News / Africa
Mutumwa Mawere's bank accounts have been frozen
19 Aug 2013 at 14:28hrs | Views
ZIMBABWE born businessman Mr Mutumwa Mawere's accounts have been frozen after police arrested him on allegations of defrauding the South African National Lottery Distribution Trust Fund to the tune of R4,5 million.
The businessman's arrest followed a fall-out he had with his long time Indian business partner, Mr Parmanathan Mariemuthu. The freezing of his bank accounts saw Mr Mawere, who is based and South Africa an recently reclaimed his Zimbabwean citizenship, struggling to raise R 500 000 bail, before he was saved by colleagues.
Mr Mawere is currently assisting police with investigations. It is alleged that Mr Mawere, who is President of African Heritage Society, a charity organisation, secured R4,5 million grant from the State Lottery after he had indicated that he wanted to set up a "corporate heritage museum."
The museum was to be set up at his plush Rivonia offices, in Sandton, Johannesburg.
In his feedback to the State Lottery, Mr Mawere allegedly indicated that he held a two-day workshop at a luxury hotel in Sandton, but authorities were told that it was not true as the event was used to launch his book titled "Conversation with Mawere."
Police allege that the money was deposited in several of his accounts. Sources close to investigations in South Africa say, Mr Mariemuthu, who is suspected to be the whistleblower, has an uphill task to demonstrate that his hands were clean as well.
"What is complex in this investigation is that Mr Mawere was not a signatory in most of these transactions of the actions being complained of. The signatory to the transactions was Mariemuthu, who now wants to be treated as complainant because he was the chief executive officer," said a source.
The source said while it was known that Mr Mawere was the architect of the whole transaction, his signature in not on any of the transactions.
"All the paper trail showed the hand of Mariemuthu, yet we know that Mr Mawere was behind it as the chief strategist but he never put his signature but that of his fronts," said the source.
Mr Mawere was not available for comment, his mobile was not reachable while people at his office kept on saying he was in a meeting and promised to ask him to phone back.
Among other activities done by his society, was to organise a life-time achievement award to former Zambian president Kenneth Kaunda at an event held in Johannesburg.
Mr Mawere is said to have parted ways with Mariemuthu after the latter felt that the Zimbabwe-born businessman was using him for self-serving benefits.
"The Indian businessman would use his colour to secure business in South Africa for the company but he felt he was not getting anything from it as Mawere would pocket everything," said another source in South Africa.
Mr Mawere lost several of his companies including Shabani Mashava Mine when the Zimbabwean Government took over after it was felt that the firms were heavily exposed.
The businessman recently won a case in the Constitutional Court to have his Zimbabwean citizenship restored. He also holds SA citizenship.
The businessman's arrest followed a fall-out he had with his long time Indian business partner, Mr Parmanathan Mariemuthu. The freezing of his bank accounts saw Mr Mawere, who is based and South Africa an recently reclaimed his Zimbabwean citizenship, struggling to raise R 500 000 bail, before he was saved by colleagues.
Mr Mawere is currently assisting police with investigations. It is alleged that Mr Mawere, who is President of African Heritage Society, a charity organisation, secured R4,5 million grant from the State Lottery after he had indicated that he wanted to set up a "corporate heritage museum."
The museum was to be set up at his plush Rivonia offices, in Sandton, Johannesburg.
In his feedback to the State Lottery, Mr Mawere allegedly indicated that he held a two-day workshop at a luxury hotel in Sandton, but authorities were told that it was not true as the event was used to launch his book titled "Conversation with Mawere."
Police allege that the money was deposited in several of his accounts. Sources close to investigations in South Africa say, Mr Mariemuthu, who is suspected to be the whistleblower, has an uphill task to demonstrate that his hands were clean as well.
"What is complex in this investigation is that Mr Mawere was not a signatory in most of these transactions of the actions being complained of. The signatory to the transactions was Mariemuthu, who now wants to be treated as complainant because he was the chief executive officer," said a source.
"All the paper trail showed the hand of Mariemuthu, yet we know that Mr Mawere was behind it as the chief strategist but he never put his signature but that of his fronts," said the source.
Mr Mawere was not available for comment, his mobile was not reachable while people at his office kept on saying he was in a meeting and promised to ask him to phone back.
Among other activities done by his society, was to organise a life-time achievement award to former Zambian president Kenneth Kaunda at an event held in Johannesburg.
Mr Mawere is said to have parted ways with Mariemuthu after the latter felt that the Zimbabwe-born businessman was using him for self-serving benefits.
"The Indian businessman would use his colour to secure business in South Africa for the company but he felt he was not getting anything from it as Mawere would pocket everything," said another source in South Africa.
Mr Mawere lost several of his companies including Shabani Mashava Mine when the Zimbabwean Government took over after it was felt that the firms were heavily exposed.
The businessman recently won a case in the Constitutional Court to have his Zimbabwean citizenship restored. He also holds SA citizenship.
Source - herald
