Manager under fire in fraud case

Yeukai Karengezeka
Court Correspondent
THE defence case of Michael Smith, a former managing director of MA Auto Suppliers, trading as Mr Cruiser, has exposed several inconsistencies during his cross-examination.
Smith, accused of defrauding the company of at least US$38 000 and R124 000, is facing two counts of theft of trust property, 12 counts of fraud, and 25 counts of corruptly concealing transactions from his principal, Mr Michael Scott Asher.
During cross-examination by State prosecutor Mr Anesu Chirenje, Smith revealed that he had been the managing director of MA Auto Suppliers since 2016.
He claimed to have been entrusted to managing the day-to-day operations of the business.
“Because Mr Asher was living in Australia, we agreed that I would manage the workshops, retail section, and body shop,” said Smith.
“He oversaw the spare parts and pump shop. There was no requirement for daily reporting between us.”
However, when asked if he was responsible for the overall management of the business, including finances, Smith denied this, claiming his primary role was in sales, marketing, and procurement.
He pointed to the company’s finance manager, Mrs Christine Vella, as the person responsible for financial matters.
On the second count, Smith was questioned about a US$10 000 loan that he received from a lender and he denied receiving the loan personally, stating it was given to the company through an intermediary, Mr Madzinga Mukoto.
He claimed the funds were used as initial capital to stock a new shop.
However, the State highlighted discrepancies in Smith’s testimony, particularly regarding record-keeping.
When asked why the US$10 000 transaction was not recorded in the company’s cash book, Smith explained that a separate spreadsheet had been created for the outdoor store’s operations.
Yet, the spreadsheet was not produced in court, with Smith claiming he had been denied access to his laptop containing the records.
Under further questioning, Smith claimed to have managed this particular loan away from the finance department.
This contradicted his earlier defence outline, where he stated that all company funds were handled by the finance manager.
On the third count, Smith initially denied being involved in vehicle sales but later acknowledged facilitating the sale of a Land Cruiser 78 series to one Rodgers Kativhu. He admitted receiving US$1 500 in commission for the sale and another US$1500 on behalf of Mr Asher.
He also confirmed personally receiving a balance of US$10 000, bypassing the finance department.
Throughout the proceedings, Smith frequently claimed he could not recall specific details or individuals involved in key transactions, which raised further questions about his credibility.
The State also challenged Smith’s claim that he was denied access to his gadgets by the complainant.  He then admitted to never have approached State to get them and failed to prove his claim of having been denied the gadgets.
The defence case has so far revealed significant contradictions in Smith’s testimony, particularly concerning financial management and record-keeping.
The matter is scheduled to continue on January 16, 2026 before Harare provincial magistrate Mrs Ethel Chichera.

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