News / National
Mugabe nephew's rise to Telecel CEO blocked
16 Feb 2015 at 05:42hrs | Views
The intended elevation of President Robert Mugabe's nephew, Patrick Zhuwao, to the post of chief executive officer of mobile cellular network firm Telecel Zimbabwe, has been put on hold by the High Court following an urgent chamber application by the telecommunications firm's co-director and shareholder Jane Mutasa.
Last week, Mutasa filed the urgent chamber application seeking to bar an extraordinary general meeting set for Friday this week which was set to elevate Zhuwawo to the top post of the mobile cellular firm.
However, Justice David Mangota granted a provisional order barring the conducting of the extraordinary general meeting pending the finalisation of another matter in which Mutasa is suing her business partner James Makamba for allegedly stealing the company's shares. The matter is under case number HC9206/14.
In the same urgent chamber application, Mutasa, through her lawyer Charles Chinyama, had also sought to bar Makamba from selling 40% of the mobile network provider's shares without her approval.
In her founding affidavit forming part of the urgent chamber application, Mutasa challenged Zhuwao's appointment saying: "The first applicant (Mutasa) will state that at no stage was the 1st respondent (Zhuwao) appointed to the position of chief executive officer (CEO), let alone the managing director to the 6th respondent (Empowerment Corporation) where in a resolution was passed to the effect that the 1st respondent was appointed the CEO or managing director, the purported actions of the 1st respondent, if any, are not authorised and remain unlawful.
"For all intents and purposes, the purported extraordinary general meeting pencilled for the 20th of February 2015 has been called by outsiders who have nothing to do with the shares held by the 6th respondent in Telecel Zimbabwe (Private) Limited on behalf of fully paid subscribers to the 6th respondent."
The businesswoman further told the court that if the meeting was to proceed as planned, she would stand to lose a fortune from her investment in the mobile firm.
"The 1st to 4th applicants stands to lose all their lifetime investment they have made in Telecel Zimbabwe through the 6th respondent as their investment vehicle which has an ever increasing value well in excess of $200 000 000 and is sought to be donated or to be given away for as little as $20 000 000."
The interdict was sought against Carlton Consultants Private Ltd, Makamba, Kestrel Corporation and Zimbabwe Miners' Association, Empowerment Corporation, Brainworks Capital Management Private Ltd and George Manyere, who have been cited as respondents in a bid to stop them from disposing 40% of Telecel Zimbabwe shares.
Last week, Mutasa filed the urgent chamber application seeking to bar an extraordinary general meeting set for Friday this week which was set to elevate Zhuwawo to the top post of the mobile cellular firm.
However, Justice David Mangota granted a provisional order barring the conducting of the extraordinary general meeting pending the finalisation of another matter in which Mutasa is suing her business partner James Makamba for allegedly stealing the company's shares. The matter is under case number HC9206/14.
In the same urgent chamber application, Mutasa, through her lawyer Charles Chinyama, had also sought to bar Makamba from selling 40% of the mobile network provider's shares without her approval.
"For all intents and purposes, the purported extraordinary general meeting pencilled for the 20th of February 2015 has been called by outsiders who have nothing to do with the shares held by the 6th respondent in Telecel Zimbabwe (Private) Limited on behalf of fully paid subscribers to the 6th respondent."
The businesswoman further told the court that if the meeting was to proceed as planned, she would stand to lose a fortune from her investment in the mobile firm.
"The 1st to 4th applicants stands to lose all their lifetime investment they have made in Telecel Zimbabwe through the 6th respondent as their investment vehicle which has an ever increasing value well in excess of $200 000 000 and is sought to be donated or to be given away for as little as $20 000 000."
The interdict was sought against Carlton Consultants Private Ltd, Makamba, Kestrel Corporation and Zimbabwe Miners' Association, Empowerment Corporation, Brainworks Capital Management Private Ltd and George Manyere, who have been cited as respondents in a bid to stop them from disposing 40% of Telecel Zimbabwe shares.
Source - newsday
