The High Court has suspended the hearing of a case in which former Premier Service Medical Aid Society (PSMAS) group chief executive officer, Cuthbert Dube, is accused of swindling the company of millions of dollars due to his ill health
According to a judgement by Justice Joseph Mafusire, the former ZIFA president is critically ill and unable to stand trial.
His trial, which has been hanging before the courts since 2017, was supposed to proceed last month.
His lawyer says he is due to travel to India for treatment next month. The judge said:
Whereupon after reading documents filed of record and hearing of counsel it is ordered that Dube said to be seriously ill and unforto stand tri. The matter be and hereby removed from the roll.
Dube is accused of defrauding the medical aid company of over US$23 million, allegations that arose during his time at PSMAS between 2009 and 2014.
PSMAS approached the High Court claiming US$23 153 140 which Dube allegedly used to enrich himself through payment of unlawful salaries, allowances and other benefits.
PSMAS says the US$23 153 840 which was paid from 2009 to December 2013 included salary, house purchase and maintenance, board attendance fees, board retainers fees, board critical allowance, long service awards, GCEO staff payroll costs, unlimited medical benefits, special allowance, back pay, quarterly benefits, travel subsistence, Zambia Salary, fuel allowance, holiday allowance, clothing allowance, grocery allowance, DSTV allowance.
PSMAS feels Dube was wrongfully paid and the money remains due and payable. PSMAS said in court papers:
From the period between January 2009 to December 2013, Dube unlawfully increased his salaries, allowances and bonuses and was unjustly enriched in the amount of US$21 868 796.
PSMAS further argued that Dube, therefore, owed ZIMRA a total of US$40 611 916 inclusive of penalties and interest.
Sometime in 2015, PSMAS then paid the due income tax arrears to ZIMRA and as per Clause 12 (1) of the Thirteenth Schedule to the Income Tax Act (chapter 23:06), PSMAS is entitled to recover the amount from Dube as being income tax not withheld from his income at the relevant time.