sp;Three years ago FNBS was placed under the curatorship of David Scott following the arrest of two founding directors Dr Samson Ruturi and Nicholas Musona for allegedly defrauding the society of $958 million (old currency). Ruturi and Musona have 89.74 % in First National Holdings Limited that wholly owns FNBS.
Last year, the Registrar of Banking Institutions and Building societies cancelled its banking licence.
In an appeal to the Ministry of Finance against the cancellation of its licence, the shareholders said that Gono wanted the society closed to conceal evidence that FNBS had been fleeced of $320 million (old currency) by CBZ when Gono was CEO.
The shareholders said CBZ abused the Accommodation Facility to fix the society. They said that between May and June 2002, the society’s treasury department discovered some discrepancies in the manner CBZ had managed FNBS’ Accommodation Facility.
They said that the society’s deposits were not being paid interest for a number of days from date of deposits on same day value cheques. Interest was also being overcharged by CBZ on Accommodation Facility.
“At one of the meetings between S. Ruturi and the then CBZ Chief Executive Officer, the CBZ CEO (Gono) hinted that he had been earmarked for the appointment to be governor of RBZ. However, he further pointed out there were certain individuals who are back stabbing him to discredit him and prevent his ascendancy to the position of central bank governor,” FNBS appeal said.
“The then CBZ CEO urged Ruturi to look at the bigger picture and ignore pursuing FNBS’ claims of $320 million as it would nearly dissipate profits declared by CBZ. He advised that FNBS must not be counted amongst the bandwagon of his detractors.”
The revelations meant that Gono was appointed on false grounds. In appointing Gono, President Robert Mugabe said the former CBZ CEO’s track record in successfully turning around the fortunes of CBZ had been used to select him.
The shareholders said that after regular updates to the board, the FNBS board urged management to pursue the claim.
“However, in retaliation CBZ responded by bouncing or returning FNBS customers cheques as unpaid particularly the POSB cheques of $110 million under pretext on non renewal of the Accommodation Facility.
“Following a telephone conversation it was agreed that FNBS must abandon the claim in exchange for the restoration of the facility,” the shareholders said- CAJ News.
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