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A COMPANY director yesterday appeared in court after he allegedly defrauded a housing trust of US$200 000 in a botched land deal, involving stands under Zvimba Rural District Council.
Oliver Chitsinde was not asked to plead when he appeared before Harare magistrate Stanford Mambanje, who released him on $200 000 bail.
The complainant is Mikado Housing Development Trust, represented by Martha Mutamburi, who is its director.
The company is in the business of housing development, while Chitsinde is the director of Countryboy Minina (Pvt) Ltd Chizeze Copper Line, Dotito, Mt Darwin.
The firm is in the business of mining gold, copper and manganese.
The court heard that in September 2012, Mutamburi, saw an advertisement in a local newspaper in which Chitsinde was selling plot 88 Rainham Farm, Mt Hampden, Harare, measuring 37 hectares, for US$200 000.
An initial deposit of US$50 000 was to be paid upon signing an agreement of sale, the remaining US$150 000 was to be paid in monthly instalments of US$12 500, starting from 30 November 2012.
It is alleged that Mikando Housing Trust became interested in the plot and communicated with Chitsinde.
On 4 October 2012, it is alleged Chitsinde tasked one, Mr Benhura, to go to the plot in the company of Mutamburi.
Upon arrival at the plot, she discovered that the plot was subdivided into small divisions, of three hectares, demarcated by some stones.
On October 5, 2012, Mutamburi allegedly paid US$50 000 to Chitsinde at Nyangulu and Associates Law Firm, Harare.
An agreement of sale was drafted, which was signed by the two parties.
During the period between January 2013 to 2019, Chitsinde collected payments for the outstanding balance of US$150 000 from Mutamburi for the plot.
Sometime during the month of February 2019, Mutamburi went to Zvimba Rural District Council, where she wanted to verify the status of the plot.
Mutamburi was told that Chitsinde was allocated Plot 88 Rainham Farm, Mt Hampden, Harare by Zvimba Rural District Council on a Lease Agreement with an option to purchase it.
But, he had not yet purchased it.
Zvimba Rural District Council officials decided to visit the plot, where they discovered that Chitsinde had illegally subdivided the plot in breach of Clause 12 of the Lease Agreement, between Zvimba Rural District Council, which barred him from selling or subdividing the plot.
Zvimba Rural District Council repossessed the stands, prompting Mutamburi to file a police report.
Mathew Masinge
Online Reporter