News / National
POSB scandal exposes Mnangagwa?
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Documents supporting President Emmerson Mnangagwa's controversial handling of the planned sale of the state-owned People's Own Savings Bank (POSB) have sparked grave concerns regarding transparency and accountability in the disposal of public assets. The documents, which include the agreement between the government, POSB, and the Hebrew Investment Group (HIG), letters from Attorney-General Virginia Mabiza to the POSB chief executive and other stakeholders, and a directive from Mnangagwa, have raised serious questions about the legitimacy of the deal.
The documents were initially leaked to political activist Jealousy Mawarire, The NewsHawks, and ZimLive by a mutual source acting on public interest and whistleblowing grounds. Mawarire subsequently used Alpha Media Holdings' online platform, HStv, to expose the details of the POSB deal, with additional coverage provided by ZimLive and The NewsHawks. Prominent journalist Hopewell Chin'ono also shared some of the documents on social media, further escalating the controversy.
The planned sale, which involves transferring a 70% stake in POSB to HIG for US$70 million as part of a US$100 million recapitalisation deal, has been widely criticised for lacking due diligence and proper regulatory oversight. The Reserve Bank of Zimbabwe, the country's financial sector regulator, has sought to distance itself from the deal, but the leaked documents show that the story surrounding the sale has always been firmly grounded in reality.
According to the documents, Mnangagwa handpicked HIG, bypassing standard public tendering processes and corporate governance procedures. This has raised questions about the fairness of the process and the potential for corruption. Mabiza, the Attorney-General, has also come under scrutiny for her role in the deal, with accusations that she acted as a "legal conduit" for Mnangagwa to push the sale through despite its opaque nature.
HIG's key figures, including Morris Brown Gwedegwe and Professor Emile Kue, have also raised eyebrows due to their questionable backgrounds and credentials, further casting doubt on the legitimacy of the transaction.
The sale of POSB is particularly concerning as the bank plays a critical role in processing salaries for civil servants, distributing foreign currency pensions, and offering salary-linked loans. The lack of transparency and accountability in the deal has raised alarms about the potential for corruption and the risk of Zimbabwe's public assets being sold off clandestinely.
Overall, the planned sale of POSB has ignited widespread concerns about the erosion of transparency and accountability in the handling of public assets, with many questioning whether the transaction is a thinly veiled attempt to enrich individuals at the expense of Zimbabwe's taxpayers.
The documents were initially leaked to political activist Jealousy Mawarire, The NewsHawks, and ZimLive by a mutual source acting on public interest and whistleblowing grounds. Mawarire subsequently used Alpha Media Holdings' online platform, HStv, to expose the details of the POSB deal, with additional coverage provided by ZimLive and The NewsHawks. Prominent journalist Hopewell Chin'ono also shared some of the documents on social media, further escalating the controversy.
The planned sale, which involves transferring a 70% stake in POSB to HIG for US$70 million as part of a US$100 million recapitalisation deal, has been widely criticised for lacking due diligence and proper regulatory oversight. The Reserve Bank of Zimbabwe, the country's financial sector regulator, has sought to distance itself from the deal, but the leaked documents show that the story surrounding the sale has always been firmly grounded in reality.
According to the documents, Mnangagwa handpicked HIG, bypassing standard public tendering processes and corporate governance procedures. This has raised questions about the fairness of the process and the potential for corruption. Mabiza, the Attorney-General, has also come under scrutiny for her role in the deal, with accusations that she acted as a "legal conduit" for Mnangagwa to push the sale through despite its opaque nature.
The sale of POSB is particularly concerning as the bank plays a critical role in processing salaries for civil servants, distributing foreign currency pensions, and offering salary-linked loans. The lack of transparency and accountability in the deal has raised alarms about the potential for corruption and the risk of Zimbabwe's public assets being sold off clandestinely.
Overall, the planned sale of POSB has ignited widespread concerns about the erosion of transparency and accountability in the handling of public assets, with many questioning whether the transaction is a thinly veiled attempt to enrich individuals at the expense of Zimbabwe's taxpayers.
Source - online
