Online Reporter
Post Reporter
MUTARE businessman, Mr Kumarpal Natwar Shingadia has been acquitted of fraud and theft of trust property charges by the Harare Regional Court.
Regional magistrate, Mr Learnmore Mapiye cleared Shingadia at the close of trial on Wednesday.
Mr Shingadia was arrested in July last year following allegations by his nephew, Bhavhick Bacool Shingadia, who is not a member of the company, that he unlawfully increased the company’s share capital, altered directorship without a resolution, and misappropriated rental income.
In his defence, Mr Shingadia maintained that the share capital increase was above board and that the rental proceeds belonged to Shingadia Furniture Mart (Private) Limited, not individual shareholders, who would only be entitled to dividends once declared. He claimed that his prosecution was both unlawful and malicious.
The court found no evidence of fraud, noting that a special resolution and directors’ minutes supported the changes.
Two High Court applications seeking to overturn the resolution had previously failed.
On the theft allegation, the magistrate ruled that no dividends had been declared and no audit evidence or shareholder testimony was presented to prove misappropriation.
The prosecution was led by Mr Culven Munyimi, while Mr Shingadia was represented by Mr Passmore Nyakureba, Miss Shamiso Mungofa, and Mr Kudzai Tichawangana of Maunga Maanda and Associates Legal Practitioners.
