Commission ups heat on Minerva

Livingstone Marufu
THE commission of inquiry looking into the conversion of pensions and policies from Zimbabwe dollars to United States dollars has turned up the heat on Minerva Risk Advisors, which is managing the liquidation of AfrAsia Pension Fund, by demanding data on AfrAsia pensioners dating back to 1996. Minerva — together with companies such as Old Mutual, First Mutual and Marsh — are among firms that have been subpoenaed by the commission to provide crucial information needed to determine whether or not the conversions made after the changeover to the multi-currency system in 2009 were prejudicial to policyholders and pensioners.

Some companies appeared reluctant to hand over information to the commission.

It is believed that the US$6 million being disbursed to former AfrAsia workers does not tally with the value contributed by scheme-holders over the years.

An official from Minerva, who elected to remain anonymous due to the sensitivity of the matter, told The Sunday Mail Business that the company had since complied.

“We were given three weeks to provide the commission with all necessary information and documentation …

”We managed to give all the information we have within the time frame but it remains to be seen if it’s the right piece of information required by the commission,” said the official.

Record-keeping is fundamental to pension funds and insurance companies. It is meant to give pensioners and policyholders confidence in the system.

Regulatory authorities expect companies to have databases dating back to formation of the firms.

The growing disaffection towards pension funds and insurance companies prompted President Mugabe to issue a Proclamation via Statutory Instrument 80 of 2015 establishing a commission of inquiry. In essence, the commission will help pensions get value out of their life savings. It will also assess if funds were administered in line with the principles and practices of pension and insurance service provision.

Having done that, the commission has the power to determine whether or not the regulation and governance of pension and insurance services measures up to established standards.

Some of the key information sought by the commission is to establish the total value of pension funds as of December 31, 2016 as compared to March 31, 2009, including the nature, type and value of pension fund assets.

Though some companies have been giving excuses for why some data is missing, the commission has remained resolute.

Pension fund valuation is a statutory requirement whose valuation procedure is guided by principles that must be strictly adhered to. The commission is chaired by Justice (Retired) George Smith, and comprises Mr Anesu Daka, Mr George Dikinya, Mr Tapiwa Maswera, Mr Martin Tarusenga, Mr Itai Chirume, Mr Brains Muchemwa, Dr Godfrey Kanyenze and Mrs Violet Mutandwa.