News / National
Ex-Hwange Colliery boss arrested over fraud
27 Feb 2013 at 05:10hrs | Views
Former Hwange Colliery company MD Fred Moyo has been arrested on allegations of defrauding a local mining firm of $2.7 million.
Moyo who was arrested on Monday, allegedly signed an agreement sometime in April 2011 with shareholders of the Midlands –based gold miner, OX Mining, to take over the company upon full payment of purchase price of $2.5 million.
He only managed to pay $800 000. Moyo is alleged to have fraudulently secured a $2 million loan from ZB Bank using OX Mining's assets as security despite the fact that he was neither a director nor a shareholder of the firm.
He is said to have later also secured $700 000 from Stanbic Bank using the miners assits to secure borrowing.
The move has prejudiced OX Mining owners Ox Drilling Dirk Benade, and Sydney Steyn, who have a $2.7 million debt which is not of their doing.
Moyo who was arrested on Monday, allegedly signed an agreement sometime in April 2011 with shareholders of the Midlands –based gold miner, OX Mining, to take over the company upon full payment of purchase price of $2.5 million.
He is said to have later also secured $700 000 from Stanbic Bank using the miners assits to secure borrowing.
The move has prejudiced OX Mining owners Ox Drilling Dirk Benade, and Sydney Steyn, who have a $2.7 million debt which is not of their doing.
Source - DN
