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NSSA chair implicated in extortion case
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National Social Security Authority (NSSA) chairman Emmanuel Fundira was questioned by police on Wednesday in connection with an extortion case involving former Rainbow Tourism Group (RTG) senior employee Paula January.
This follows a report by The NewsHawks implicating Fundira, former chairman of African Sun Limited, and January in a scheme to manipulate RTG's market value to facilitate the acquisition of shares at a deflated price.
Police sought to understand Fundira's role in January's alleged extortion attempts, in which she was reportedly demanding either financial compensation or reinstatement at RTG. Failure to meet her demands, she threatened, would result in her bringing the Zimbabwe Anti-Corruption Commission (ZACC) down on RTG management.
January, who was forced out of RTG in 2019 following a child drowning incident at Kadoma Hotel and Conference Centre, has been caught on audio recordings demanding payment while accusing RTG executives of fraud and money laundering related to a 2019 strategy meeting in Dubai. She has also alleged irregular backdated salary and allowance payments dating to the COVID-19 era.
When RTG rejected her demands, January allegedly instigated a ZACC investigation into the company. Fundira, according to police sources, provided January with confidential RTG information, which she used to substantiate her demands.
A police source confirmed:
"Police are investigating January over an extortion case involving her demands for payment or reinstatement at RTG. They have been looking for her, but she is currently in Malawi. Fundira was questioned on Thursday about his involvement in supplying her with sensitive information."
The allegations against Fundira and January are reinforced by documents and audio recordings in which January is heard threatening RTG executives with arrest. The police investigation, under case reference CR 483/2/25, is based on evidence showing January had prior knowledge of ZACC raids before they occurred, implying she was coordinating with ZACC officials.
ZACC first raided RTG's corporate offices on 13 September 2023 with a search and seizure warrant relating to alleged fraud connected to the 2019 Dubai strategy meeting. However, the High Court granted RTG an urgent stay of execution on 18 September 2023, ruling that as a publicly listed company, RTG did not require cabinet approval for international travel.
Despite this, ZACC returned on 28 February 2024, alleging money laundering and illegal foreign currency dealings. It sought payroll and employment records of six senior executives: Madzivanyika, Napoleon Kudakwashe Mtukwa, Tapiwa Mari, Tichaona Gabriel Hwingwiri, Laurence Dhemba, and Shupikai Marware.
Following an internal investigation, the RTG board cleared its executives of wrongdoing, and a subsequent NSSA and RTG meeting recommended that the ZACC probe be dropped. Market observers argue that the raids were part of a broader attempt to destabilize RTG and drive down its share price.
NSSA owns a 91.6% stake in RTG and is in the process of selling 56% to comply with Zimbabwe Stock Exchange regulations. Fundira has been accused of leveraging his position at NSSA to depress RTG's share price to facilitate a cheap takeover.
Fundira, who previously chaired African Sun and still holds interests in the tourism sector, signed an agreement restricting his involvement in the industry due to potential conflicts of interest. Despite this, he remains active in tourism, serving as the chief executive of Astoc Leisure Group and president of the Safari Operators Association of Zimbabwe.
January's recorded conversations confirm Fundira provided her with confidential RTG financial details, including executive salaries and allowances. She also suggested that Fundira had a personal grudge against RTG CEO MacGerald Tendai Madziwanyika, referencing a meeting between them in Dubai.
The latest revelations place Fundira in an increasingly difficult position, with growing calls for his removal amid allegations of corporate sabotage and abuse of office. NSSA's planned offloading of RTG shares has attracted local and international buyers, but Fundira's alleged involvement in manipulating the process raises serious ethical and legal concerns.
This follows a report by The NewsHawks implicating Fundira, former chairman of African Sun Limited, and January in a scheme to manipulate RTG's market value to facilitate the acquisition of shares at a deflated price.
Police sought to understand Fundira's role in January's alleged extortion attempts, in which she was reportedly demanding either financial compensation or reinstatement at RTG. Failure to meet her demands, she threatened, would result in her bringing the Zimbabwe Anti-Corruption Commission (ZACC) down on RTG management.
January, who was forced out of RTG in 2019 following a child drowning incident at Kadoma Hotel and Conference Centre, has been caught on audio recordings demanding payment while accusing RTG executives of fraud and money laundering related to a 2019 strategy meeting in Dubai. She has also alleged irregular backdated salary and allowance payments dating to the COVID-19 era.
When RTG rejected her demands, January allegedly instigated a ZACC investigation into the company. Fundira, according to police sources, provided January with confidential RTG information, which she used to substantiate her demands.
A police source confirmed:
"Police are investigating January over an extortion case involving her demands for payment or reinstatement at RTG. They have been looking for her, but she is currently in Malawi. Fundira was questioned on Thursday about his involvement in supplying her with sensitive information."
ZACC first raided RTG's corporate offices on 13 September 2023 with a search and seizure warrant relating to alleged fraud connected to the 2019 Dubai strategy meeting. However, the High Court granted RTG an urgent stay of execution on 18 September 2023, ruling that as a publicly listed company, RTG did not require cabinet approval for international travel.
Despite this, ZACC returned on 28 February 2024, alleging money laundering and illegal foreign currency dealings. It sought payroll and employment records of six senior executives: Madzivanyika, Napoleon Kudakwashe Mtukwa, Tapiwa Mari, Tichaona Gabriel Hwingwiri, Laurence Dhemba, and Shupikai Marware.
Following an internal investigation, the RTG board cleared its executives of wrongdoing, and a subsequent NSSA and RTG meeting recommended that the ZACC probe be dropped. Market observers argue that the raids were part of a broader attempt to destabilize RTG and drive down its share price.
NSSA owns a 91.6% stake in RTG and is in the process of selling 56% to comply with Zimbabwe Stock Exchange regulations. Fundira has been accused of leveraging his position at NSSA to depress RTG's share price to facilitate a cheap takeover.
Fundira, who previously chaired African Sun and still holds interests in the tourism sector, signed an agreement restricting his involvement in the industry due to potential conflicts of interest. Despite this, he remains active in tourism, serving as the chief executive of Astoc Leisure Group and president of the Safari Operators Association of Zimbabwe.
January's recorded conversations confirm Fundira provided her with confidential RTG financial details, including executive salaries and allowances. She also suggested that Fundira had a personal grudge against RTG CEO MacGerald Tendai Madziwanyika, referencing a meeting between them in Dubai.
The latest revelations place Fundira in an increasingly difficult position, with growing calls for his removal amid allegations of corporate sabotage and abuse of office. NSSA's planned offloading of RTG shares has attracted local and international buyers, but Fundira's alleged involvement in manipulating the process raises serious ethical and legal concerns.
Source - online
