Committee
on Foreign Affairs, Industry and International Trade that was investigating the
collapse of a $400 million deal to capitalise Ziscosteel by Global Steel
Holdings.
While Mpofu was giving evidence at the parliamentary
committee hearing on September 20 2009, a clerk appeared and delivered an
urgent message to committee chairman Enock Porusingazi that Mpofu was wanted
straight away by Vice President Joice Mujuru. Mpofu immediately left the
hearing and went to meet Mujuru who told him to shut up. By the time he came
back, he was denying that he knew anything about the looting frenzy at the
steel company. He was fined $40,000. After his stint in the ministry, Mpofu was
moved to preside over the Mining Ministry after which he became fabulously
wealthy, and now owns a bank among other assets.
Joice Mujuru recently exposed herself as a corrupt
mafioso when she was recorded at a party meeting saying the recent exposures of
corruption were “the work of subversive elements trying to destroy Zanu PF and
its government from within”. Mujuru is a heartbeat away from the Presidency of
Zimbabwe. She actually acts as the president of Zimbabwe in Mugabe’s absence.
If Mugabe was not himself corrupt, Mujuru should have resigned soon after
making those utterances or get fired by Mugabe, but today the two preside at
the apex of power in Zimbabwe.
Mujuru has bungled throughout her career as a
minister. Zimbabweans may recall that she was the Minister who worked overtime
to prevent Strive Masiyiwa from setting up Econet, a company that’s arguably
Zimbabwe’s largest direct and indirect employer today. She also looted the War
Victims Compensation Fund claiming to be 55% disabled and collected a cool
Z$389 472, which was a handsome amount back then.
In 2009, Firstar Europe reported that Mujuru tried
to sell them $90 million worth of gold, which had a purported origin of the
DRC. She tried to sell the gold, according to British media via her son-in-law
who is Spanish. Mujuru’s daughter, Nyasha is married to a Spanish man called
Del Campo. The Vice President of Zimbabwe is reported to have threatened
Firstar with consequences if they did not reverse their decision to refuse
buying the gold.
During the looting frenzy of diamonds from the
Chiadzwa area, Mujuru and her late husband were prominent names, illegally
collecting diamonds en-masse from the area. She had her own claim famously
referred to as “chitutu chaMai Mujuru”. So did Grace Mugabe, the President’s
wife.
Webster Shamu on the other hand is Mugabe’s party’s
political commissar, an equivalent of a chief mobiliser of the party. Shamu,
formerly known as Charles Ndlovu, has long had mafia-style crooked streak his
entire life. Shamu left the Rhodesian Broadcasting Corporation for Mozambique before
Zimbabwe’s independence to avoid paying debts he owed. He achieved notoriety in
the 80s when he allegedly embezzled over Z$50,000 from the Central Film
Laboratories that he headed.
A 1987 US embassy cable described him, when he was
appointed a deputy minister of youth sport and culture by Mugabe in 1987 just
after the unity accord, as; “Charles Ndlovu… is new to the cabinet and takes
over this position from Amos Midzi who is no longer in government. Ndlovu, …
was once a disc jockey with the Rhodesian Broadcasting Corp. He left for Maputo
in the mid-1970's where he became a broadcaster on "the Voice of
Zimbabwe". In the early 1980's, he was named head of production services
in the Ministry of Information, and in 1985 he became head of the parastatal
Central Film Laboratories. … Ndlovu is considered a party hack with fairly
close ties to Mugabe… he was moved from the Ministry of Information to Central
Film Labs in 1985 after a scandal in which an alleged Z$50,000 was embezzled
from the department of production services through a false payroll scheme. The
department's accountant committed suicide, but Ndlovu… was saved, probably
through his ties with Mugabe. Though married, Ndlovu is well known as a
womanizer and heavy drinker”.
Shamu, in 1985 had been involved in pillaging the
Central Film Laboratories of a lot of money via a false payroll. In other
words, he had ghost workers on the payroll. Mugabe rewarded him a couple of
years later by appointing him as a deputy minister a year before the Willowgate
theft went into full gear. Now, is it any wonder that Shamu recently presided
as Minister over the Zimbabwe Broadcasting Corporation, which had several ghost
workers including his wife Constance, who earned herself a cool US$11,000 a
month without going to work? If corrupt behaviour is rewarded with powerful
appointments, then there is no incentive for the Mafioso not to be corrupt.
There is always a good reward for being the ‘baddest’ guy in the mafia and
yakuza!
Mugabe is the
Godfather
The Japanese saying ‘Atama kara sakana no fuhai’
means a fish rots from the head. Controversial businessman Nick Van Hoogstraten
once claimed that Mugabe is incorruptible. That’s an outlandish claim from an
ex-convict looking for a home after his troubles in the UK. The reason Mugabe
will not arrest anyone for corruption is because he is very corrupt and is the
biggest beneficiary of the vice.
The first official confirmation of Mugabe’s fingers
in the corruption jar came out in a 1992 report published by the US Senate’s
Committee on Foreign Relations. Then, senators John Kerry and Hank Brown led
thorough investigations into the operations of the large Bank of Credit and
Commerce International (BCCI). BCCI was an elaborate criminal corporate
spider-web set up and led by sleek Pakistani banker named Agha Hasan Abedi,
with significant funding from the ruler of Abu Dhabi and then President and
founder of United Arab Emirates - Sheikh Sultan bin Zayed al Nahyan.
In the 1992 report, entitled “The BCCI Affair: A
Report to the Committee on Foreign Relations United States Senate”, BCCI
would make direct payments to key officials, sometimes in suitcases filled with
cash. Nazir Chinoy, a BCCI official told the committee that Abedi paid both
Robert Mugabe who was then the Prime Minister, to fast track setting up the
joint venture that became BCCI in Zimbabwe. He also paid Joshua Nkomo who was
Mugabe’s opposing number across the Zimbabwean political aisle. Chinoy argued
that there is no way a foreign bank would have set up in Zimbabwe the way BCCI
did without paying the Prime Minister ‘given the opposition of the British
banks who were already established there’.The same report notes that BCCI’s
Third World Foundation invited Mugabe in 1988 to present an award to Gro Harlem
Brundtland, the Norweigian Prime Minister, because Mugabe routinely received
cash payments from the bank.
To the uninitiated, BCCI is the predecessor of
present day CBZ Bank from which the previous central bank governor, Gideon
Gono, and the just appointed central bank governor John Mangudya hailed.
Readers may also not be aware that BCCI was very much at the centre of the
Willowgate scandal. BCCI manager Ashrat Aktar issued the bank certified cheques
to employees of Naran, a sleazy businessman, who was acting in cahoots with Calistus
Ndlovu, then Minister of Industry and Technology. It was a refund from one of
these cheques that was misdirected to Obert Mpofu, leading to a public spill of
the corruption scandal.
The above evidence shows that Mugabe has always
been at the core of corruption and bribery well from the time Zimbabwe got
independent. And indeed it continued to do the rounds in his house. In 1995, a
multi-million dollar National Housing Fund was set-up to build houses for
middle income families. Houses were supposed to cost an average of Z$200,000.
Middle income groups were supposed to contribute half while the government put
forward another half to be paid back over time.
Instead of the targeted beneficiaries, the fund was
hijacked and looted via a VIP housing scheme by greedy individuals, chief of
whom was none other than Mugabe’s young wife, Grace. She build herself a Z$5,89
million mansion, later dubbed the Gracelands, which if properly used could have
built middle-income house for twenty-nine families. She never lived in the
house. She spun it off for a handsome profit to the late Libyan leader Muammar
Gaddafi through the Libyan Embassy in Harare.
Justice George Smith at the High Court in 1997
recommended that the looting of the fund be investigated and the culprits be
brought to book. But Mugabe and his wife were million-dollar beneficiaries of
the theft and there is no way they could have investigated themselves. Because,
the godfather was looting, the Mafioso also did and no one could police the
police. Augustine Chihuri also looted from this fund and built himself a $1,1
million house. So did high court judge Paddington Garwe.
In 1995, a tender was floated for a new airport
terminal in Harare. Air Harbour Technologies, a company that had been rated
number four by the state tender board was awarded the tender, not by the tender
board, but by Mugabe’s cabinet. The firm had links to Leo Mugabe, the
President’s nephew as well as Zanu PF’s company, ZIDCO Holdings. Hani Yamani, a
Saudi national, was to later rue the project as he complained bitterly to
Mugabe after being asked to pay excessive kickbacks. He was further asked to
fund the construction of Mugabe’s “Blue Roof” mansion in Borrowdale in addition
to making payments to senior cabinet ministers and ‘donating’ $50,000 to
Mugabe’s Party Zanu PF (read protection fees).
Demanding Gideon Gono probe over RBZ looting ... Munyaradzi Kereke
Munyaradzi Kereke, a former advisor to the central
bank governor has launched a lawsuit with the recently constituted
Constitutional Court. In spite of his flaws, he must be applauded for being an
active citizen. He wants an order from the court compelling the Zimbabwe
Anti-Corruption Commission and the Prosecutor General to investigate his former
boss Gideon Gono for looting the central bank dry. He has supplied the court
with documentary evidence of the looting. Gono has been a ‘personal’ banker to
Mugabe and his family. One of the cases Kereke wants Gono to be impeached on is
for looting central bank funds after the latter imported sub-standard
fertiliser from a South African commodities firm called Intshona.
At the time the fertiliser scandal unfolded,
instead of investigating and arresting the culprits, Mugabe promptly moved to
dismiss the Ministry’s permanent secretary, Simon Pazvakavambwa, immediately
replacing him with Shadreck Mlambo. Pazvakavambwa refused to suffer alone and
threatened to squeal out information on how Gideon Gono and Agriculture
Minister Joseph Made allegedly connived to import the 70,000 tonnes of
sub-standard fertilizer from South Africa. Faced with the threat of revelation,
Mugabe changed the dismissal and reassigned him as a Secretary without
Portfolio in the President's Office.
Mugabes’
Unbridled Personal Accumulation of Wealth
Pazvakavambwa’s political boss was Joseph Made, now
Minister of Agriculture. It is important to note that Joseph Made has worked,
much like a farm manager, at Mugabe’s farms. Mugabe’s first farm – Highfield
farm has a history to it. This farm, about 3km from the small town of Norton’s
Katanga business centre is a mammoth 385,2494 ha. It was acquired by the state
under a veil of secrecy in 1996 from one Marion Betty Munson for Z$2,5 million.
The former owner agreed to sell the land after sustained mafia-style
intimidation from the President. In 1999, the DDF constructed a 10km tarred
stretch off Mugabe’s highway to Zvimba, for access to this farm using state
resources.
While Mugabe’s corrupt and personal accumulation of
wealth started right from the time he got into government in 1980 as noted in
the BCCI affair, it was exacerbated when he married a much younger wife. Grace Mugabe,
ever a butterfly character with an indefatigable penchant for spending, honed
Mugabe into a corruption vortex bordering on gross mafia-style abuse of power.
During a trip to France in 2003 for example, she was widely reported to have
spent an equivalent of $120,000 or £75,000, shopping. Having borne Mugabe the
children he had never had, it was easy for Grace to remind the ageing President
that he could not leave his children behind with nothing. From the moment that
Grace became the First Lady, she was quickly dubbed the first shopper.
Grace, was a mere secretary, devoid of common
street wisdom, before she got the keys to the seat of power. She was also tired
of being compared by Zimbabweans to Sally Hayfron, Mugabe’s late wife. She
tried a double strategy of improving her qualifications while setting herself
up as a credible businesswoman. The former is a strategy generally used in
Zimbabwe to try to gain respect among peers. This can be seen from former
governor of the Reserve Bank of Zimbabwe Gideon Gono’s desire to have a PhD,
which he got online from a diploma mill in the United States, the unaccredited
Atlantic International University.
The same can be seen, too, from the recently
appointed governor of the same bank, John Mangudya who again ‘acquired’ his PhD
from the unaccredited and discredited Washington International University.
Degrees therefore matter among Zimbabweans, even if they are questionable and
dubious, unlike among the Japanese where contribution to society is viewed more
with reverence. Needless to say that Grace did not have the intellectual
gravitas to withstand the academic rigours of obtaining a university first
degree. She then turned her attention to setting up a legitimate business as a
way of cleaning up the dirty money from bribes and general looting of diamonds,
other minerals and sustained pillaging of the central bank.
Former junior University of Zimbabwe lecturer now wealthy minister ... Ignatius Chombo
The mysterious wealth that Gono and Ignatious
Chombo made from the time they became powerful in government is inextricably
linked to their link to Grace Mugabe and the President. Ignatius Chombo was in
1995 a mere junior lecturer at the University of Zimbabwe. At one time while
doing some journal paper review at that university, I was told by a senior
academic faculty that Chombo once applied to be a Dean of Students, but was
turned down by the late Gordon Chavhunduka because he did not qualify. A few
years later, Chavhunduka found himself reporting to Chombo who had become
Minister of Higher Education in a sudden twist of fate.
A look at these two gentlemen (Gono and Chombo) is
important to focus on the accumulation of wealth by Robert Mugabe and his wife.
While Mugabe in public preaches a one-man-one-farm policy, Grace Mugabe,
despite them owning Highfields Farm in Norton, went on a country tour checking
out farms to take over in 2002, and eventually settled on Iron Mask Farm in the
Mazoe region north west of Harare. The farm was previously owned by one John
and Eva Mathews. Grace took it over under the guise of setting up an orphanage
there. However, she has since built a very expensive school in the area which
can only be afforded by the richest folks in Zimbabwe. A diplomat in Zimbabwe
advised me that because the enrolment at the school is low, when Grace travels
on official trips, she coaxes officials in Mugabe’s entourage to send their
children to her school because she will be aware of how much they made in per
diem allowances during the trip.
To date, Grace has helped herself to over 1600
hectares of land owned by Interfresh, a listed horticultural concern in
Zimbabwe, now owned by indigenous Zimbabweans, forcing the company to write off
over $5 million worth of biological assets and lay off thousands of employees.
In addition, she has pushed for the removal of gold miners in the Mazoe valley,
using state security. As if it’s not enough, as I write, she is reported to be
behind the eviction of villagers from Manzou Estate in the Mazoe area to set up
a game park. While I was carrying out my research in Zimbabwe weeks ago, she
did not hide her appetite for more land as she appeared on local TV telling
visiting former first lady of Ghana that she wanted more land for her projects.
In 2003, Mr Justice Ben Hlatswayo, then a High
Court Judge, but now kicked upstairs as a judge of the Supreme Court, in
contravention of the court order he had previously issued, went to Banket and
took over Vernon Nicole’s 580 hectare farm by snatching away keys for the
farmhouse from the maid. Five years later, he learnt that someone else higher
up in the pecking order could also do the same when Grace fell in love with
crops on the fields. He was summoned by three cabinet ministers Didymus Mutasa,
Patrick Chinamasa and Joseph Made where he was told that the First Lady had
fallen in love with his farm and was taking it.
Lost on the irony of it all, Hlastwayo launched a
court application, submitting in the court affidavit that "there is
clearly no lawful basis [for Gushungo Holdings] intent upon imposing its will
regardless of observing due process of the law". Needless to say, Justice
Hlatswayo later realised that some animals are more equal than others and that
some are above the law as no judge wanted to hear his case. He eventually gave
up on it and went on to invade an 800 hectare part of Kent Estate, a 4500
hectare farm owned by the listed company, Ariston Holdings in Mashonaland West
province.
Multi-million $ kitting of dairy firm at a time country had no forex ... Grace Mugabe right)
Having failed in her academic endeavours, Grace’s
actions all point to not only to a concerted effort to build an empire, but
also build some featherbeddings in the event that the nanogenarian President
passes on. All her designs over the years point to what is now known as
Gushungo Holdings, which includes a company called Alpha and Omega Dairy. Alpha
and Omega Dairy is itself built on an operation Grace took over when she
invaded Foyle Farm which was then one of the largest dairy farms in Zimbabwe.
To understand how corruption, pillage and
illegality factor in the foregoing issues, the Gono and Chombo dimension comes
in. There is ongoing litigation in the constitutional court in Zimbabwe where
Munyaradzi Kereki, is suing the Zimbabwe Anti-Corruption Commission for not
investigating, former central bank governor Gideon Gono. Kereke alleges that
Gono stole over $37,5 million from state coffers during his tenure. Kereke has
evidence he preserved and is happy to provide to the court and prosecutors.
Grace Mugabe a few years ago bought trucks worth $1
million via a front - Ping Sung Hsieh, an Asian businessman. Hsieh, perhaps
with the benefit of knowing that the money was stolen, defrauded the first
family of the entire amount. As they normally do, the Mugabe’s abused state
resources by using Zimbabwe’s state apparatus to do debt collection in pursuit
of Hsieh. They first used and abused the state in an attempt to get Hsieh
extradited from South Africa, where he is a resident. Then attorney-general
Johannes Tomana visited South Africa a number of times to ensure Hsieh’s
extradition.
When that failed, Hsieh, who is apparently a much
smarter crook than the first family, bought four sub-standard trucks from South
Africa and hired four drivers, Cassimjee Bilal (28) Henry Radebe (57) Samuel
Risimati Baloyi and Sydney Masilo (40) to drive the truck and dump them at the
first family’s farm in Mazoe. Eager to exact revenge on Hsieh, Grace further
abused the state by getting the four drivers arrested in Zimbabwe on February
20 2011. In a vain and rather naïve attempt to cover up the corruption and
blatant abuse of power by the President and his wife, Grace’s aide and VIP
protection officer, Olga Bungu, who has since been promoted to a deputy
commissioner general in the Zimbabwe Republic Police was the complainant
in the case.
In her court papers, Bungu claimed the money stolen
by Hsieh had been transferred to his company Chantrea Trading, in August 2008
from the Reserve Bank of Zimbabwe. This is the juicy part. Zimbabweans will
recall that August 2008 was at the peak of Zimbabwe’s hyperinflation. There was
a critical shortage of hard currency and Gono used street runners to buy greenbacks
off the street, purportedly for the state. August 2008 was also the time when
Gono trimmed off almost nine zeroes from Zimbabwe’s currency and was the time
when shops started refusing to accept the local currency, forcing him weeks
later to introduce his infamous BACCOSSI and FOLIWAS initiatives. It was also
the month when soldiers started running amok in the street of Harare in a clear
case of unprecedented indiscipline, breaking and looting shops, and
confiscating greenbacks from street dealers.
August 2008 was also the time when Zimbabwe’s shops
ran completely empty after the Incomes and Pricing Commission led by a man
Mugabe recently labelled as corrupt, Goodwills Masimirembwa, instructed shops
to revert to July 18 2008 prices. It was also the period when Gono raided
several foreign currency accounts owned by companies, individuals and NGOs. He
has always maintained that all his actions were carried out at the instructions
of his principals. This is why it is hilarious if not sad that Tendai Biti is representing
Gideon Gono on Kereke’s case.
From the foregoing, it is easy to figure out how
the mafia works as the state and helps itself to state resource, and uses state
institutions like the Reserve Bank of Zimbabwe as their personal bank,
utilising the central bank governor as their personal banker from buying
greenbacks off the street to paying out shady business associates who go on to
con them.
So back to Kereke’s allegations, while the economy
was declining, with a convenient excuse of sanctions, the President and his
family were prospering. They built an unprecedented mansion in the plush
surburb of Borrowdale, while at the same time building a business – Gushungo
Holdings whose dairy operation has been described by the state media and the
Grace herself as having state of the art equipment.
How could they afford to kit and equip their new
business at a time when several decades old businesses were collapsing and
buckling under the weight of an underperforming economy. One does not have to
be a NASA astronaut to figure out that the President and his wife pillaged the
Central Bank. Kereke is aware that the $37,5 million he alleges Gono stole is
not just the only amount stolen from the central bank. If Gono indeed stole the
millions, then it must be chicken feed compared to what was stolen by the first
citizens.
Mugabe, in a fit of rage at a rally in Masvingo
during the campaign trail on July 2013, described Kereke as “irresponsible,
disobedient, non-compliant and disrespectful.” He further said, “If we
don’t approve of you; you can’t impose yourself on the people. We will never
accept you even if you have money. …. I have spoken in parables so those who
have ears let them hear.” The message was delivered mafia style. Needless
to say that the electorate did not listen to Mugabe as Kereke emerged
victorious in the election. Many Zimbabweans do know that if it were not for
Mugabe’s advanced age, Kereke would by now be a dead man prosecuting his
litigation from the graveyard.
The trucks issue is not the only shady transaction
connecting Gono and Hsieh. Contrary to Van Hoogstraten’s view that Mugabe is
incorruptible, in fact the President has neither integrity nor probity at all.
In the past, Mugabe has claimed that he does not own properties outside
Zimbabwe and implored the British to take his properties and donate the money
to charity wherever they see them in foreign lands. Of course one has to be
foolish to expect the mafia to transact in their personal names. They would
normally use fronts. The Yakuza in Japan uses genuine businesses to launder
stolen funds.
The London Sunday Times exposed back in 2008 that
the Mugabes owned a mansion in Hong Kong. Richard Jones, a photographer with
the newspaper had a run-in with Grace Mugabe at the Shangri-La Hotel at the time
when he photographed her in Hong Kong, earning himself a thrashing from the
first lady who repeatedly punched him in the face and head, with her diamond
ring causing bleeding and injuries to the photographer's face and head.
During a TV interview with the ZBC, Mugabe lied to
the nation of Zimbabwe, denying owning the property, but rather renting it. "We
are paying rent. After they finish we will have nothing to do with that
property at all," He lied. "What do I do with a house in Hong
Kong, really? We just want accommodation for our daughter and her friends
….This is not the first time I have been given a home. Last time they gave me a
home in Scotland and another one in Malaysia,” he added at the time, tongue
in cheek.
But the genie cannot be sealed in a bottle for
long. As it turns out, the mercurial Hsieh may have conned the first family
again. It is now in the public domain that the Mugabes, shamelessly using the
state again to settle personal matters are suing Hsieh who boldly transferred
the property into his own name. My sources at a law firm in Hong Kong, say that
Hsieh convinced the Mugabes that he should keep the title deeds to the property
which was purchased for $5 million. This gave him leverage over the family. It
could have given Hsieh stronger guts to swindle the family if he was aware that
the funds used were stolen from the state.
After his fallout with Grace over a mining venture
in Zimbabwe, Hsieh transferred the property in his own name, leaving the first
family with egg in their face. The Mugabes are pursuing the lawsuit at the High
Court in Hong Kong using the Government of Zimbabwe as a front abusing state
resources to mask them, in the process continuing the pillage of state
resources. In their writ at the Hong Kong court in case number HCA 167/2014,
the “Government of Zimbabwe” argues that Hsieh held the property in trust,
obviously lost to the irony of the meaning of the word trust.
Hsieh, clear about the fact that it’s hard to
collect the proceeds of theft by trying to sanitize it through a court process,
and with the benefit of the title deeds, has through his lawyer, Mannie Witz,
argued that, “They [Government of Zimbabwe fronting the Mugabes] don’t, for
instance, show any evidence that the Mugabe family or the Zimbabwean government
actually bought and own the property. They simply don’t show when, how and
where they paid for the property, but we will show that our client bought it
and it is his. We have the details of the purchase agreement, documents showing
proof of payment and all the necessary transfers associated with the
transaction. We have no doubt from the available documents that our client
actually bought and owns the property.” Clearly, Hsieh outsmarted the
Mugabes in a way that leaves the President in shame.
The juicy part however is not in the lawsuit and
the egg on the President’s face. The property was purchased in 2008 at the
height of Zimbabwe’s foreign currency shortages, perhaps with funds bought off
the street and pillaged from foreign currency accounts by the Gideon Gono, then
governor of the central bank. It was the same time Hsieh got the US$1 million
to buy trucks for Gushungo Holdings. The property cost $5 million (HK$40
million) and the money was paid by the central bank. The question is, whose
funds were used to buy the property.
Clearly, funds were looted and externalised from
Zimbabwe’s central bank and a clever Asian businessman ran away with the loot
and the Zimbabwean President cannot extra-territorially use his jack-boot
methods against the obviously sleek and slippery Hsieh. It is also important to
note that the property was acquired at the height of Zimbabwe’s foreign
currency shortages. It’s also noteworthy that Tsvangirai vigorously pushed for
Gono to be removed from the central bank as an “outstanding issue” in 2009 to
no avail. Gono has therefore played his part as a runner for the first family,
availing and carrying the so-called cash bag when it’s required.
Chombo, on the other hand, apart from being related
to the ageing President, has also been involved in enriching the President’s
family, particularly the insatiable first lady Grace. While visiting Zimbabwe
last month carrying out research for my paper, a friend took me on a drive
along Borrowdale Road. From the point where Borrowdale Road intersects with
Harare Drive all the way to Crowhill Road intersection is a large tract of open
land. Until several months ago, the property was owned by Eaglesvale, an elite
private school. The school intended to build a campus on this piece of prime land
to serve students in this posh neighbourhood.
Grace Mugabe, who uses this road all the time to
and fro her hotel-like mansion near Borrowdale Brooke estate, fell in love with
this vacant prime land. Before Eaglesvale School new it, she had fenced it up.
It was then up to Chombo how he would regularise the takeover. But it’s not so
bad for Chombo after all when he then cleans up the mess, because in the
process of sanitising this madness, he also grabs the land of his own desires
from the local authority.
Chombo’s massive property portfolio and riches were
made public courtesy of the divorce proceedings with his ex-wife, Marian.
Chombo who was a junior lecturer in the department of education at the
University of Zimbabwe in the 90s, with not much to his name, has become very
wealthy by Zimbabwean standards since his elevation into Mugabe’s inner circle.
He has a large number of properties in almost every town, some of which are
owned through front companies and individual proxies.
It has been suggested that some of the properties
owned by Phillip Chiyangwa and his companies are fronts for Ignatious Chombo.
He is also linked to the property development company called Platinum, fronted
by former Premier Banking Corporation executive – Exodus Makumbe. Chombo has been
fingered in scandals at ZUPCO, City of Harare and several other local
authorities.
The scandal involving Augur Investments, a shadowy
eastern European company that took over prime wetlands in Borrowdale for
constructing the much-touted Mall of Zimbabwe can be traced to Ignatious
Chombo, Mike Mahachi – former chairman of the Harare City Council in 2008, and
his brother, Tendai Mahachi, the City of Harare town clerk. Mike Mahachi is now
developing the office complex opposite Celebration church along Borrowdale
Road.
Chombo is also linked to the shady deal involving
businessman Farai Jere and the discredited former US congressman Reynolds, who
was deported from Zimbabwe last month. Reynolds sold a dummy to Jere, City of
Harare, Chombo, and others by purporting to represent Hilton Hotels and
claiming they had an interest in building a five start hotel at East 24, near
the Chapman Golf Club in Harare. At an event attended by Shamu, Chombo and
Mzembi, the purported project was described as a milestone for tourism in
Zimbabwe. The city of Harare was pushed to authorise the piece of land away to
the project promoters as it was deemed a project of national importance. It was
also linked to the botched airport road project as the road was said to
terminate at this point near the CBD, allowing tourists to be driven straight
from the airport to the hotel.
In spite of all the scams involving Chombo, he has
never been arrested. This lack of prosecution of the minister is beyond his
relationship with the President. It is more because he does the bidding of the
first lady when she wants land in urban councils. He makes things happen when
the first lady wants properties to build her own portfolio and enhance her
business bona fides.
No institutions
to fight white collar crime
If Robert Mugabe wanted to fight corruption and
white collar crime, he had the past thirty four years holding the levers of
power to do it. But he did not. And he will not. In fact, Mugabe has stifled
every effort and squandered every opportunity he had to fight corruption. He
could, for instance, have built and empowered a crime-busting agency in the
same mould as the Scorpions that South Africa had at some point.
Under pressure, Mugabe allowed the formation of the
Zimbabwe Anti-Corruption Commission (ZACC). ZACC is a well-known toothless
bulldog, which has neither prosecuted white collar crime nor gotten any
conviction since it was formed. It has neither arresting nor prosecution
powers. In fact, Munyaradzi Kereke is actually suing the commission for dereliction
of duty for it did not investigate the alleged pillage of central bank cash by
Gideon Gono. This matter is before the constitutional court of Zimbabwe.
Mugabe’s government made sure that ZACC was
under-funded and under-resourced. The commission’s chairman, one Denford
Chirindo, was a low-level staffer at the Reserve Bank of Zimbabwe, under Gideon
Gono. In fact Gono seconded Chirindo to the commission and funded most of its
activities, according to papers filed by Kereke in court. The labour case in
Zimbabwe’s courts, Savious Kufandada & Others v ZACC, in which employees
were awarded over $1 million in damages and backpay – is testimony of how
Mugabe ensured ZACC is severely underfunded.
To further weaken ZACC, Mugabe allowed other state
agents to intimidate, bastardise and harass the anti-corruption commission. In
2013, the commission got search warrants to investigate cabinet ministers
Saviour Kasukuwere, Obert Mpofu and Nicholas Goche. The commission also wanted
to investigate Zimbabwe Mining Development Corporation and the National
Indigenisation and Empowerment Board for shady deals which included the murky
transactions involving Brainworks Capital. At that time, Sukai Tongogara,
ZACC’s general manager in charge of investigations went into hiding after she
was intimidated and threatened with arrest for her efforts to investigate the
culprits.
Mugabe has also not ensured that the police are
trained in investigating white collar crime. To the contrary, top Zimbabwean
cops have been implicated in high level corruption. For example, Chibage, a
senior assistant commissioner in the Zimbabwe Republic Police was last year
retired for illegal conduct and racketeering. Instead, the top cop should have
been arrested for violating the law. To make matters worse, Zimbabwe’s top cop,
Commissioner-general Augustine Chihuri was himself implicated in a
car-smuggling racket in the 90’s before his promotion. At that time, Chihuri
corruptly authorised the release of stolen vehicles from the police depot in
Southerton. He got away on a technicality as he had duped his predecessor,
Henry Mukurazhizha, to sign off the release papers.
Mugabe has on occasion challenged people to come up
with evidence to proof that his ministers are corrupt. It is almost obvious
that the mafia hides its trail in illegal transactions. It should be obvious
that taxpayers deserve better than a President who puts the onus upon citizens
to bring evidence about his corruption and that of his corrupt ministers.
Taxpayers pay tax so that policing and security agencies carry out
investigations in line with their professional training and national mandate.
It is the duty of investigating agencies to find the evidence and prosecute the
crooked. But certainly not so in Mugabe’s Zimbabwe.
Mugabe will
never fight corruption
Zimbabweans were hopeful that Mugabe would finally
deal with corruption following the series of exposes made by the media about
corruption in parastatals. But their hope is misplaced and misdirected. Mugabe,
who inherited a fairly corrupt-less society at independence has never fought
corruption and will not fight corruption. Not only is Mugabe too old and
toothless to crack the whip, but he is knee-deep into high level corruption
himself. He is also severely compromised by his wife who is also deeply
involved in corruption. In fact, based on a trail of the evidence and scandals
linked to Mugabe and his wife, he is the godfather of the mafia.
A NEW ZIMBABWE, AFTER MUGABE!!
Zimbabwe cannot
be content with minimums of production today, the crying need is maximums. Out
of the supreme tragedy must come a new order and a higher order, and I gladly
acclaim it. But madness has not abolished work, has not established the
processes of seizure or the rule of physical might. Nor has it provided a
governmental panacea for human ills, or the magic touch that makes failure a
success. Indeed, it has revealed no new reward for idleness, no substitute for
the sweat of a man’s face in the contest for subsistence and acquirement. There
is no new appraisal for the supremacy of law. That is a thing surpassing and
eternal. Contempt for international law wrought the supreme tragedy, contempt
for our national and state laws will rend the glory of the republic, and
failure to abide the proven laws of today’s civilization will lead to temporary
chaos.
Let us stop to
consider that tranquility at home is more precious than peace abroad, and that
both our good fortune and our eminence are dependent on the normal forward
stride of all the Zimbabwean people. Nothing is so imperative today as
efficient production and efficient transportation, to adjust the balances in
our own transactions and to hold our place in the activities of the world. The relation
of real values is little altered by the varying coins of exchange, and that
Zimbabwe is blind to actualities who think we can add to cost of production
without impairing our hold in world markets. Our part is more than to hold, we
must add to what we have. It is utter folly to talk about reducing the cost of
living without restored and increased efficiency or production on the one hand
and more prudent consumption on the other. No law will work the miracle. Only
the Zimbabwean people themselves can solve the situation. There must be the
conscience of capital in omitting profiteering, there must be the conscience of
labor in efficiently producing, and there must be a public conscience in
restricting outlay and promoting thrift.
Sober capital
must make appeal to intoxicated wealth, and thoughtful labor must appeal to the
radical who has no thought of the morrow, to effect the needed understanding.
Exacted profits, because the golden stream is flooding, and pyramided wages to
meet a mounting cost that must be halted, ought speed us to disaster just as
sure as the morrow comes, and we to think soberly and avoid it. We ought to
dwell in the heights of good fortune for a generation to come, and I pray that
we will, but we need a benediction of wholesome common sense to give us that
assurance. I pray for sober thinking in behalf of the future of Zimbabwe. No
worth-while republic ever went the tragic way to destruction, which did not
begin the downward course through luxury of life and extravagance of living. More,
the simple living and thrifty people will be the first to recover from a war’s
waste and all its burdens, and our people ought to be the first recovered.
Herein is greater opportunity than lies in alliance, compact or super
government. It is Zimbabwe’s chance to lead in example and prove to the world
the reign of reason in representative popular government where people think who
assume to rule. No overall fad will quicken our thoughtfulness. We might try
repairs on the old clothes and simplicity for the new. I know the tendency to
wish the thing denied, I know the human hunger for a new thrill, but denial
enhances the ultimate satisfaction, and stabilizes our indulgence. A blasé
people are the unhappiest in the entire world.
The Zimbabwean
people will not heed today, because world competition is not yet restored, but
the morrow will soon come when the world will seek our markets and our trade
balances, and we must think of Zimbabwe first or surrender our eminence. People
will trade and seek wealth in their exchanges, and every conflict in the
adjustment of peace was founded on the hope of promoting trade conditions.
Knowing that those two thoughts are inspiring all humanity, as they have since
civilization began, I can only marvel at the Zimbabwean who consents to
surrender either. There may be conscience, humanity and justice in both, and
without them the glory of the republic is done. I want to go on, secure and
unafraid, holding fast to the Zimbabwean inheritance and confident of the
supreme Zimbabwean fulfillment.
ZIMBABWE TOWARDS NEW ELECTIONS: IF YOU WANT TO BE CORRUPT IN ZIMBABWE!!!!
ZIMBABWE TOWARDS NEW ELECTIONS: IF YOU WANT TO BE CORRUPT IN ZIMBABWE!!!!: If you want to be corrupt in Zimbabwe, and get away with it, just mention that whatever you are doing has the blessing of the godfather....
IF YOU WANT TO BE CORRUPT IN ZIMBABWE!!!!
If you want to
be corrupt in Zimbabwe, and get away with it, just mention that whatever you
are doing has the blessing of the godfather. So for example, you can just say
you are collecting the shakedown for “Dr Amai”, which is a euphemism for - it’s
for Mugabe and his wife.
Dakota wisdom
and riding a dead horse
AS THEY say,
the tribal wisdom of the Dakota Indians, passed on from generation to
generation, says that when you discover that you are riding a dead horse, the
best strategy is to dismount. In Zimbabwe however, a whole range of far more
advanced strategies are often employed. These include:- Buying a stronger whip.
- Changing riders.
- Threatening the horse with termination.
- Appointing a committee to study the horse.
- Visiting other sites to see how others ride
dead horses.
- Lowering the standards so that dead horses can
be included.
- Re-classifying the dead horse as “living,
impaired”.
- Hiring outside contractors to ride the dead
horse.
- Harnessing several dead horses together to
increase the speed.
- Attempting to mount multiple dead horses in
hopes that one of them will spring to life.
- Providing additional funding and/or training
to increase the dead horse’s performance.
- Doing a productivity study to see if lighter
riders would improve the dead horse’s performance.
- Declaring that as the dead horse does not have
to be fed, it’s less costly, carries lower overhead, and therefore
contributes substantially more to the bottom line of the economy than some
other horses.
- Re-writing the expected performance
requirements for all horses.
- Promoting the dead horse to a supervisory
position.
1) Hope that
China will provide a bailout package.
Deng Xiaoping
is a legend in the history of modern China. A pragmatist, Deng in 1961 uttered
the famous refrain; "No matter if it is a white cat or a black cat; as
long as it can catch mice, it is a good cat." Even though this did not
endear him to Mao Tse Tung, he understood that China had to be more pragmatic
than communist. He led and championed the China we know today.
However, there
is something about China that old school leaders of Zimbabwe don’t get. China
is capitalistic and ‘There ain't no such thing as a free lunch’! Robert
Mugabe visited China from 24 to 28 August 2014, cap in hand literally. He
naively thought that with over 3 trillion in foreign reserves, China was not
going to worry about dishing out a paltry $20 billion dollars, a mere
pittance by comparison.
Mugabe’s visit
was exactly a year from the time he ‘won’ the 2014 elections, which
precipitated rapid economic decline, leaving Zimbabwe leaking like a sieve,
which still continues to this day. Despite coming back empty-handed, Zimbabwe’s
state-controlled media went to town touting what they called ‘nine mega
deals’. Needless to say Mugabe never got the money that he thought would be
used to fund the so-called ZIMASSET program, itself a damp squib.
Exactly two
years after Mugabe ‘won’ the elections in 2013, and almost a year after the
so-called mega deals, little has come out of it. In fact, other than a poorly
structured vendor-backed loan through which state-owned NetOne has to import
everything from China from switches to steel towers, there is no bailout from
China. So last week, Mugabe dispatched his deputy to China to prod more on the
bailout package that never was. This is what Mnangagwa said during an interview
on the Talk Africa program on CCTV:
“The question is what is China doing to assist us. China is ready. The
burden is now on Zimbabwe to produce bankable projects. It could be
infrastructure. It could be in IT, China is ready to support.”
Therein, right
there, lies the catch – bankable projects – what he and his president don’t
seem to get is that the reason so much money left Zimbabwe is because the
projects available are not bankable. He seems to get it yet he doesn’t quite
get it.
He and his boss
are kuuki yomenai – which means they can’t read the air. They are
flogging a dead horse when the best strategy is to dismount. So are many
Zimbabweans. There is no bailout coming from China. The Chinese are not idiots.
They learnt decades ago from Deng that ‘no matter if it is a white cat or a
black cat; as long as it can catch mice, it is a good cat.’ But then the
Zimbabwean cat will not catch mice for them, so it’s not a good cat. They (the
Chinese) also learnt from their mistake in South Sudan which is costing them a
lot in protecting their investments in that country.
2) Hope that Mugabe will retire
You don’t have
to be a Nobel prize-winning scientist to know that Mr Mugabe actually wants to
die a president. Any hope that he wants to retire is misplaced, and tantamount
to riding a dead horse. Why is it so clear that he does not want to retire?
Read between the lines.
Visionary
leaders that want to retire put in place a succession plan. For example, back
in April 2014 at the Woodrow Wilson International Centre for Scholars in
Washington DC, Jakaya Kikwete of Tanzania, who plans to retire after elections
in October 2015 stated;
“After 10
years, you need to move on. It’s been 10 years since I came to this high
profile office. I was very young, just 55. But what I can tell you about this
job is that it is stressful and thankless.”
This month,
Kikwete’s party chose John Magufuli as Kikwete’s successor, going into
elections. Kikwete realizes that Chama Cha Mapinduzi as a party and Tanzania
have to have a life of their own without him. Mugabe on the
other hand has stifled every bid to have a succession plan. He is very
uncomfortable with any succession talk. You don’t have to go far to read the
signs. A few weeks ago, he warned party youths,
“If you are
choosing between my two vice-presidents, you are beginning your own Gamatox
[fired faction],”
That’s enough
of a reminder for those who may forget what happened to a former Vice
President. Last year Mugabe rubbished his two senior party members Joyce Mujuru
and Emmerson Mnangagwa during a birthday interview;
“But why should
it (succession) be discussed when it is not due? Is it due? ... The leadership
still exists that runs the country. In other words, I am still there.”
The Journal of
Southern African Studies (Volume 39, Issue 4, 2013) carries a paper entitled
the “Ideology, Civilian Authority and the Zimbabwean Military” which suggests
that there have been several covert but failed negotiated attempts to get
Mugabe to retire. A retired colonel Lionel Dyck, working with then General Vitalis
Zvinavashe and others back in 2002 tried to get Mugabe to retire, planning to
replace him with Mnangagwa who was then a speaker of Parliament.
Then Zimbabwe
would have tested its first government of national unity as opposition leader
Morgan Tsvangirai was included in the plan. After foiling the plan and the dust
had settled, Mugabe later described these maneuvers as counter-revolutionary
and foolhardy. The mere thought of anyone replacing him is foolhardy, meaning
it’s idiotic. In other words, every aspiring leader in Zimbabwe is an idiot in
Mr Mugabe’s head. So if you keep
your fingers crossed, thinking Robert Mugabe will retire, and things will get
better, dream on. You are flogging a dead horse. If you want him to leave
office, you have to drive him out, kicking and screaming.
3) Hope that
Mugabe will fight corruption – hope that a thief will return the loot
I have
said in my past contributions, thieves are rarely gracious enough to return
their loot. The logic is simple - if they had ‘grace’ (no pun intended), they
would not have stolen in the first place. Zimbabwe has become a mini-version of
Nigeria with a generous mix of both grandiose corruption at high levels and petty
bribery at the lower levels of society. The police shamelessly set up road
blocks at 10 km intervals across town and highways, engaging in mass scale
shakedowns. Ruling party scoundrels go around town like warlords in Somalia,
taking over bus termini, hijacking city council buildings and collecting rent
and protection fees, as well as collecting ‘rentals’ from desperate street
vendors.
But there is a
catch. If you want to be corrupt in Zimbabwe, and get away with it, just
mention that whatever you are doing has the blessing of the godfather. So for
example, you can just say you are collecting the shakedown for “Dr Amai”, which
is a euphemism for - it’s for Mugabe and his wife. One youngster from the
ruling party who made the mistake of exceeding his authority was recently
arrested for shaking down over $200,000 from desperate households trying to
build homes. Perhaps he hadn’t paid all his dues to the Godfather.
If you don’t
get the message here, let me spell it in black and white. Robert Mugabe is the
Al “Scarface” Capone of Zimbabwe. He is the Joaquin "El Chapo" Guzmán
of the troubled southern African country, albeit a better one because he is a
sitting president, and will never have trouble from the law because he is the
law.
Mugabe has been
involved in sleazy stuff within and outside Zimbabwe (in the DRC, Equatorial
Guinea, etc), and has allowed his subordinates just as much slack. Last year, I
made a detailed submission where I argued that Mugabe has always been at the
core of corruption and bribery well from the time Zimbabwe got independent in
1980 and detailed his involvement in big money scandals found here https://www.blogger.com/blogger.g?blogID=6852165236990278708#editor/target=post;postID=7951872811847905847;onPublishedMenu=posts;onClosedMenu=posts;postNum=0;src=postname
. Among other scandals, this quote aptly captures it;
‘The first
official confirmation of Mugabe’s fingers in the corruption jar came out in a
1992 report published by the US Senate’s Committee on Foreign Relations. Then,
senators John Kerry and Hank Brown led thorough investigations into the
operations of the large Bank of Credit and Commerce International (BCCI). BCCI
was an elaborate criminal corporate spider-web set up and led by sleek
Pakistani banker named Agha Hasan Abedi, with significant funding from the
ruler of Abu Dhabi and then President and founder of United Arab Emirates – Sheikh
Sultan bin Zayed al Nahyan.
… BCCI would
make direct payments to key officials, ... Nazir Chinoy, a BCCI official told
the committee that Abedi paid both Robert Mugabe who was then the Prime
Minister, to fast track setting up the joint venture that became BCCI in
Zimbabwe. He also paid Joshua Nkomo who was Mugabe’s opposing number across the
Zimbabwean political aisle. … To the uninitiated, BCCI is the predecessor of
present day CBZ Bank from which the previous central bank governor, Gideon
Gono, and the just appointed central bank governor John Mangudya hailed.
Readers may also not be aware that BCCI was very much at the centre of the
Willowgate scandal. BCCI manager Ashrat Aktar issued the bank certified cheques
to employees of Naran, a sleazy businessman, who was acting in cahoots with
Calistus Ndlovu, then Minister of Industry and Technology. It was a refund from
one of these cheques that was misdirected to Obert Mpofu, leading to a public
spill of the corruption scandal.”
So if you think
the Robert Mugabe will fight corruption, you are no better than someone riding
a dead horse, strategizing about how to lower the standards so that more dead
horses can also be included. The best you can do is dismount this dead horse
and think about how to clean Zimbabwe up and drive the Joaquin "El
Chapo" Guzmán of Zimbabwe out of office. It is important to note that the
best way to deal with Zimbabwe’s level of corruption is via what I call the
Rwanda-style antidote. It will take a Kagame-kind of person to instill
discipline and remove the cancer quickly. This anecdote will be a matter for
another day.
4) That
Zimbabwe is a normal republic
It’s common in
Harare to see youths across town with push carts full of bananas. Poor,
corrupt, politically wobbly, agrarian and largely dependent on the export of a
few resources, Zimbabwe now generally meets most people’s definition of a
banana republic. American author William Porter who coined the term ‘banana
republic’ used the phrase to depict a country with a huge but impoverished
working class, presided upon by a small ruling elite made up of political,
business and military class. The ruling class is interconnected with one
influencing, feeding and operating the other, but more importantly, controlling
the primary sector the economy is dependent upon.
Zimbabwe, among
other countries, is one of the countries that evolved from colonialism and
chose a rotten path towards becoming a banana republic. If you want to
understand this better, explore the whole web of Zimbabwe’s ruling class, the
military included, and how their involvement in the agricultural and mining
sectors especially the country’s diamond mines.
5) Hope of
improvement in your lifetime
A better future
life is possible for the Zimbabwean generation born in the last ten years –
they have a fair chance of seeing a good Zimbabwe in their lifetime. But for
anybody born after 1980 and before the year 2005, a good lifestyle for the
generality of the population is a mirage. The majority of the university
graduates in Zimbabwe today will not get employment in their prime years, which
means that they miss out on gaining critical formal skills necessary for a
productive economy. Some will cross borders to go and labor in foreign lands.
If you want to
see why a month can easily turn into a year and a year into decades while your
life is wasting away with your chances to change the world fading away into the
horizon, here is the evidence. As noted above, a few people in Zanu PF saw that
Mugabe was a risk to the nation more than a decade ago. The late army general
Vitalis Zvinavashe through proxies approached Morgan Tsvangirai to arrange what
would have been Zimbabwe’s first government of national unity way back in 2002.
The late army
general, according to reports at the time, was working with Emmerson Mnangagwa
on this plan because they realized that Robert Mugabe "is the main
stumbling block". They said Mugabe must step down before we can
find solutions to our economic decline and the hunger, among many other
problems,” Tsvangirai said at the time.
Clearly Mugabe
is still there thirteen years later. He is still a stumbling block, and will
remain one. True to Zvinavashe’s view, Mugabe still has to step down before
Zimbabwe can find solutions to its economic quagmire. Hunger has increased.
More people have since died from archaic diseases like cholera since 2002. More
children have dropped out of school, a whole generation is ruined and generally
everybody in Zimbabwe is now more impoverished than back then.
While we are at
it, Robert Mugabe has declared his interest, covertly and overtly, to run for
President of Zimbabwe in 2018. So before you think your woes will soon be over,
hang on and buckle our seatbelts. For that reason, international capital will
skirt Zimbabwe and go to other countries with a better value proposition,
because international capital is a coward.
6) Hope that
the land problem will go away
This is one
problem that will not go away. He who fights and runs away lives to fight
another day. Robert Mugabe got his chance to correct the land issue in Zimbabwe
and he messed it up. Few people get the chance he had to actually properly plan
how the land as an economic resource can be managed and utilized. It is for
this reason that fifteen years after the so-called land reform, Zimbabwe still
experiences land invasions, repossession of farms and all the other nonsense
that comes with it.
So why will it
remain a thorny issue? There are a number of reasons. Many former farm
land-owners still have lawful title-deeds to their farms. The goal to decongest
rural areas was a very unwise move as rural areas are sparsely populated
anyway, and it should never be a goal to decongest them. The goal should be to
make rural folks more productive.
Greedy elites
will always want to accumulate more in a banana republic, so like one Walter
Mzembi, they will wake up one day and decide they don’t want one farm, but they
like another, so they can, at their whims and caprices, swap one piece of land
for another and so forth. For the next several decades, the land issue will
remain a thorny one until a leader with the stomach to take on the issue is
chosen by the people.
We had the same
feudal challenge in Japan. However, Japan after World War II has long been
considered one of the most successful agrarian reform projects in the world.
This must be seen in the context of the reality that before this reform, a lot
of land pre-WWII was owned by feudal landlords. Japan's reform experience
offers precious lessons to developing countries now intent on implementing
agrarian reform.
Land reform in
Japan demolished a class structure based on landholding. Landlords were no
longer supreme and rural society was restructured. Driven by Wolf Ladejinsky,
an American agricultural economist, and Hiro Wada, a former Minister of
Agriculture, they led a land reform that dismantled a power structure dominated
by wealthy landlords, empowering peasants to become productive landowners.
On the
contrary, Zimbabwe’s land reform simply transferred vast farms and tracts of
land to elites who have very little knowledge and passion for farming.
Officially opening an agricultural show in Harare in 2013, Mugabe attacked
resettled farmers for being unproductive. He complained that: “Now people
with A2 farms are practising just like my grandparents but they have the
knowledge and so many degrees.” Such complaints are the consequence of
unplanned land reform driven more by emotions and the pursuit for power than
the desire to productively use land as an economic resource for national development.
In conclusion,
as long as Robert Mugabe is where he is, there is little if any hope for the
present generation in Zimbabwe. Hoping for the best when reality shows
otherwise is tantamount to riding a dead horse, and the best strategy when you
are riding a dead horse is to dismount. How you dismount is up to you.
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