Business / Companies
Dr James Makamba in the dock
17 May 2015 at 05:58hrs | Views
LAST week, The Sunday Mail Business engaged one of Telecel's key shareholders, Dr James Makamba to answer some contentious and curious questions that have arose over the last 18 years since the formation of Telecel Zimbabwe. Below we publish his responses on our enquiries:
Shareholding at formation: "Telecel Zimbabwe was incorporated in 1997 in terms of the laws of Zimbabwe. Its shareholders at the time of incorporation were Telecel International Ltd Holding 60 percent of the issued share capital of TZ (Telecel Zimbabwe) and Empowerment Company Ltd Holding the balance of 40 percent. The above shareholding has not changed up to today."
On paying for licence since inception: "The licence was granted to TZ in terms of the regulations enforced at the time. I am not aware of the allegations relating to the non-payment of the operating licence. What I am aware of is that the company could not operate without a licence and if this allegation was coming from the licensing authority, it would be easier to respond to specific issues.
"Notwithstanding, TZ paid a licence fee of about ZW$4 million for the first licence issued on granting of the first licence and has paid US$35 million towards the current licence."
Staff turnover: "As you are aware, each contract has a performance clause, unless you are specific with the managing directors who have had the privilege to manage the company. I am afraid in respect of foreign or non-resident employees where there have been instances where immigration has intended to shorten the tenure.
"There is a direct and causal relationship between ownership and financing. At the time the licence was granted, permission was sought and granted by Government for TIL (Telecel International Limited) to hold 60 percent of the shares.
"At the material time there were no laws to limit the shares held by foreign shareholders for the record, the limitation of foreign ownership was introduced subsequently.
On latest court ruling: "Now that the learned judge has provided reasons for this ruling, I urge all interested parties to study the reasons."
About complying to avoid further cancellations: "The decision by POTRAZ to cancel the licence formed part of the dispute whose outcome you correctly captured above. Accordingly the subscribers have the protection of the court order and therefore there should be no legal basis for anyone to be apprehensive about unlawful and arbitrary actions.
Mujuru relations: "No. Telecel was the third licence/last licence to be issued. NetOne and Econet were both operational before Telecel.
The licences were awarded by The Cellular Adjudication Committee set up by the Cabinet. It was made up mostly by persons with qualifications in telecoms and finance. I hope that clarifies the matter sir."
Shareholding at formation: "Telecel Zimbabwe was incorporated in 1997 in terms of the laws of Zimbabwe. Its shareholders at the time of incorporation were Telecel International Ltd Holding 60 percent of the issued share capital of TZ (Telecel Zimbabwe) and Empowerment Company Ltd Holding the balance of 40 percent. The above shareholding has not changed up to today."
On paying for licence since inception: "The licence was granted to TZ in terms of the regulations enforced at the time. I am not aware of the allegations relating to the non-payment of the operating licence. What I am aware of is that the company could not operate without a licence and if this allegation was coming from the licensing authority, it would be easier to respond to specific issues.
"Notwithstanding, TZ paid a licence fee of about ZW$4 million for the first licence issued on granting of the first licence and has paid US$35 million towards the current licence."
Staff turnover: "As you are aware, each contract has a performance clause, unless you are specific with the managing directors who have had the privilege to manage the company. I am afraid in respect of foreign or non-resident employees where there have been instances where immigration has intended to shorten the tenure.
"At the material time there were no laws to limit the shares held by foreign shareholders for the record, the limitation of foreign ownership was introduced subsequently.
On latest court ruling: "Now that the learned judge has provided reasons for this ruling, I urge all interested parties to study the reasons."
About complying to avoid further cancellations: "The decision by POTRAZ to cancel the licence formed part of the dispute whose outcome you correctly captured above. Accordingly the subscribers have the protection of the court order and therefore there should be no legal basis for anyone to be apprehensive about unlawful and arbitrary actions.
Mujuru relations: "No. Telecel was the third licence/last licence to be issued. NetOne and Econet were both operational before Telecel.
The licences were awarded by The Cellular Adjudication Committee set up by the Cabinet. It was made up mostly by persons with qualifications in telecoms and finance. I hope that clarifies the matter sir."
Source - sundaymail
