Telecel Zimbabwe shares saga rages on

By Staff reporter | 17 Oct 2019 at 18:35hrs
THE battle for shares in Telecel Zimbabwe (Private) Limited between a war veterans organisation Magamba Echimurenga Housing Trust and businessman James Makamba and nine other entities, has been set down for hearing today. High Court judge Edith Mushore is set to preside over the application, which was filed sometime last year.

In the application, Magamba Echimurenga Housing Trust claims to own 24 percent shareholding in Empowerment Corporation (Private) Limited, the indigenous group that owns shares in Telecel Zimbabwe.

Makamba, his company Kestrel Corporation (Private) Limited, Empowerment Corporation (Private) Limited, Jane Mutasa, Indigenous Business Women's Organisation, Selpon Investments (Private) Limited, Carlton Consultancy (Private) Limited, lawyer Gerald Mlotshwa, Telecel and former Information Communication Technology and Cyber Security minister Supa Mandiwanzira are cited in the summons as respondents.

According to Magamba Echimurenga, the government of Zimbabwe fostered a thrust to empower its citizens through an indigenisation economic policy. This allowed indigenous groups and entities to take part in the creation of a third cellular network, which resulted in the formation of Telecel.

"Thus, several indigenous groups and individuals, responded to the government's clarion call and empowerment drive for the upliftment of the indigenous businesses in the telecommunications industry …," Magamba Echimurenga told the court.

The companies that formed part of the business included Makamba's Kestrel Corporation (Private) Limited, the Zimbabwe National Liberation War Veterans Association led by the late Chenjerai Hunzvi, Jane Mutasa's Indigenous Business Women's Organisation, Leo Mugabe's Integrated Engineering Group and the Philip Chiyangwa's Affirmative Action Group (AAG), among other entities.

The Andrew Ndlovu-led Magamba Echimurenga further told the court that the indigenous groups responded to the government quest for indigenisation of the economy in 1997 and these acted as promoters for the birth of the Empowerment Corporation (Private) Limited.

"It will be just and equitable that this honourable court declares the plaintiff as the lawful owner of 24 percent shareholding in the third defendant.

"The director, Andrew Ndlovu, was denied the benefits of a director of the third defendant by not being paid sitting board allowances and other benefits attendant with the office of a director of the third defendant," the court heard.

The firm further seeks an order barring Makamba from continuously disposing of shares in Telecel. The respondents have, however, prayed for the dismissal of the application, claiming it was not in tandem with the rules of the court.

"Definitely, the applicant has adopted the wrong procedure to achieve its intention. The present application should be struck off if not dismissed for being unprocedural," the court was told.



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