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High Court nullifies PwC forensic audit report
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Tongaat Hulett Zimbabwe (THZ) has faced a major legal setback after the High Court of Zimbabwe declared a forensic audit report by Price Waterhouse Coopers (PwC) unlawful and void, effectively clearing former executive director John Edward Chibwe of allegations that had led to his dismissal.
The ruling, handed down by Justice Gladys Mhuri on December 17, 2025, followed Chibwe's legal challenge seeking to nullify the audit findings contained in the report titled "Tongaat Hulett Limited Accounting Irregularities Investigation." The report had examined the bulk sale of sugar and alleged accounting irregularities during Chibwe's tenure as Finance Director and was used as the basis for his removal from Hippo Valley Estates Limited.
The court found that the PwC entities involved—PWC Advisory Services (PTY) LTD and PWC South Africa—were foreign (peregrinus) entities and had not been registered with the Public Accountants and Auditors Board as required by the Public Accountants and Auditors Act. Because of this, their audit investigation lacked legal authority, rendering all findings in the report void.
"Whether the process is a private investigation or a forensic audit report depends on the character of the process and the outcome thereof," Justice Mhuri stated. She also cited board minutes from a special meeting held on August 19, 2019, confirming that PwC had been invited to present their findings on the bulk sale of sugar.
As a result of the ruling, Chibwe has been formally cleared of the allegations contained in the PwC report. The court also ordered Zimbabwe Sugar Sales and Hippo Valley Estates to pay legal costs on a punitive attorney-client scale.
In a related development, a Durban High Court judge had previously criticised the same PwC report for containing "incorrect assumptions and baseless conclusions, patent inconsistencies, inaccurate, misleading, incorrect and questionable information."
Tongaat Hulett Zimbabwe has indicated that it has appealed against the High Court ruling. Meanwhile, THZ's Head of Corporate and Industry Affairs, Dr Dahlia Garwe, declined to comment on the matter, citing the ongoing appeal.
The ruling, handed down by Justice Gladys Mhuri on December 17, 2025, followed Chibwe's legal challenge seeking to nullify the audit findings contained in the report titled "Tongaat Hulett Limited Accounting Irregularities Investigation." The report had examined the bulk sale of sugar and alleged accounting irregularities during Chibwe's tenure as Finance Director and was used as the basis for his removal from Hippo Valley Estates Limited.
The court found that the PwC entities involved—PWC Advisory Services (PTY) LTD and PWC South Africa—were foreign (peregrinus) entities and had not been registered with the Public Accountants and Auditors Board as required by the Public Accountants and Auditors Act. Because of this, their audit investigation lacked legal authority, rendering all findings in the report void.
As a result of the ruling, Chibwe has been formally cleared of the allegations contained in the PwC report. The court also ordered Zimbabwe Sugar Sales and Hippo Valley Estates to pay legal costs on a punitive attorney-client scale.
In a related development, a Durban High Court judge had previously criticised the same PwC report for containing "incorrect assumptions and baseless conclusions, patent inconsistencies, inaccurate, misleading, incorrect and questionable information."
Tongaat Hulett Zimbabwe has indicated that it has appealed against the High Court ruling. Meanwhile, THZ's Head of Corporate and Industry Affairs, Dr Dahlia Garwe, declined to comment on the matter, citing the ongoing appeal.
Source - Tellzim
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