Lawyer accuses ZMDC of theft

Corporation boss Dominic Mubaiwa.
Former Canadile finance manager Mr Simbisai Munemo said this during cross-examination from defence lawyer Ms Beatrice Mtetwa.
Mr Munemo said in the financial statement, ZMDC was shown as a debtor.
This prompted Ms Mtetwa to accuse ZMDC of stealing from Core Mining.
Ms Mtetwa sought an explanation how they would collect the money owed and Mr Munemo said ZMDC was the parent company of Canadile.
But Ms Mtetwa argued that ZMDC did not wholly own the company.
Mr Munemo also testified that the total value brought into Canadile by Core Mining was US$10 959 220 19, some of which was in the form of assets and cash.
He said the company’s first sale of diamonds realised US$21 092 320 and a dividend of US$10 million was paid out. Mr Munemo, who is now Marange Resources finance executive, conceded that there are no documents showing that Canadile was formally dissolved save for a meeting he was briefed by the ZMDC chairman of the development.  
Earlier Justice Chinembiri Bhunu upheld his decision compelling the prosecution to produce a set of documents required by the defence team.
In his ruling, Justice Bhunu said the prosecution was obliged to provide documents in their possession and not to investigate. He said he could not order the prosecution to provide documents, which were not in their possession. Ms Mtetwa insisted that they required a resolution by the now disbanded Canadile Miners board authorising Grant Thornton to produce a financial report for the company.
They also need a copy of the CR14 form that sets out the directors of Canadile amid conflicting information on the report by Grant Thornton indicating Mr Mubaiwa was one of the directors of Canadile.
The lawyers also want to be furnished with monthly diamond statistics and sales statistics for the gems, which they want to use to disprove the actual prejudice of US$2 billion alleged by the prosecution.
Source documents that were used in the compilation of the report are also on the list of the required papers.
Diamond valuation reports, board resolution for the dividends, bank statements, mini-book entries and records of all mined diamonds are also part of the documents required by the defence team.
Chief law officer Mr Chris Mutangadura who is being assisted by Mr Public Mpofu is prosecuting.