Bus operator, associate entangled in a legal dispute over $140K

Leonard Mukumba, the owner of INTER Africa buses, finds himself embroiled in a legal battle after accusing his close friend and business partner, Peter Gondo (33), of fraudulently pocketing profits amounting to US$147,960 from a security business they jointly owned.

Gondo, who shares a church fellowship with Mukumba, stands accused of diverting funds paid by the Zimbabwe Power Company (ZPC) for a security tender without Mukumba’s knowledge.

The saga unfolded when Mukumba discovered that all the money had been withdrawn from their business venture’s bank account, despite being a signatory. The ensuing investigation revealed that Gondo allegedly misappropriated the funds.

Facing fraud charges, Gondo is undergoing trial before Harare magistrate Feresi Chakanyuka. The court heard that both Mukumba and Gondo, along with Gondo’s wife Diana Chigonga, were directors of Petridia Security (Private) Ltd, a company specializing in electronic security services.

According to court documents, Petridia Security secured contracts with ZPC for the installation and commissioning of surveillance systems at Hwange Power Station. ZPC paid the company for these contracts in March and July of 2022.

However, Gondo purportedly misled Mukumba into believing that ZPC hadn’t made any payments. To further conceal his actions, Gondo allegedly removed Mukumba from the company’s directorship and bank account signatory status without consent.

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The deception came to light when Mukumba contacted ZPC directly and learned that the payments had indeed been made. Confronting Gondo, Mukumba discovered that the money had been withdrawn and used without his knowledge or consent.

Gondo, in his defense, claims that Mukumba was only briefly a director after borrowing money for the business, with an agreement that he would step down once the debt was repaid. Gondo’s legal representative produced documents showing Gondo and Chigonga as the sole directors since the company’s inception in 2017.

During testimony, Mukumba struggled to produce evidence of his directorship, leading to a heated cross-examination where Gondo’s lawyer argued that Mukumba was never involved in the company’s operations from the start.

The case underscores the complexities and pitfalls of business partnerships, especially when personal relationships intertwine with financial matters, leaving legal authorities to untangle the web of allegations and counterclaims.

“Did you produce anything before the court to show you were a signatory or its just your word of mouth,” Marwa asked.

“I didn’t. The accused removed me and my credentials as a director,” Mukumba responded.

Mukumba said he joined the company in 2020 became a signatory.

“Gondo kept on saying the money was yet to be paid. When I reported to ZACC I was trying to get our money from ZPC. I didn’t know Gondo was lying,” he said.

Asked how Gondo could lie to him since he had access to the bank he said, “I trusted him.”

Marwa contended that Mukumba, being a businessperson, should have understood that businesses operate on more than just trust.

“You are a business person, there is certain reasoning expected from a person like you.

“You are lying through your teeth, you never had access. The accused gave you the company an ATM card so that you withdraw money as you had agreed.

“This is why you did not check with the bank yourself before reporting,” Marwa charged.

Mukumba said he was supposed to get a 50% share from the profits adding that he had invested US$80 000 into the business.

“I trusted him. He would tell me the amount then I would give him the money,” he said.