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Mugabe nephew in grain scam
By Lance Guma
23 September 2005
Member of Parliament for Makonde, Leo Mugabe, who
is also Robert Mugabe’s nephew, is reported to be abusing a
parliamentary scheme for MP’s to buy maize for their constituencies
by re-selling it in Chinhoyi. Mugabe is buying the maize for Z$19,000
for 10kgs from the Grain Marketing Board in Murombedzi, a constituency
in which his mother is the local MP, and reselling it for Z$38,000
via a supermarket and a hardware store in Chinhoyi.
It is further alleged the supermarket in Gadzema
township is owned by Zanu PF MP for Chinhoyi, Faber Chidarikire,
who is also Mugabe’s relative. Part of the maize is being sold
at the Builders Centre near Stewart & Lloyds, a company run
by Mugabe. While most shops are selling 10kgs of maize for Z$60,000,
Leo Mugabe’s maize is actually cheaper than the black market.
Despite the concessionary price, the maverick businessman is making
a killing from abusing the scheme as every transaction gives him
twice as much.
It also seems the parliamentary scheme is only open
to Zanu PF legislators who use food for coercing villagers to their
rallies. Mugabe has however seen a business opportunity from it
and is diverting the grain to a constituency run by his relative.
Newsreel spoke to a source in Chinhoyi who was actually at the grain
silos in Murombedzi as the MP came to collect ‘his grain’.
He followed the consignment right up to the supermarket
and hardware store in question. Leo Mugabe has been synonymous with
business scandals in Zimbabwe. The construction of the Harare International
Airport sucked in billions of dollars of taxpayer’s money and
benefited a company in which he had strong links.
His reign as Zimbabwe Football Association (ZIFA)
chairman was dogged by controversy over misappropriated funds. The
national teams were always broke, in spite of large crowds attending
football matches. He was later dismissed after a financial audit
implicated him in impropriety. The police refused to act on the
matter, mainly for fear of upsetting his powerful relatives.
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