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Suspected serial fraudster arrested over US$91 500 loan cam
5 hrs ago |
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A 39-year-old suspected serial fraudster, Lionel Tanaka Zvarivadza, has been arrested on allegations of duping a financial services provider of more than US$91 500 in a sophisticated loan scam.
Zvarivadza is facing fraud charges under the Criminal Law (Codification and Reform) Act, as well as charges of contravening the Money Laundering and Proceeds of Crime Act.
According to investigators, the suspect entered into an arrangement with the complainant in which loans would be issued to purported employees of a private security company at an agreed monthly interest rate.
It is alleged that the security company would deduct loan repayments directly from employees' salaries and remit the funds to the lender each month.
However, investigations later revealed that the arrangement was fraudulent.
Zvarivadza allegedly recruited 35 individuals from the streets and misrepresented them to the complainant as bona fide employees of the security company. He is said to have provided confirmation letters to support the false claims.
Relying on the misrepresentation, the complainant disbursed loans ranging between US$1 000 and US$5 000, with the funds reportedly handed over to the suspect.
The scheme came to light after the complainant noticed that the loans were not being serviced as agreed. Upon making enquiries with the security company, it emerged that the individuals were not employees and that the company had no knowledge of, or involvement in, the arrangement.
A police report was subsequently filed, leading to Zvarivadza's arrest on March 18, 2026.
Confirming the development, Rachel Muteweri, spokesperson for the Criminal Investigations Department, said the suspect is expected to appear in court on March 20, 2026.
"The suspect, Lionel Tanaka Zvarivadza, is set to appear in Court on March 20, 2026. Total value prejudiced is US$91 500 and nothing was recovered," she said.
Police have urged members of the public to exercise caution when entering into financial transactions.
"The Zimbabwe Republic Police continue to urge the transacting public to be wary of fraudsters who masquerade as authentic before making any transaction," Muteweri added.
Zvarivadza is facing fraud charges under the Criminal Law (Codification and Reform) Act, as well as charges of contravening the Money Laundering and Proceeds of Crime Act.
According to investigators, the suspect entered into an arrangement with the complainant in which loans would be issued to purported employees of a private security company at an agreed monthly interest rate.
It is alleged that the security company would deduct loan repayments directly from employees' salaries and remit the funds to the lender each month.
However, investigations later revealed that the arrangement was fraudulent.
Zvarivadza allegedly recruited 35 individuals from the streets and misrepresented them to the complainant as bona fide employees of the security company. He is said to have provided confirmation letters to support the false claims.
The scheme came to light after the complainant noticed that the loans were not being serviced as agreed. Upon making enquiries with the security company, it emerged that the individuals were not employees and that the company had no knowledge of, or involvement in, the arrangement.
A police report was subsequently filed, leading to Zvarivadza's arrest on March 18, 2026.
Confirming the development, Rachel Muteweri, spokesperson for the Criminal Investigations Department, said the suspect is expected to appear in court on March 20, 2026.
"The suspect, Lionel Tanaka Zvarivadza, is set to appear in Court on March 20, 2026. Total value prejudiced is US$91 500 and nothing was recovered," she said.
Police have urged members of the public to exercise caution when entering into financial transactions.
"The Zimbabwe Republic Police continue to urge the transacting public to be wary of fraudsters who masquerade as authentic before making any transaction," Muteweri added.
Source - The Herald
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