Tsvangirai defrauded government of $1.5 million - report

Prime Minister Tsvangirai is alleged to have used the US$1.5 million to buy items for people far removed from the intended Prime Ministers official residence as well as undue enrichment programmes on the money market.

Zimbabwe state broadcaster claims to have unearthed concrete evidence regarding Prime Minister Morgan Tsvangirai's double dipping scandal, with documents in possession clearly showing how the Premier defrauded government of US$1.5 million.

The documents in possession show that indeed treasury, through the Minister of Finance Tendai Biti, released another US$1.5 million apparently to buy the same property that RBZ had paid for.

According to the records, it is also a fact that RBZ transferred US$1.5 million to Homelink before it was forwarded to CBZ and an amount of US$1 250 000 wired to BancABC, before eventually being transferred to Atherstone and Cook investment account at Interfin.

In 2009, Zimbabwe's ambassador to Germany, who happens to be Prime Minister Tsvangirai's nephew, wrote several letters requesting for the transfer of US$120 000 from Atherstone and Cook account to purchase his personal property, Stand No. 24 in Shawasha Hills, which belonged to Mr. John White.

A transaction history of the Premier's fraudulent dealings showed that out of the US$1.5 million, a credit balance of US$570 000 was left by July 2011.

While Finance Minister Tendai Biti is allegedly trying to distance himself from the double dipping scandal, the document in hand shows that on 15 February 2010, the Finance Minister wrote to RBZ Governor, Dr. Gono saying treasury was under limited fiscal constraints and the central bank should, therefore, hold on the housing loan for the account of government and added that treasury will pay back the US$1.5 million once the situation improves.

The Prime Minister's house was acquired in 2010 at a cost of US$775 000 deducted from the US$1.5 million which Mr. Biti allocated under the Prime Minister's Vote.

Legal experts say if Mr. Tsvangirai received US$1.5 million from treasury and another US$1.5 million from RBZ for the same purpose, it is a clear case of fraud which the courts should deal with.

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