Two Accused of Defrauding a Chinese Businessman for over US$750K

Two Accused of Defrauding a Chinese Businessman for over US$750K

A recent case in Harare’s courts has brought attention to allegations of fraud involving a director at Southchoice Investments and a legal clerk. Elizabeth Simpson, aged 53, and Cephas Masuka, aged 41, are accused of defrauding a Chinese businessman, Dong Ye, of a substantial amount, totaling US$750,000, during a real estate transaction that went awry.

According to reports, Dong Ye, who resides in China, expressed interest in investing in Zimbabwe to his friend Sun Jiabao, a resident in the country. Sun Jiabao connected Dong Ye with Sun Peng, another Chinese national with investment ties in Zimbabwe. Sun Peng, allegedly promising significant returns, suggested that Dong Ye invest in mining opportunities through Terran Resource and Africa China Mining Private Limited.

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However, Dong Ye’s investment plans took a different turn when he decided to purchase residential property in Zimbabwe instead. He was directed to pay US$750,000 for the property, and the transaction was facilitated by Elizabeth Simpson, who was working as a sales agent at Pam Golding Estate agents at the time.

The property in question, located at Number 6 Norman Road, Highlands, Harare, was registered under Dong Ye’s name through a legitimate deed of transfer. However, Dong Ye’s troubles began when he discovered that Sun Peng had been arrested in Papua New Guinea for fraud-related charges involving investments from China.

Upon further investigation, Dong Ye learned that his property had been fraudulently transferred to Southchoice Investments through a fabricated special power of attorney. This document, purportedly signed by Dong Ye, appointed Cephas Masuka to transfer ownership of the property to Southchoice Investments, represented by Elizabeth Simpson.

Subsequently, Dong Ye’s property was transferred to Southchoice Investments as a donation, and later sold to Chi Yingdang. This series of fraudulent transactions resulted in Dong Ye losing the entire US$750,000 without any recovery.

Simpson and Masuka have appeared in court and were granted bail, with their next court appearance scheduled for June 5. The case highlights the risks associated with fraudulent practices in real estate transactions and serves as a cautionary tale for investors and individuals involved in property dealings.