Securities Commission Plans Hang In Balance

PLANS to establish the Zimbabwe Securities Commission (ZSC), which was supposed to have been set up last month, hang in the balance after it emerged that Finance minister, Samuel Mumbengegwi, was unhappy with the people who were proposed to head the commission.

 

Businessdigest understands that Mumbengegwi was aggressively pushing for the inclusion of a government representative on the commission’s board.

Information to hand indicates that problems started when the minister appointed a special team to come up with a shortlist of four would-be commissioners that would run the new ZSC. Zanu-PF official, Chris Mutsvangwa, was on the list of those nominated.

The minister, according to impeccable sources, wanted Mutsvangwa, a nominee of the Reserve Bank, to be part of the full-time commissioners but the committee refused to endorse the politician fearing that the body would become synonymous with the NIPC.

“The delays in the formation of this body seem to be political,” said a ministry official close to the developments of the commission.

“The minister would have appointed the four commissioners (names supplied) to assume their duties but Mutsvangwa’s exclusion was a major worry for him. He was nominated by the RBZ on the pretext that he would represent the government.”

Sources claimed that Mutsvangwa would be instrumental in providing government with essential information that would target “unethical” counters with the aim of fast-tracking the implementation of the Indigenisation and Empowerment Act.

In April, the minister appointed an interim committee
that would identify possible commissioners in line with a provision in the Securities Act. The Act repeals the Zimbabwe Stock Exchange Act but states that the ZSE will continue in existence as a registered securities exchange under its present rules.

Prominent business leaders (names supplied) were elected at the committee’s election in May.

President Mugabe is on record saying his government would seize ownership of foreign-owned companies suspected of supporting regime change.

By Bernard Mpofu