Company director up for US$1 million fraud
THE director of Preprco Investments, Langton Madara, who had won a US$1 million tender to supply the Zimbabwe Republic Police with some printing material, but forged bank documents to facilitate payment appeared in court yesterday.
Madara (35) was asked not to plead when appeared before Harare regional magistrate Mr Donald Ndirowei charged with fraud.
He was remanded to April 4 on US$100 bail for a possible trial date.
Madara was also ordered to surrender his passport.
The complainant is ZRP represented by Vengai Mazarura who is an Inspector and stationed at Police General Headquarters Procurement Management Unit, Harare.
The State prosecutor Mr Lancelot Mutsokoti alleged that sometime in 2022, ZRP advertised in a newspaper that they were looking for suppliers of printing material to be used in the Zimbabwe Republic Police.
The force was looking for reputable companies who could supply them with printing paper in bulk and Madara responded.
The police then awarded him the tender.
However, sometime in January last year, a contract was signed between the ZRP represented by Commissioner General of Police
Mr Godwin Tandabantu Matanga and Madara.
Part of the contract had special conditions which required that ZRP would make an advance payment of 15 percent of the total cost which was to be backed by a bank guarantee.
The total cost was US$1 684 448, thus US$252 667 was to be paid as advance payment.
The court heard that Madara was later asked to supply the bank guarantee so that the payment would be processed.
Madara allegedly produced a bank guarantee dated 2 October 2023 from FBC Bank Samora Machel Branch and it was stamped and had a letterhead of FBC Bank.
However, before payment was made the police decided to check the authenticity of the bank guarantee and the bank disowned it on the basis that it was a doctored document.
FBC further highlighted that the letterhead and date stamp resembled on the bank guarantee were fake.
They highlighted this through an email addressed to police’s official email address dated 16 February 2024.
Afterwards, the police discovered that Madara had attempted to defraud them and stopped the payment. As a result of Madara’s actions, ZRP suffered a potential prejudice of US$1 684 448