Woes mount for Harare businessman accused of defrauding co-director
Harare- WOES are mounting for dubious Harare businessman Michael Smith as more charges have been filed against him,Express Mail Zim can report.
Smith now faces 40 charges for defrauding shareholder and co-director Michael Asher.
The duo owned MA Auto Spares.
Smith, who is out on $100 000 bail, was initially brought to court in February this year on allegations of defrauding Asher, of more than US$21 383 and R124 000.
The State alleges it has discovered more incriminating evidence against Smith who is now facing 27 counts of corruptly concealing from a principal, 11 counts of fraud, and two counts of theft charges.
Smith allegedly committed the crimes during the Covid-19 era when travel restrictions were imposed.
According to prosecutor Anesu Chirenje, Smith failed to disclose to Asher that their company was paying its South African suppliers through a third party, Many Procurement (Pvt) Ltd.
Smith also misrepresented that a number of company resources including vehicles, tents and chairs were his before exposing them and converting the money into his own personal use.
Due to the misrepresentation, MA Auto Supplies, discovered suffered prejudice in excess of R100 000.
In February this year, Smith allegedly imported two tents using MA Auto Supplies resources and sold them to a Ms Horsley for US$1 800.
Smith allegedly used the same modus operandi to import a station wagon rear bumper and RHS carrier and the customer paid R24 259,83 directly into Mant Procurement’s FNB account.
It alleged that Smith also sold the company’s Toyota Land Cruiser to his son Trevor for US$7 500 but only received US$2 000 and allowed him to assume ownership before full payment was made.
In so doing, Smith prejudiced MA Auto Spares of US$5 500.
In November 2020, Smith also failed to account for a US$10 000 loan advanced to the company.
Asher also claims that Smith undertook several business transactions which involved the repair and service of vehicles which he failed to disclose to Asher thereby corruptly concealing his actions.
The matter continues on November 24.
