Controversy engulfs Zim test kit ‘donation’
Further mystery shrouds what the Zimbabwean cabinet in April said was a donation of Covid-19 test kits from the Namibian government, with a new profiteer emerging.
JEMIMA BEUKES
WINDHOEK
Jaji investments, a briefcase Namibian-registered company, has raised a storm in Zimbabwe for pocketing N$1.1 million (US$66 375) for 5 000 rapid test kits, which were supposedly donated to that country by Namibia.
A Zimbabwean cabinet briefing, dated 21 April and shared with that country’s media, claimed that Namibia donated the test kits to her neighbour. The kits would be distributed to provinces, cabinet said at the time.
A DHL waybill shows that the company paid a mere N$5 000 (US$300) for 5 000 test kits that were shipped from Beijing in March.
A commercial invoice from DHL dated 26 March 2020 also showed that this was the amount paid.
Jaji Investments, owned by Windhoek-based Zimbabwean medical doctor Prince Mushininga who has close links to President Emerson Mnangagwa, was registered in Namibia in 2015.
Ironically, despite receiving large amounts of money from dealings with the Zimbabwean government, which are now under scrutiny, Jaji Investments has been declaring zero-rated tax certificates to Namibian treasury, claiming not to be functioning.
Paper trail
Documents stamped on 16 March 2020 show that the Zimbabwean health ministry made a payment of US$66 375 to Jaji Investments through Standard Bank Namibia.
However, bank officials said the forex account was closed in March 2019.
Documents also show that on 15 April 2020, the Zimbabwean health ministry submitted an invoice for these rapid tests to the finance ministry for payment.
In the same month, the Zimbabwean cabinet publicly announced that Namibia had donated 4 499 rapid coronavirus test kits to that country.
Namibian authorities still insist that they never donated any rapid tests to the Zimbabwean government.
‘Process the deal’
At the time, Zimbabwean information minister Monica Mutsvangwa confirmed to Namibian Sun that her country had received rapid coronavirus test kits.
Mutsvangwa would, however, not elaborate on the details of the donation and referred this publication to that country’s health minister, Obediah Moyo.
Moyo did not respond to calls and WhatsApp messages, but a notepad scribbling showed that he instructed his staff to “process the deal”.
“Ps. 4 500 rapid kits. These test kits are available locally from China and also used in Namibia. Finance is ready to purchase for us,” the scribbling read.
Warning
On 8 April, the Registrar of Medicines in Namibia issued a warning against private individuals selling rapid coronavirus testing kits, and urged the public to report such individuals.
“It is not permitted for someone to sell and avail test kits to an individual and/or public claiming the ability to self-test for the Covid-19 infection,” he said.
Just mistakes
When contacted for comment, Mushininga said the US$300 which reflects on the DHL waybill was a mistake.
“As you may know, the air waybill is furnished by the manufacturer, in this case, the Chinese company, when they ship the supplies I have bought. I had not noticed that they changed the value, but I can only imagine that my Chinese supplier issued a wrong price on purpose so they would pay less for shipping,” he said.
“However, I can guarantee you that I did not buy 4 500 rapid test kits for a mere US$300. I wish it were so! That money does not even begin to cover the cost of shipping all the kits to Zimbabwe,” he said.
None of your concern
Mushininga further explained that he funds his company, which has been dormant since 2015 with no trace of an income, with his savings and profits from other deals and transactions he had carried out.
“How I fund my company is not really your concern. On the other hand, I will not discuss my commercial margins, i.e. profits or how much I actually paid to the Chinese supplier per unit. This is sensitive information that could harm them if revealed, because their competitors could use it.”
“However, I trust that you understand the basic mechanism of trade; you buy something and then sell it for a higher price, and as long as the buying party agrees to the price you are charging, everyone is happy.”
“In a contract with the government, you always need to be competitive with pricing because others will also be trying to get the contract,” he said.
‘Not my accountant’
Mushininga insisted that everything was done in compliance with the law and pointed out that Zimbabwe benefits from tax rebates during the coronavirus crisis.
“You are not my accountant or my auditor, so I will not share any documents with you.”
Finance ministry spokesperson Tonateni Shidhudu confirmed that the company is a registered taxpayer, but declined to comment further.
[email protected]
WINDHOEK
Jaji investments, a briefcase Namibian-registered company, has raised a storm in Zimbabwe for pocketing N$1.1 million (US$66 375) for 5 000 rapid test kits, which were supposedly donated to that country by Namibia.
A Zimbabwean cabinet briefing, dated 21 April and shared with that country’s media, claimed that Namibia donated the test kits to her neighbour. The kits would be distributed to provinces, cabinet said at the time.
A DHL waybill shows that the company paid a mere N$5 000 (US$300) for 5 000 test kits that were shipped from Beijing in March.
A commercial invoice from DHL dated 26 March 2020 also showed that this was the amount paid.
Jaji Investments, owned by Windhoek-based Zimbabwean medical doctor Prince Mushininga who has close links to President Emerson Mnangagwa, was registered in Namibia in 2015.
Ironically, despite receiving large amounts of money from dealings with the Zimbabwean government, which are now under scrutiny, Jaji Investments has been declaring zero-rated tax certificates to Namibian treasury, claiming not to be functioning.
Paper trail
Documents stamped on 16 March 2020 show that the Zimbabwean health ministry made a payment of US$66 375 to Jaji Investments through Standard Bank Namibia.
However, bank officials said the forex account was closed in March 2019.
Documents also show that on 15 April 2020, the Zimbabwean health ministry submitted an invoice for these rapid tests to the finance ministry for payment.
In the same month, the Zimbabwean cabinet publicly announced that Namibia had donated 4 499 rapid coronavirus test kits to that country.
Namibian authorities still insist that they never donated any rapid tests to the Zimbabwean government.
‘Process the deal’
At the time, Zimbabwean information minister Monica Mutsvangwa confirmed to Namibian Sun that her country had received rapid coronavirus test kits.
Mutsvangwa would, however, not elaborate on the details of the donation and referred this publication to that country’s health minister, Obediah Moyo.
Moyo did not respond to calls and WhatsApp messages, but a notepad scribbling showed that he instructed his staff to “process the deal”.
“Ps. 4 500 rapid kits. These test kits are available locally from China and also used in Namibia. Finance is ready to purchase for us,” the scribbling read.
Warning
On 8 April, the Registrar of Medicines in Namibia issued a warning against private individuals selling rapid coronavirus testing kits, and urged the public to report such individuals.
“It is not permitted for someone to sell and avail test kits to an individual and/or public claiming the ability to self-test for the Covid-19 infection,” he said.
Just mistakes
When contacted for comment, Mushininga said the US$300 which reflects on the DHL waybill was a mistake.
“As you may know, the air waybill is furnished by the manufacturer, in this case, the Chinese company, when they ship the supplies I have bought. I had not noticed that they changed the value, but I can only imagine that my Chinese supplier issued a wrong price on purpose so they would pay less for shipping,” he said.
“However, I can guarantee you that I did not buy 4 500 rapid test kits for a mere US$300. I wish it were so! That money does not even begin to cover the cost of shipping all the kits to Zimbabwe,” he said.
None of your concern
Mushininga further explained that he funds his company, which has been dormant since 2015 with no trace of an income, with his savings and profits from other deals and transactions he had carried out.
“How I fund my company is not really your concern. On the other hand, I will not discuss my commercial margins, i.e. profits or how much I actually paid to the Chinese supplier per unit. This is sensitive information that could harm them if revealed, because their competitors could use it.”
“However, I trust that you understand the basic mechanism of trade; you buy something and then sell it for a higher price, and as long as the buying party agrees to the price you are charging, everyone is happy.”
“In a contract with the government, you always need to be competitive with pricing because others will also be trying to get the contract,” he said.
‘Not my accountant’
Mushininga insisted that everything was done in compliance with the law and pointed out that Zimbabwe benefits from tax rebates during the coronavirus crisis.
“You are not my accountant or my auditor, so I will not share any documents with you.”
Finance ministry spokesperson Tonateni Shidhudu confirmed that the company is a registered taxpayer, but declined to comment further.
[email protected]
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