By A Correspondent| Numerous individuals who engaged in mining ventures with Walter Magaya, the head of Prophetic Healing and Deliverance (PHD), are now pursuing legal action, distressed and empty-handed seven years after depositing their hard-earned money.
Former loyal followers of Magaya claim that they were enticed into a failed mining share arrangement orchestrated through Yadah Connect, the investment branch of the PHD Church.
Depositing sums exceeding US$1,000, victims were promised a 40% return on their investment after a mere six months.
Growing increasingly disillusioned with the lack of progress and fearing they’ve fallen victim to a scam, the aggrieved parties have now turned to legal representation in a bid to recover their funds.
NewsDay has obtained copies of demand letters issued by the victims, dispatched through their legal representative Makiya and Partners Legal Practitioners.
Rumbidzai Dukwara, one such victim, invested both US$1,000 and R90,000 in 2017.
The legal missive asserts that despite her attempts to withdraw her funds after the promised six-month period, her endeavors have borne no fruit.
The lawyers have given Yadah Connect until March 14 to deposit US$1,600, inclusive of legal costs, with the R90,000 to be paid in cash.
Percy Makawonesu, another victim, entrusted R100,000 to a PHD bank account in South Africa in 2017, only to find himself unable to recover his money.
Yadah Connect has been given until March 14 to pay R100,000 in cash, along with US$600 for legal expenses.
In a separate scandal, Magaya is accused of defrauding home seekers through a company called Planet Africa in a botched stands deal.
The housing scheme, offering stands of varying sizes and prices, lacked clarity in its agreement, with a vague “grey agreement of sale” failing to specify stand sizes and prices.
Deposits for the stands ranged from US$1,000 to US$4,000, with monthly payments required.
Efforts to obtain comments from Magaya proved futile, as his spokesperson, Admire Mango, did not answer calls or respond to messages by the time of publication.
Magaya faces another legal challenge involving Israeli investors who allege he duped them of US$3 million in a failed mining venture.
The case, registered under Case reference No HCH621/23, is currently awaiting trial in the High Court.
A memorandum obtained by NewsDay indicates that Magaya purportedly solicited the funds in early 2022 for a gold mine development project, only to disappear with the money, leaving the investors in the lurch.
The case is actively before the courts, further tarnishing Magaya’s reputation.