News / National
FlyAfrica debacle continues
13 Dec 2015 at 09:06hrs | Views
BUDGET airline FlyAfrica is under investigation by the Reserve Bank of Zimbabwe for allegedly externalising funds amid revelations that the major shareholder in the Zimbabwe operations, Mr Matipedza Karase has been cleared of the US$200 000 fraud charges laid against him by the parent company, as the battle between the shareholders continues.
In an interview, Mr Karase said the airline had failed to reimburse passengers their money for pre-booked flights due to the frozen accounts.
"We froze those accounts because that is where they were siphoning passengers' funds from, without our knowledge as the majority shareholders in the Zimbabwe operations and we reported the matter hence the investigations by the central bank," said Mr Karase.
Despite charges being laid against the member of the Karase family in October at the Harare Central Police Station CID section, up to date Mr Karase has not been approached by the detectives and he revealed that the fraud squad had not been able to find any fraudulent withdrawals in relation to his activities at FlyAfrica.
He said defamation of character was employed to try and distract attention from the fact that the airline was grounded for owing over $2,2 million in passenger departure taxes and handling charges.
CAAZ and FlyAfrica were not at liberty to disclose the source of the impasse which led to the grounding of the company.
"Police never contacted me or looked for me and I am still the majority shareholder in the Zimbabwe operations. The company is suffering from mismanagement of funds, that is why the airline has not been able to refund passengers or return to the skies.
That money is no longer available," he said.
Responding to questions on whether passengers would get their refunds or if this was the end of the budget airline, Mr Karase said the current position was not clear.
It is likely that all the passengers who had pre-booked especially for the December holidays will not fly with the airline and chances of refunds are bleak.
In contrary to claims by FlyAfrica, documents in possession of Sunday News show that judgement handed down on 16 November by Justice Tsanga ruled that serious safety and management concerns needed to be addressed first before the airline could resume operations.
The Judge refused to grant the request to lift the suspension of the airline from flying.
Despite the Karase family claiming majority ownership, FlyAfrica chief executive officer Mr Adrian Hamilton-Manns is, however, on record saying the airline had subsequently suspended the Karase family — who are the Zimbabwean partners for breach of directoral and fiduciary duties with further charges being anticipated.
The Karase family dismissed such claims stating that the purported dismissal of Chakanyuka Karase as chairman and director of Nu Aero (Pvt.) Limited T/A FlyAfrica Zimbabwe is of no force and effect.
In an interview, Mr Karase said the airline had failed to reimburse passengers their money for pre-booked flights due to the frozen accounts.
"We froze those accounts because that is where they were siphoning passengers' funds from, without our knowledge as the majority shareholders in the Zimbabwe operations and we reported the matter hence the investigations by the central bank," said Mr Karase.
Despite charges being laid against the member of the Karase family in October at the Harare Central Police Station CID section, up to date Mr Karase has not been approached by the detectives and he revealed that the fraud squad had not been able to find any fraudulent withdrawals in relation to his activities at FlyAfrica.
He said defamation of character was employed to try and distract attention from the fact that the airline was grounded for owing over $2,2 million in passenger departure taxes and handling charges.
CAAZ and FlyAfrica were not at liberty to disclose the source of the impasse which led to the grounding of the company.
"Police never contacted me or looked for me and I am still the majority shareholder in the Zimbabwe operations. The company is suffering from mismanagement of funds, that is why the airline has not been able to refund passengers or return to the skies.
Responding to questions on whether passengers would get their refunds or if this was the end of the budget airline, Mr Karase said the current position was not clear.
It is likely that all the passengers who had pre-booked especially for the December holidays will not fly with the airline and chances of refunds are bleak.
In contrary to claims by FlyAfrica, documents in possession of Sunday News show that judgement handed down on 16 November by Justice Tsanga ruled that serious safety and management concerns needed to be addressed first before the airline could resume operations.
The Judge refused to grant the request to lift the suspension of the airline from flying.
Despite the Karase family claiming majority ownership, FlyAfrica chief executive officer Mr Adrian Hamilton-Manns is, however, on record saying the airline had subsequently suspended the Karase family — who are the Zimbabwean partners for breach of directoral and fiduciary duties with further charges being anticipated.
The Karase family dismissed such claims stating that the purported dismissal of Chakanyuka Karase as chairman and director of Nu Aero (Pvt.) Limited T/A FlyAfrica Zimbabwe is of no force and effect.
Source - sundaynews
