Online Reporter
Herald Correspondent
FORMER Reserve Bank of Zimbabwe Governor Dr Gideon Gono has testified before the Harare Magistrates’ Court in a case involving a couple accused of fraudulently seizing control of his ZWL172 million company, Valley Lodge, located in Mutare.
Dr Gono told the court that the same couple — Clark and Beverly Makoni — are also facing similar allegations involving other properties he owns in Chivhu.
Taking the witness stand for the first time, Dr Gono said he was introduced to the Makonis in 2016 by his children, who recommended them to manage his family’s real estate portfolio.
“I entrusted them to manage over 15 properties in Chivhu, and in 2017, I expanded their mandate to include our Mutare portfolio, which includes Valley Lodge,” Dr Gono said.
“Unfortunately, the same problems we encountered in Chivhu resurfaced in Mutare. We are now working to rectify the fraudulent activities carried out by the accused persons.”
Dr Gono told Magistrate Stanford Mambanje that the accused used fraudulent means to block him and his employees from accessing Valley Lodge.
He alleged that under the influence of the Makonis, police officers arrested his workers regularly.
“We later discovered that the police and the local community had been misled by the Makonis, who used a fraudulently obtained court order,” he said.
Dr Gono said he owns Galwex Investments, which holds all issued shares in both Lizack Holdings and Valley Lodge.
He acquired the shares from Costick Investments, represented by Mr Ayoob Omar.
However, he noted that the full transfer of ownership was still pending as he had not yet completed payment for the property.
Under the original agreement, the Makonis were tasked with collecting rental income, deducting an agreed commission and paying operating expenses.
The remainder was to be remitted to Dr Gono on a monthly basis.
“The accused went for several months without remitting any income, which prompted me to launch an internal investigation,” said Dr Gono said.
“Through my staff – George Mashonganyika, Lindiwe Sabeka and Michelle Nongogo — I discovered that the CR14 of Valley Lodge (Pvt) Ltd and the signatories to the ZB Bank account had been fraudulently changed by the accused, without the knowledge of the legitimate directors or myself as the sole shareholder.”
Dr Gono said neither the boards of Lizack Holdings nor Valley Lodge had met or resolved to change directorship since December 10, 2008, as reflected in the official CR14 records.
“Any suggestion that the accused have ownership, a lease, or any form of legal occupation is false and fraudulent,” he said.
“An affidavit from Mr Omar, from whom I bought the company, confirms this position.”
He told the court that the unauthorised bank withdrawals by the Makonis, disguised as salary payments to themselves and employees of their company Ark Properties, caused him actual prejudice of ZWL137 296 500.
“Nothing has been recovered,” he said, “except verbal apologies from both Beverly and Clark Makoni, which do not erase the fraud committed.”
Dr Gono estimated the financial prejudice to be around US$100,000 and said that, being retired, he relies on these investments for income.
He said the couple’s interference has caused him serious distress.
In January 2024, according to Dr Gono, Clark Makoni approached him to apologise and proposed to repay US$50 000.
“He brought his lawyer, and I was represented by two law firms. We even took photos together after what we called ‘smoking the peace pipe’,” he said.
Dr Gono said he was shocked when Beverly Makoni later refused to sign the proposal, leading to the current court case.
The court also heard testimony from Mr Ayoob Omar, the previous owner of Valley Lodge, who confirmed that the property was sold to Dr Gono, not the Makonis.
Magistrate Mambanje postponed the matter to July 11, with Zimbabwe Anti-Corruption Commission (ZACC) Investigating Officer Eric Chacha set to testify next.
According to the State, the Makonis orchestrated a sophisticated fraud scheme starting with the forgery of a CR14 form, which falsely appointed Clark Makoni as director and company secretary of Valley Lodge and Beverly Makoni as deputy.
They are also accused of misrepresenting themselves to ZB Bank to fraudulently change account signatories, thereby gaining access to the company’s funds and ultimately embezzling ZWL172 million.
