President Emmerson Mnangagwa has declared war on banks reportedly linked to a cartel behind illegal currency activities and the chaos in the economy, it has been learnt.

Reserve Bank of Zimbabwe (RBZ) governor John Mangudya on Monday suspended four senior officials on suspicion that they were behind the flooding of foreign currency and ordinarily cash on the black market.

Now Mnangagwa’s anti-corruption drive has been activated, with the special anti-corruption unit set by the President and operating under the National Prosecuting Authority reportedly being tasked to investigate institutions allegedly linked to the scam.

“The banks have some explaining to do.

These transactions were done through banks and it should be very easy to trace them.

The banks received money from the RBZ purportedly on behalf of their clients, now it’s time they prove how it was disbursed,” an official said.

Mangudya yesterday confirmed an investigation was underway at the RBZ, but would not be drawn into saying much amid claims there is a push for a forensic audit.

“We issued a statement and we stick to that. There is an investigation underway, maybe your sources are confusing that with a forensic audit. They are similar but different,” Mangudya said.

He said contrary to social media speculations, the RBZ board had been briefed about the suspension of the top central bank officials.

“I do not want to deal in fake news. It seems some people have more information than I have. But I can tell you that indeed the board was informed of the suspensions,” the RBZ chief said.

-Newsday