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(TALKZIMBABWE) Gono exposes Biti: minister at the centre of a financial scandal

Gono exposes Biti: minister at the centre of a financial scandal
Nyasha Marimbe
Thu, 21 May 2009 08:48:00 +0000

THE verbal exchange between the Reserve Bank Governor and the Minister of Finance, Tendai Biti has taken a new twist with the governor accusing a law firm in which Biti is (was) a partner for money laundering.

Finance Minister Biti has made no secret of his desire to see Reserve Bank Governor Dr Gideon Gono removed from the central bank and accused him of operating outside the law - blaming him for the economy's collapse due to excessive money-printing.

Gono is quoted as saying he has suffered abuse and ridicule at the hands of "some ministers" who might have been involved in "nefarious, regrettable, activities." However, in his latest communication to the Prime Minister Morgan Tsvangirai, Dr Gono revealed some of these "nefarious, regrettable, activities."

In a 15 page letter to PM Tsvangirai, the RBZ Governor claims that the law firm, Honey & Blanckenberg, in which Biti is (or was) a partner externalised over US$1million dollars.

Dr Gono says Biti has personal hatred for him because he had uncovered a financial scandal involving a law firm in which he was a partner.

"The background involves the Bank’s investigation into alleged rampant externalization of foreign currency resources and money laundering activities discovered at the Minister’s legal firm Honey & Blanckenberg where he is (or was) a partner," said Dr Gono's statement.

"After getting a tip-off on the case in which the Law Firm was allegedly prejudicing the country of the much needed foreign currency and possibly tax-revenues due to Government through such Exchange Control Violations, my team investigated the Firm’s Records (those which had not yet been deleted by then) and came up with a “can of worms” suggesting that the Firm could have been involved in these forex scams from before 2003.

"(My team) uncovered a total of over US$1 million which was allegedly kept outside the country in violation of Section 9, 10(1)C and 11 of the 1996 Exchange Control Regulations."

Dr Gono claims the law firm deleted some of the records "before the investigating team could lay their hands on them."

The RBZ Governor claims the whistle-blower, who was an employee of Honey and Blanckenberg was victimised by the firm's partners and ultimately fired.

He claims that he now faces the same level of victimisation from the Minister of Finance and MDC-T Secretary General.

Dr Gono provides all the relevant bank details in the offshore Isle of Man account where Biti's law firm kept the alleged US$1million.

"Of course legal explanations, arguments and justifications were proffered by the Law Firm, as would be expected, but these were found to hold no substance as it was proven that the Honey and Blanckenberg as a Law Firm were banking their money into Barclays Bank PLC, Barclays House, Victoria Street, Douglas, Isle of Man via UK, account details being: Swift Code: BARCGB22 Account No. 68949366, Sort Code : 20-26-74. IBAN : GB95BARC20267468949366."

Dr Gono says that the case is yet to go to trial and victimization continues.

He says RBZ team members are now reluctant to go in front of a judge and testify against Biti's firm after seeing the level of victimization metted against the RBZ Governor.

"Seeing what victimization is being meted against the Governor, (my team) is now expressing reluctance to go and stand in court to testify against the Minister of Finance’s legal Firm," says Gono in the letter.

Dr Gono says he believes the impending legal case is the reason why Biti has "personal hatred" against him and explains the zeal with which he "seeks to remove the present Governor from the Chairmanship of the RBZ Board in conflict with best practices in SADC, IMF, World Bank, China, Russia, UK and the world over.

"The pre-occupation is total and no stone has been left unturned todate to try and achieve this."

Dr Gono feels that the guarantors to the Global Political Agreement signed on September 15, 2008, the African Union and Sadc should be made aware of such a scandal" which is at a personal level, and is not in the best interests of the country.

Labels: CORRUPTION, GIDEON GONO, MDC, TENDAI BITI

posted by MrK @ 4:29 PM