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Update On Former VP Mphoko's Choppies Case

Update On Former VP Mphoko's Choppies Case

The Bulawayo High Court last week reserved judgment in a case involving former Vice-President Phelekezela Mphoko and his son, Siqokoqela who are suing Choppies Enterprises over a 51% Choppies share stake they lost.

The Mphokos sued Nanavac Investments Pty Ltd, Choppies Enterprises and Choppies Distribution Centre (Proprietary) Limited in Gaborone, Botswana demanding payment for the 51% shares they held before they were unlawfully denied of their entire shareholding by the company.

Mphoko’s lawyer Zibusiso Ncube told NewsDay on Tuesday that the matter was heard last Thursday when the parties made their oral arguments.

He said the matter was heard before Bulawayo High Court judge, Justice Martin Makonese.

It emerged in 2019 that the Mphokos allegedly helped Choppies bypass provisions of Zimbabwe’s Indigenisation Act through their ownership of shares.

In a letter addressed to Mphoko when the fallout started, former Botswana President Festus Mogae who is Choppies former chairperson wrote:

…My brother (Mphoko), I would like to bring the following facts to your attention: We entered into this partnership with a clear understanding of the shareholding of 93% to Choppies Enterprise and 7% to the Mphoko family, free of charge.

But the Mphokos denied the 7% shares saying they were the majority shareholders in terms of Zimbabwe’s Indigenisation Act laws which stated that locals should have 51% shares if they partner with foreign-owned companies.

Indications are that the former VP held 25.5% shares, while Siqokoqela also held 25.5% shares in a joint venture identified as Nanavac Investments Pty ltd, and Choppies Enterprises held the remaining 49%.

What transpired:

a). The Mphokos’ lawyer said about 2018, a dispute arose between Siqokoqela and Choppies resulting in Choppies instituting legal proceedings against him and his wife at the High Court.

b). On January 9, 2019, in order to secure their freedom, Siqokoqela signed a deed of settlement with Choppies Enterprises in terms of which the Mphokos disposed of their shareholding in the company.

c). As per the deed of settlement, the Mphokos were to be paid US$2.9 million by Choppies.

d). The lawyer added that the deed of settlement was void as the Mphokos signed it under duress after the arrest and detention of Siqokoqela and his wife on malicious and false charges, and unlawful stoppage of his salary.

e). Mphoko said he signed the deed of settlement fearing the continued persecution of his son and his daughter-in-law at the hands of the company.

f). They said Choppies paid the sum of US$2.9m representing about 7% of the shareholding in local currency when the shareholding was purportedly being acquired by a foreign entity in terms of the shareholders’ agreement of July 24, 2013.

The Mphokos want the court to declare the deed of settlement unlawful through which they were dispossessed of their entire shareholding in Choppies.

They also want US$22 585 714, as the true value of their 51% shareholding in Choppies.

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Me 1 month ago

it costs USD 1.50 from Glenview to Msasa
it cost a USD$1.00 from town to Msasa
$2.50 to work and $2.50 from work to home = $5.00.
$5 a day times 6 days a week = $30/per week
A month has 4 weeks = $120 for transport only
Salary is🥜 $100 USD + 🥜Rtgs 25000
Rtgs 25000 ÷ by rate 450 = USD55 so our salary is USD$ 155 altogether
$155 - $120 transport = USD $35😭😭😭
pa$35 ipapo ndipo pachabva $40 yerent, ndipo pachabva $$40 yemwana wechikoro, ndipo pachabva $40 yegrocery, ndipo pachabvazve yekuterera magetsi $10, yekanzuru yemvura $5 Saka tiri kurarama tiri paminus - or more. imagine. something must be done. if not so uuuuuimmmm😭😭😭😭😭😭


*Ngaapinde Hake Mukomana*

Arise Africa 1 month ago

Tofa hama

Biticon 1 month ago

And why is the learned judge entertaining a claim arising from a crime scene? How did shuro inonzi Mphoko acquire the 50% stake in Choppies?

Mutoriro Movement 1 month ago

In actual facts, the two parties are all wrong. Our former vice president must be fine by the government of Zimbabwe for having involved himself in such a corrupt deal where he intended to enrich himself thru corruption. At the same tyme, the Setswana former president and his company must be sued for the same corrupt deal where his company kem to Zim thru e bek door. The crime proceeds must be forfeited to the state.

Dr Gire 1 month ago

I am not sure why our former VP would want to revisit a crime scene. For the why??? You want to damage legacy yababa?? Fokofo mhani..

ABSA 1 month ago

Someone On the PIC 👆is still doing that to investors who are coming here.he is getting shares from Chinese and Russia companies

BOSS VEDAH 1 month ago

@ABSA kkkkkkk wandinakidza. Ndiwe ABSA anoziyana naSoja here?


Jah🇿🇼Tsvarie-07 1 month ago

That tells us why Zimbabwe's economy falls.
Its the leaders that are corrupt and blame it on businesses they own.
i always say it that

Bossolona 1 month ago

Corruption at play, they really knew how to manipulate their so-called laws they put in play...Happy Africa Day 🌍

Mwakusha 1 month ago

Indegenisation gone wrong

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