Online Reporter
Court Correspondent
THE defence case of former MA Auto Suppliers (trading as Mr Cruiser) managing director Michael Smith continued in court last week, with several inconsistencies emerging during his cross-examination.
Smith is facing two counts of theft of trust property, 12 counts of fraud and 25 counts of corruptly concealing transactions from his principal, businessman Michael Scott Asher.
He is accused of prejudicing the company of at least US$38 000 and R124 000.
During cross-examination by prosecutor Mr Anesu Chirenje, Smith was questioned on counts six and seven of the charges.
On count six, the State alleges that on June 23, 2021, Smith instructed his subordinate, Abigail Nyandoro, to release a 95-litre dual-door flex freezer and a connection socket from the company shop on the pretext that he would pay for them later.
The goods, valued at US$1 390, were allegedly never paid for, resulting in prejudice to MA Auto Suppliers.
Smith confirmed that Nyandoro was his subordinate and would follow his instructions.
While admitting that the items were not paid for at the time, he denied misrepresenting facts to her.
He told the court that there was a “shareholders loan account” through which he would record items taken on credit before paying later.
However, Mr Chirenje reminded Smith that fellow shareholder and director Michael Asher had earlier testified that no such account existed.
In response, Smith claimed that Asher also used the same arrangement as a shareholder.
When asked to explain the conditions and operation of the alleged account, Smith said he would simply record items taken on credit and settle the amount later.
He further stated that company accountant Christine Vela and Asher were aware of the arrangement.
However, Smith failed to state how much money was held in the alleged account and struggled to explain how it operated.
He said no one specifically authorised the arrangement and there was no formal payment plan in place. Mr Chirenje then referred Smith to his defence outline, where he allegedly stated that a payment plan had been devised by the finance department.
Smith later contradicted himself, saying he had made a partial payment of US$500 to Vela, although he could not remember whether he had been issued with a receipt.
The prosecutor also questioned Smith about documents he allegedly submitted during his evidence-in-chief showing requests and approvals for the release of goods from the company.
Asked where the documents were, Smith replied: “I no longer remember.”
On another count, Smith is accused of misleading Antony Blanchant on June 29, 2021, by allegedly falsely claiming that two fridge slides delivered from MA Auto Suppliers by Front Runner were his personal property.
The State alleges that Blanchant released the items to Smith in his personal capacity based on the alleged misrepresentation.
Smith denied the allegations, insisting the slides belonged to MA Auto and were intended for a customer.
“I took them from stock and gave them to a customer, but they were not issued from the stores and I instructed that they should not be entered into the system,” he told the court.
When questioned about company procedures regarding stock and why the items were allegedly not entered into the system, Smith failed to provide a clear explanation.
The trial continues this week before Harare magistrate Ms Ethel Chichera on a continuous roll.
