By A Correspondent| Fraud accused businessman Michael Gordon Smith through his lawyer, Takudzwa Nyambira has advised the court his intentions to file an application for discharge at the close of the state case in which he’s facing a plethora of charges.

The application was made after prosecutor, Anesu Chirenje closed his case before Harare magistrate Ethel Chichera.

Smith stand accused of swindling MA Auto Suppliers out of at over US$38,000 and R124,000, took a dramatic turn as a key witness in the matter detailed financial irregularities before the court.

Businessman, Mike Asher representing MA Auto Suppliers, narrated how his former trusted Lieutenant masterminded a plan with his accomplice in South Africa to defraud his company.

Several email conversations and whatsapp audios retrieved by Police Cyber Unit were heard in court revealed that Smith was the masterminded fraudulent activities against the company.

Sometime in October 2019, Michael Scot Asher left for Australia and failed to return due to deadly Covid-19 induced lockdowns world over.

Upon his return, Asher discovered that the company was paying its South African suppliers through a third party called Mant Procurement [Pvt) Ltd.

Mant Procurement is incorporated in South Africa and involved, Tony Oatley, his accomplice currently at large.

Smith had not disclosed this arrangement to Asher or the Finance Manager whom he was supposed to work hand in hand with.

However, MA Auto Supplies later discovered that Mant Procurement was overcharging the company and as a result, they suffered prejudice in excess of R100 000.

Sometime in February 2021, Smith allegedly imported two tents using MA Auto Suppliers (Pvt) Ltd’s resources. He allegedly sold the tents to one Ms Horsley for US$1 800 and arranged for the pmnt to be made into his personal offshore account in the Isle of Man. No monies were recovered from the accused.

In October, Smith allegedly used the same modus operandi to import a Station Wagon Rear Bumper and RHS carrier and the customer paid R77112.00 directly into Mant Procurement (Pvt) Ltd’s FNB account.

On a separate date, Smith sold, on behalf of MA Auto, a Toyota Land Cruiser 78 series for US$13 000, only US$5500 was recorded in company accounts, with Smith diverting US$7500 to personal use.

Another Toyota Landcruiser belonging to MA Auto was allegedly sold to his Son Trevor Smith. Despite $5500 being outstanding on the vehicle Smith later sold the Landcruiser privately
for $7500 but never remitted any money to the company.

Other evidence tendered by Asher allegedly revealed that pmnt for work done on Smiths other Son Russells vehicles were not paid to MA Auto but amounts offset against a personal loan Smith had with his Son.

Mike Asher further tendered evidence revealing Smith did batter trade type of deals with various customers whereby, instead of receiving payments from the customers Smith allegedly arranged free nights at fancy bush camps for him and his wife.

Christine Vellah, the Finance Manager at MA Auto Suppliers testified that she had torrid time to maintain accurate financial records which were obstructed by incomplete information submitted by Smith.

Under cross-examination by defense attorney Takudzwa Nyambira, Vellah revealed troubling financial activities linked to a South African-based company Mant Procurement, in which Smith held a 50% stake.

Vellah also revealed that Mant Procurement funneled company funds without rendering legitimate or tangible services.

She told the court that police officers from the Cyber Unit department retrieved email and WhatsApp communications indicating that Smith had been in the process of regularising the company’s status.

Vellah further told the court that an independent contractor charged only 15% for transportation while Smith inflated costs and concealed invoices leading to losses exceeding R100,000.

She outlined several instances where Smith allegedly misappropriated company funds and assets.

In one instance, Smith obtained a US$10,000 loan from Cruiser Bond (Pvt) Ltd in November 2020 without informing company officials forcing the firm to cover the full repayment without any documented use of the funds.

Additionally, in the sale of a Toyota Land Cruiser 78 series for US$13,000, only US$5,500 was accounted for in company records while US$7,500 was allegedly diverted for Smith’s personal use.

The prosecution also claims Smith unlawfully took company property including chairs that he claims to still be in possession of and has been waiting for MA Auto Suppliers to go and retreive from his home and are valued at over R5000 and a 95-liter fridge without making any payment.

In another case, Smith allegedly instructed Vellah to pay ZW$295,200 in fees for a jointly operated boat despite the company being liable for only ZW$88,250.

Smith never repaid the excess amount.

The total amount of money that he defrauded the company is estimated to be over US$60 000.
State Prosecutor Anesu Chirenje presented documentary evidence, including cash records, invoices, emails, bank statements WhatsApp audios before the court.

Another witness Takudzwa Honye an IT expert submitted that he downloaded data from their client’s Microsoft account.

“On 15 September 2023 our client requested Frampol to print some specific emails from the emails downloaded on 07 November 2023.

And then printed the emails as per client’s request in the presents of Christine Vellah and Michael Scot Asher of MA Auto Suppliers [Pvt] Ltd and the Investigating Officer Detective Assistant Inspector Samaneka of CID Commercial Crimes Division. I went on to validate the printed emails by stamping and signing all the printed emails”.

Anthony Norman Bown also submitted that he approached Michael Gordon Smith as an official from MA Auto Suppliers [Pvt] Ltd after referred as he wanted to purchase a Toyota Land Cruiser rear bumper and a spare wheel carrier from Gobi-X a South African based company.

“I approached Gob-X and they referred me to MA Auto as their Zimbabwean agent. I then approached MA Auto and talked to the accused.

The accused gave me the price and I request to pay using my South Africa ABSA Bank account. The accused then gave me Mant Procurement [Pty) Ltd FNB account 62940151559 and asked me to deposit the money into that account. I then deposited ZAR77 122.00 on 14 October 2022.

Then few weeks later I was contacted by the accused who informed me that they have received the order from Gobi-X and I can come and collect. I then proceeded to MA Auto and collected the items”, Bown submitted.

Smith faces multiple charges including two counts of theft of trust property, 12 counts of fraud and 25 counts of corruptly concealing transactions from his principal.

The case has been remanded to June 2, 2025 were the magistrate will deliver her judgment on the discharge application.